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Taxable Benefits

Tax Credit - Individuals:

The annual contribution levels and resulting Ontario political contribution tax credits are indexed based on requirements specified in the Elections Finances Act.

The formula is:

  • 75% of the first $399, plus
  • 50% of the next amount between $399 and $1,330, and
  • 33.33% of an amount between $1,330 and $3,026.

The maximum yearly Ontario political contribution tax credit is $1,330 which is reached when you have made eligible contributions totalling $3,026. The tax credit is refundable. This means that if your total amount of tax credits is more than your taxes owing, the Canada Revenue Agency will issue a refund based on the difference.

To be eligible for a tax credit you must be an Ontario resident and you must have made eligible contributions to a registered Ontario political party, registered constituency association or to a candidate in an Ontario provincial election during that year.

Either spouse or common-law partner may claim the Ontario political contribution tax credit. This tax credit can only be claimed for the year in which the contribution was made.

Business Contribution

If subsidiaries and associated companies are considered as separate legal entities then they may give accordingly. For taxation years ending after 2008, a non-refundable tax credit is available to corporations that make eligible political contributions to registered candidates, registered constituency associations or registered parties. A corporation may carry forward unused eligible contribution, for up to 20 years.

Business Contribution Tax Credit Calculation

A non-refundable tax credit is equal to the least of:

  • The corporation's eligible contribution balance x the basic rate of tax
  • $19,950 x the basic rate of tax
  • The corporation's Ontario income tax payable

Please Note: Provincial political contributions are completely separate from federal contributions. The Ontario Liberal Party does not accept donations from registered charities, hospitals, Crown Agencies, municipalities and their related agencies, educational institutions or other non-profit organizations funded by the Province of Ontario. If you fall within one of these categories, please do not make a contribution.

For up-to-date information, please visit www.elections.on.ca website or review Election Finances Act.

If applicable, tax-receipt(s) will be issued to the donor whose name appears on the credit card. In case of donations from partnerships (i.e. L.P. or LLP), tax-receipt(s) will be issued to the partners residing in Ontario; please submit a list of partners with home addresses.

For banquets, dinners and other events, political donations as are calculated and processed on the Net Value of such a contribution