Donations Policy

1. Introduction and Purpose  

In order to enhance the effectiveness and quality of our academic programs, strengthen our support services and contribute to the overall quality of our learning environment, Loyalist College welcomes gifts-in-kind and cash donations provided their intention meets with the overall goals of the College.  

The purpose of this policy is to establish principles involved in the eligibility, acceptance and acknowledgement of gifts to the College.  

2. Application  

This policy applies to College employees who may accept, acknowledge and process gifts on behalf of the College.  

3. Definitions  

Bequests: money or property a registered charity receives from the will of a deceased person.  

Donation – a philanthropic gift involving no benefit to the donor outside of the scope of donor recognition.  

Fair Market Value: the highest dollar value you can obtain for property in an open and unrestricted market and between a willing buyer and a willing seller who are knowledgeable, informed, and acting independently of each other.  

Gift: a voluntary transfer of money or property for which the donor expects and receives nothing of value in return. However, a transfer of property for which the donor received an advantage will still be considered a gift for purposes of the Income Tax Act as long as it can satisfactorily be demonstrated that the intention is to make a gift, and that the advantage does not exceed 80% of the fair market value of the transferred property.  

Gift-in-Kind: a non-cash gift.  

4. Policy Statement  

As a registered charity, Loyalist College must comply with the rules and regulations under the Canada Income Tax Act and Canada Revenue Agency (CRA) guidelines.  

• 4.1 Gift Eligibility  
  • The following gifts are eligible for acceptance by Loyalist College: annuity contracts; bequests; gifts-in kind; real estate; retirement benefits; life insurance; outright gifts of cash, or cheques; shares in privately-owned companies; trust agreements.  
• 4.2 Gift Acknowledgement  
  • Donor recognition (i.e., naming opportunities for buildings, programs, or major facility spaces, etc.) will be determined by the Loyalist College Board of Governors.  
  • A donor may receive a donation tax receipt for the eligible amount of the gift.    

5. Gift Acceptance Principles  

• 5.1 The following principles will be considered before a gift is accepted:   
  • further the mission and objectives the College;   
  • not in any way limit or impose conditions on academic freedom;   
  • comply with federal, provincial or municipal law, the Ontario Human Rights Code, and/or will not jeopardize the College’s charitable status.   
• 5.2  A gift may not be accepted if:   
  • an appropriate fair market value cannot be determined, or will result in unwarranted or unmanageable expense to the College;   
  • the gift does not comply with the Canada Income Tax Act and Canada Revenue Agency guidelines;   
  • it requires the College to provide special consideration for admission to the College for the donor or designate, or improperly benefits any individual, or requires that Loyalist College deviate from its normal hiring, promotion and contracting procedures;   
  • the gift exposes the College to liability or unacceptable risk;   
  • the donor applies unacceptable restrictions or conditions on the gift;   
  • the gift will be difficult to administer;   
  • the gift may have come from illegal activities;  
  • the gift could reasonably compromise the College’s public image, reputation or commitment to its academic mission and values.  

6. Related Documents or Links  

• EXT 101 Donations Procedure
• EXT 101 Gifts-in-Kind Form  

7. References  

• Canada Income Tax Act  
• Ontario Human Rights Code