In cases where a corporation is subject to a low tax rate (e.g., a combined federal/provincial rate of 11 percent), charitable donations have less value to a corporation than they do to an individual.

Question

Quizplus · Accepted Answer

This is because the tax benefit of making charitable donations is based on the tax rate. So a corporation subject to a lower tax rate will receive less of a benefit than an individual subject to a higher tax rate.

In Cases Where a Corporation Is Subject to a Low