Volunteer groups say giving time should be as valuable at tax time as giving cash

Volunteer groups say giving time should be as valuable at tax time as giving cash

CALGARY - People who selflessly stuff envelopes, stack food bank shelves and drive countless kilometres to help others should get the same tax benefit as people who crack open their wallets for a cause, say volunteer groups.
 
They're calling on the federal government to consider bringing in a tax break for volunteers - something they say would be a recognition that donating time is just as valuable as donating funds.
 
"If I give you a $50 donation, I can get a tax receipt," said Gert Reynar, manager of the food bank in Leduc, just south of Edmonton. "But I could spend hours and hours a week here donating my time, and there's no real recognition for that."
 
Reynar pitched the plan to her local MP, Tory James Rajotte, during last year's volunteer week.
 
"This would make an enormous difference to, say, seniors on fixed incomes or (disability)," she told him. "It would really promote volunteerism, and help so many more charities who in this economy are struggling for that extra help."
 
The idea was passed on to Finance Minister Jim Flaherty for consideration in the upcoming budget, Rajotte said. He couldn't confirm whether the plan has made it in, pointing out the government has to be mindful of a looming fiscal deficit over the next couple of years.
 
"We are certainly more limited than what we used to be in terms of our fiscal flexibility."
 
The concept has been brought up by both charities and volunteers themselves, said Ruth MacKenzie, president of Volunteer Canada.
 
"It's something that's floating around to a significant degree in the sector, there's a lot of buzz and a lot of talk about it."
 
For those groups trying to recruit the volunteers they rely on to survive, it would be a little added nudge that could help bring people in, she said.
 
"I think a lot of organizations are really, really struggling to find volunteers right now," MacKenzie said, pointing out that a small number of people do the lion's share of volunteering, and most of those are over the age of 55.
 
Still, MacKenzie said the concept could bring in a lot of added administrative work for overloaded charities without a lot of payback. There's no evidence that the tax break that comes along with making a cash donation to a charity encourages people to donate more, she said.
 
"People are more compelled by the cause than they are about having a tax receipt for a donation."
 
A better idea would be to give a select group of emergency services volunteers - such as firefighters and search and rescue teams - a blanket tax break, and allow others to write off the expenses they rack up along the way, she said.
 
Many volunteers face "prohibitive" costs around helping out, and cash-strapped charities can't spare any extra relief.
 
"We talked a lot about that back in the fall when gas prices were through the roof, and the impact that was having on volunteer programs," she said. "Lots of volunteers just can't afford to drive around for their volunteer job, and they were stepping away from that."
 
Ken Baker, the volunteer who originally brought the idea to Rayner, said the food bank has offered to pay him for one of the three days every week he puts in for free, many of them driving around picking up supplies.
 
He told them no, he's a volunteer. But the 62-year-old retiree said he wouldn't mind a little extra from the government.
 
"I thought, gee, I spend an awful lot of hours over here, and I don't want to get paid, because it is volunteer work, but there should maybe be some benefit to it."
 
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