May is a month of fresh starts. The days get longer, the sun gets warmer, and everyone seems just a little more optimistic. It is also a time when people start to plan ahead, whether for trips, projects, or the future more broadly.

That is why it makes sense that May is also Leave a Legacy Month. We can use this time to think about the impact we want to have when we’re no longer here. And the good news is there’s more than one way to leave a legacy and to support the causes that matter most to you. While it is common to think of cash gifts when it comes to charitable giving — whether during your life or as a bequest in your Will — other types of donations can offer significant benefits to donors. As a former tax lawyer, I think they are worth a closer look.

In Canada, the Income Tax Act provides unique tax advantages for gifts of marketable securities, certified cultural property, and ecologically sensitive land. These types of donations can be made during your lifetime or included in your estate plan, and they can create lasting value for both you and the organization you choose to support.

Here is a closer look at each one.

Marketable securities

(Think: stocks, bonds, mutual funds)

If you donate marketable securities directly to a registered charity, you don’t pay capital gains tax on any growth those investments have had.

Let’s look at two scenarios.

Scenario A: John bought shares for $2,000, and they’ve grown to $10,000. He sells the shares, which triggers an $8,000 capital gain. He pays tax on that amount and then donates the remaining after-tax proceeds to a charity. The charity receives less than the full value of the shares, and John receives a donation receipt for the amount he gave.

Scenario B: John bought the same shares for $2,000, and they’re also now worth $10,000. Instead of selling, he donates the shares directly to the charity. The charity receives the full $10,000, John gets a tax receipt for the full amount, and there’s no capital gains tax on the investment growth.

This is one of the most efficient and generous ways to give. It’s especially helpful for people who have invested wisely and want their gains to do more than sit in a portfolio.

Cultural property

(Think: artwork, rare books, historical artifacts)

Some people collect things. Over time, those things can become deeply meaningful — not just to the person who owns them, but to the public as well. In some cases, they might even turn out to be quite valuable. If you own something with cultural or historical significance, you may be able to donate it to a museum or public institution where it can be appreciated by others for years to come.

These kinds of gifts are called certified cultural property. They are reviewed and approved by a federal board that confirms both the item’s significance and its fair market value.

If your gift is certified, you don’t pay capital gains tax on any increase in its value. You also receive a tax receipt for the appraised value of the item.

It’s a way to preserve Canada’s heritage and make sure it stays accessible for future generations.

Ecologically sensitive land

(Think: forests, wetlands, natural habitats)

If you care about conservation, donating land through Canada’s Ecological Gifts Program is a powerful way to protect the environment.

You can donate a full piece of land or a partial interest in it, as long as it meets the criteria for ecological sensitivity. If it does, you avoid capital gains tax on the increase in the land’s value and receive a tax receipt for the full amount.

This type of gift is reviewed and certified by Environment and Climate Change Canada. It’s one of the most direct ways to preserve natural spaces in Canada for future generations.

If you're considering this kind of gift, be sure to speak with a lawyer. They can help confirm the property qualifies and walk you through the legal steps involved.

Why these gifts matter

These three types of gifts are highlighted in Canada’s tax law for a reason. They help to protect the environment, preserve culture, and support the kinds of organizations that make our communities better. But they also come with real tax advantages for the donor. A clear win-win.
So, during Leave a Legacy Month, it’s worth remembering that there’s more than one way to make a lasting impact. And sometimes, the most meaningful gifts aren’t about giving more, they’re about giving smarter.

Daniel Goldgut is the co-founder of Epilogue, an innovative online platform revolutionizing estate planning in Canada. With a background in law and years of experience in private practice, Daniel transitioned from a legal career to entrepreneurship, driven by a passion for making Wills and estate planning more accessible and affordable for everyone. He collaborates closely with charities to enhance their legacy giving programs, helping organizations grow their impact. daniel@epiloguewills.com