How Does The Program
The Warranty Program is available for all of the participants who
donated to the All Saints Greek Orthodox Church through the ICC or CLI Donation
Programs for the years 2001, 2002 & 2003
This Warranty Program will
help you eliminate the potential financial hardship that a successful fair
market value challenge by CRA would cause you and your family.
Warranty Program covers all the property which you donated to the All Saints
Greek Orthodox Church through the ICC or CLI Donation Programs for the years
2001, 2002 & 2003
This program, if you participate in, will cover
the amount that you might owe CRA if ICC loses in court.
** The only
times that the Warranty will not cover all of your taxes owing is if:
- You had done a spousal transfer. This is when you
purchased and donated the goods and your spouse had paid the Capital Gains
- If you had utilized Capital Losses to offset your
Capital Gains to get a larger Tax Credit. (Please contact us and we can discuss
Do I Have To Pay Any More Legal
No, once you are a participant of the Warranty Program, you will
never have to pay any more legal fees. The lawyers will be paid in full before
it goes to court. So instead of a "Defense Fund", the Warranty Program has
already retained the services of the law firm.
What Will The Warranty Program
Protect Me From?
What Amount could possibly be owed to CRA with a
The following is a projection of what we believe should be
a worst case scenario, based on the last case that was adjudicated
(ALL TAX RATES AND TAX CREDITS ARE BASED ON ONTARIO'S HIGHEST
TAX BRACKET OF 46.41%)
|Fair Market Value:
|Approximate Tax Credit:
|| (Based on 46.41%)
|Less: Capital Gains Taxes Owing:
|| (56,522 - 10,000 = 46,522 * 50% = 23,261 *
46.41% = $10,795)
|Equals Amount Owing to CRA:
||+ interest at 7%
The average case that goes to court takes about 7
years to get a final resolution. So if you add 7 years of interest at 7%, the
final number could be: $16,200.00
The warranty will give you
coverage for up to 4 times your tax liability. So in the above case you would
have protection for up to $43,180.00 ($10,795.00 x 4).
How Much Is The
The Warranty cost is 6% of the Fair Market Value (plus GST)
which was donated.
The Warranty cost in the above scenario is:
*Except for Quebec for the donation year of 2003 - where
the Warranty costs 3% of the Fair Market Value Donated (plus GST). As the
warranty program will only cover the Federal Taxes Owing.