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No. In Canada, a person who receives a gift of money or property does not pay income tax on it, and Canada does not charge a separate gift tax. The CRA lists most gifts and inheritances among the amounts that are not reported or taxed. Tax questions come up mostly for the person giving, when the gift is property that has gone up in value.
Can the person giving the gift owe tax?
Sometimes. The CRA says that if you give capital property, such as shares or a second property, you are considered to have sold it at fair market value when you give it, and any gain goes on your return for that year. Say you bought shares for $10,000 and give them to an adult child when they are worth $15,000. You are treated as selling at $15,000, a $5,000 capital gain, and half of a capital gain is included in income.
Gifts to a spouse or common-law partner usually pass at cost. The CRA says you generally have no capital gain or loss on a gift of capital property to your spouse, though you can elect out of that rollover.
What about income earned on the gift?
Interest or dividends the money earns after the gift are taxable to whoever owns it. Special attribution rules can send income from gifts to a spouse or to a minor child back to the giver.
Is an inheritance taxable?
An inheritance is not taxed to the person who receives it. At death, the CRA considers the person to have sold their property just before dying, and any gain is generally reported on their final return. Property passed to a surviving spouse or common-law partner can postpone that gain. If you later sell inherited property, you report that sale on your own return. See taxes on inheritance for related cases.
Are there gifts that are taxable?
A gift from your employer is treated differently. Cash and near-cash gifts, such as gift cards, are taxable benefits. Non-cash gifts are tax-free only up to $500 a year in total; above that, the excess is taxable. The CRA’s example: $650 of non-cash gifts creates a $150 taxable benefit.
Do you have to report large gifts?
Not for receiving cash. A separate rule covers foreign property. A Canadian resident must file Form T1135 when specified foreign property costs more than $100,000 CAD in total at any time in the year. The form is due with your return, by April 30, or June 15 if you or your spouse carried on a business. The CRA page does not say how foreign property received as a gift is counted, so check with the CRA when a gift comes from abroad.
For other payments, see the table on Is it taxable?, the Canada gift tax article, the capital gains tax calculator and the income tax calculator.
Where does this information come from?
The general rules come from the Canada Revenue Agency pages Amounts that are not reported or taxed, Transfers of capital property, Deemed disposition of property for deceased taxpayers, Gifts, awards, and long-service awards and Foreign Income Verification Statement. Checked in October 2026. This is an independent information site: we provide no services, we do not represent the CRA or any organization, and we do not guarantee that anything here is accurate or current. We accept no liability for decisions based on it. Check the official source before you rely on it. See the full disclaimer.
Frequently asked questions
Do I pay tax on money someone gives me in Canada?
No. The CRA lists most gifts and inheritances among the amounts that are not reported or taxed, so you do not include a gift of money on your return. Interest or dividends the money earns afterwards are taxable to whoever owns it.
Is there a gift tax in Canada?
No. Canada does not charge a separate gift tax. The person giving may still owe income tax if the gift is property that has gone up in value, because the CRA treats the gift as a sale at fair market value.
Can the person who gives me a gift owe tax?
Yes, when the gift is capital property such as shares or a second property. The giver is treated as selling at fair market value and reports any gain. A gift to a spouse or common-law partner generally passes at cost, so there is usually no gain.
Is a gift from my employer taxable?
Cash and near-cash gifts, such as gift cards, are taxable benefits. Non-cash gifts are tax-free up to $500 a year in total, and only the amount above $500 is taxable. For example, $650 of non-cash gifts creates a $150 taxable benefit.
Is an inheritance taxable in Canada?
The CRA lists most inheritances among amounts that are not reported or taxed for the person receiving them. Tax can arise on the deceased person's final return, where property is generally treated as sold just before death, and on your own later sale of inherited property.