American Friends of Canadian Land Trusts is a U.S. charity created to facilitate the permanent protection of Canadian lands owned by conservation-minded Americans. Until very recently, Americans hoping to conserve properties they own in Canada were thwarted by tax barriers created by both U.S. and Canadian laws. Significant problems could arise if cross-border conservation gifts are not handled properly.
American Friends of Canadian Land Trusts (AF) is a U.S. based publically supported 501 (c) 3 charity which allows U.S. taxpayers to benefit from tax incentives aimed at protecting environmentally significant land. The cross border program created by American Friends, has two key elements to it. First, the U.S. taxpayer receives a charitable receipt which allows them to receive a U.S. tax deduction for the charitable gift. Secondly, based on AF’s status as a ‘prescribed donee’ under the Canadian Income Tax Act, the Canadian capital gains tax is eliminated. Thus, two major impediments to donations to environmental preservation are eliminated when donors work through American Friends.