Canada’s Ecological Gifts Program provides a way for Canadians with ecologically sensitive land to protect nature and leave a legacy for future generations. Made possible by the terms of the Income Tax Act of Canada and the Quebec Taxation Act, it offers significant tax benefits to landowners who donate land or a partial interest in land to a qualified recipient. Recipients ensure that the land’s biodiversity and environmental heritage are conserved in perpetuity.

The Ecological Gifts Program is administered by Environment and Climate Change Canada in cooperation with dozens of partners, including other federal departments, provincial and municipal governments, and environmental non-government organizations. Thanks to this team approach and a dedication to continuously evolving and improving, the Program has become more successful each year.

Between the inception of the program in 1995 and March 31, 2024, 1886 ecological gifts valued at over one billion dollars have been donated across Canada, protecting over 248,000 hectares of wildlife habitat. Many of these ecological gifts contain areas designated as being of national or provincial significance, and many are home to some of Canada's species at risk.

Ecological gift donations and the motivations behind them are as varied as the Canadian landscape. They range from corporations in British Columbia donating covenants on forested land in the Gulf Islands to Atlantic communities pulling together to preserve treasured coastal habitat. What all donors share, however, is the comfort of knowing that their cherished piece of nature will be cared for in the future.

An increasing number of conservation-minded Canadian landowners take part in the Ecological Gifts Program each year. Each donation, no matter how small, makes a substantial contribution to the creation of a network of protected areas that reaches across virtually every habitat and region in Canada.

Tax Benefits

Most people who donate through the Ecological Gifts Program do not do so for financial reasons. However, as an incentive to take part and to assist those who could not otherwise afford to donate the Income Tax Act provides favourable income-tax treatment for gifts of ecologically sensitive land and partial interests in land. In Quebec, there are also provincial tax benefits under the Quebec Taxation Act. The benefits of ecological gifts can thus be significant when the federal and provincial tax benefits are combined.

Specific tax benefits include: corporate donors may deduct the amount of their ecological gift directly from their taxable income, while the value of an individual’s ecological gift is converted to a non-refundable tax credit. The tax credit is calculated by applying a rate of 15 per cent to the first $200 of the donor’s total gifts for the year and 29 per cent to the balance in most provinces, a reduction in federal tax payable will also reduce provincial tax while for most gifts the taxable portion is 50 per cent of the capital gain (recently changed to 67 per cent for amounts over $250,000), in the case of an ecological gift it is reduced to 0 and the carry-forward period for claiming these donations is now 10 years.

More detailed information on the tax benefits of the Ecological Gifts Program can be found here.

Lands Qualifying As Ecological Gifts

Each donation of land or a partial interest in land must be certified as ecologically sensitive according to specific national and provincial criteria, before it can be included under the Ecological Gifts Program. This certification is carried out by the federal Minister of the Environment or a delegated authority. Delegated authorities range from provincial governments to environmental charities.

Ecologically sensitive lands are areas or sites that currently or could, at some point in the future, contribute significantly to the conservation of Canada’s biodiversity and environmental heritage. Some provinces, including Ontario, Quebec, New Brunswick, and Prince Edward Island, have more precise definitions of ecologically sensitive lands.

Where ecologically sensitive land is a significant part of a larger parcel of land, the entire property donated usually qualifies as an ecological gift.

Donation Options

Although many ecological gifts are outright donations of land with no conditions attached (sometimes called fee-simple donations), making a gift of property does not necessarily mean severing the connection donors have with their land. There are options available that allow donors and recipients to tailor their arrangements to suit their particular needs. Potential donors are encouraged to contact Rideau Waterway Land Trust to discuss their options.

Read more about the Ecological Gifts Program here.