Chapter 3: Introducing Amy
Amy is a public relations executive from Nelson, B.C. She has decided to make a one-time charitable donation of $5,000.
She earns approximately $150,000/year from all sources. She has a registered retirement savings plan (RRSP), a tax-free savings account, and a non-registered (taxable) investment account.
Amy wishes to donate $5,000 in cash. She has already checked with her favourite charity, and her donation will generate a charitable donation receipt.
How does the receipt generate tax savings for Amy?