Residual Interest

Enjoy your personal property for life while making it a charitable gift today. When you make a gift of residual interest (GRI), you donate your personal property to Trinity College today and continue to use it for the rest of your life. You also receive an immediate tax benefit. GRIs can include real estate, art work, books, manuscripts, musical instruments and other tangible assets.

Benefits of a gift of a GRI:

Use of the property for life
Receive a charitable tax receipt for the net present value of the property when the gift is made. (Net present value is based on the anticipated number of years you retain life interest in the property, current fair market value and the appropriate annual discount rate)
Claim charitable donations up to 75 per cent of your net income. A five year carry forward on unused donation amounts is permitted
Avoid probate. GRIs are less susceptible to being contested than a charitable bequest, and provide privacy
Designate your gift to a university priority that meets your interest, such as scholarships, capital projects, programs and research

How gifts of residual interest benefit Trinity College:

Gifts of residual interest may be added to the university's collections for the enjoyment of future generations of students and faculty
Proceeds of gifts of residual interest that are to be liquidated after the donor passes away help provide the support the university relies on to maintain its position as Canada's top ranked university.

Case History

Rick wished to arrange a legacy to support Trinity College where he had worked for several decades. He decided to give a residual interest in his personal residence, valued at $350,000, to the College. He received a tax receipt for $250,000 at the time of the gift, and will continue to enjoy the use of the property for the rest of his life. The university will apply the proceeds from the sale of the home as designated by Rick once the residual interest in the property is realized.

For more information, please contact Matthew Airhart at 416-978-0407, or matthew.airhart@utoronto.ca

This information is general in nature, does not constitute legal or financial advice and should not be relied upon as a substitute for professional advice. We strongly encourage you to seek legal, estate planning and/or financial advice before deciding upon your course of action.