Auction Receipt Checklist for Canadian Auctions

Disclaimer: This blog does not constitute legal advice. For complete details, refer to CRA documentation: Issuing receipts for auctions, Fundraising events - issuing receipts, Deemed fair market value rule, Determining fair market value of non-cash gifts, Donation of gift certificates or gift cards, When should a charity issue a receipt.

Charity auctions in Canada have specific CRA requirements for donation receipts. Without a compliant receipt, donors cannot claim their tax deductions. According to CharityAuctions.com platform data, more than 50,000 organizations have used CharityAuctions since 2007, including many Canadian charities. Use this checklist to ensure your auction receipts meet CRA requirements for both item donors and item winners. For U.S. requirements, see the U.S. auction receipt checklist.

How to Determine the FMV of Auction Items & Experiences

You'll have to determine the FMV (Fair Market Value) of your auction items to issue receipts. FMV is the price the item would sell for on the market.

It can be tricky to assign FMVs, especially for unique items like signed jerseys or lunch with a CEO. Here are the CRA's rules:

If the donor obtained the item within the last 3 years

The FMV is whichever is less: the normal selling price or the donor's "cost basis" (the price the donor paid). Ask the donor for these numbers and do your due diligence if it's suspiciously high.

If the item is worth under $1,000

An educated guess from someone who is "competent and qualified" is enough. For common items, a staff member can assign a value.

If the item is worth over $1,000

The CRA "strongly recommends" the item be professionally appraised. Keep documentation.

If the item is a personal item or personal service

The FMV is the same as the winning bid, meaning both the item donor and item winner do NOT get a deduction. Examples: a pro golfer offering to play a round of golf with the highest bidder, or a signed hockey jersey with no clear value.

Auction Receipt Checklist

Download: Auction Receipt Checklist (Canada)

The CRA defines when you can issue an auction receipt and what should be included. It has different requirements for receipts to donors who donate items and for donors who win items. Everything is covered in the two checklists below.

When you can't issue a receipt, explain to donors why. It can save you from frustrated calls during tax season.

Item Donor Receipt Checklist

Requirements to issue an official donation receipt

• An FMV can be determined for this item/experience
• For gift cards donated by a business: The card has been redeemed by the winner*

In your receipt, include

• Your organization's name
• Your charity registration number
• Date of the contribution
• The donor's name
• The donor's address
• Name of the donated item/experience
• Authorized signature
• FMV of the item/experience

Gift cards donated by an individual for an auction can be receipted as usual at the time of the donation.

Item Winner Receipt Checklist

Requirements to issue an official donation receipt

• An FMV can be determined for this item/experience
• The FMV of this item/experience was declared to donors before auctioning began
• The winning bid meets the "gift threshold" (the FMV of the item is 80% or less of the winning bid)

In your receipt, include

• Your organization's name
• Your charity registration number
• Date of the contribution
• The donor's name
• The donor's address
• Name of the donated item/experience
• Authorized signature
• FMV of the item/experience
• The item/experience's "eligible amount" (the amount paid above the FMV)

For more on auction reporting, see Auction reports and data exports.

Create your auction or talk to our team to get started. CharityAuctions can automatically email compliant tax receipts for your donors. For post-event follow-up templates, see post auction follow up. For a full platform overview, see silent auction software. For a complete event planning guide, see how to run a charity auction.

---

This checklist is maintained by CharityAuctions and is for informational purposes only. For CRA guidance, refer to the official links in the disclaimer above. Questions about your auction? Talk to our team.