In this conversation, Joe Pochodyniak from MacNicol and Associates Asset Management discusses charitable giving and donor-advised funds (DAFs) with Meredith Agnew, Chief Investment Officer, and Joely Elkins, Director of Granting and Philanthropy, from the Benefaction Foundation. They explain that a DAF is a charitable investment account where individuals or families can deposit funds and then grant them out to registered Canadian charities or other qualified donees. The discussion covers the benefits of DAFs, including tax advantages such as the capital gains exemption, the flexibility of giving, and the ease of making changes to charitable instructions. They also highlight the importance of philanthropic intent and the personal connection donors often have with the charities they support. The conversation concludes with a discussion on how Benefaction Foundation gives back through various funds and supports underfunded communities. Donor-advised funds (DAFs) offer tax advantages and flexibility for business owners and individuals looking to donate to charities. DAFs are especially beneficial for business owners with appreciated securities in their holding companies. While there have been some tax changes that limit the use of capital gains exemptions, Canada remains a favorable tax venue for charitable giving. DAFs also provide employee satisfaction and enhance a company's reputation as a good corporate citizen. The minimum initial donation for a DAF is $25,000, and fees are based on a scale depending on the amount of donations and assets in the account.

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