Income Tax Act — I-3.3 118.1
 life was insured, and the individual’s consent would have been required to change the recipient of the transfer, and (iii) from an insurer to a person that is the qualified donee and that was, immediately before the death, neither a policyholder under the policy nor an assignee of the individual’s interest under the policy; or (b) a transfer made (i) as a consequence of the death, (ii) solely because of the qualified donee’s interest or, for civil law a right, as a beneficiary under an arrangement (other than an arrangement of which a licensed annuities provider is the issuer or carrier) (A) that is a registered retirement savings plan or registered retirement income fund or that was, immediately before the death, a TFSA, and (B) under which the individual was, immediately before the death, the annuitant or holder, and (iii) from the arrangement to the qualified donee. (5.3) [Repealed, 2014, c. 39, s. 34] Where subsection (6) applies (5.4) Subsection (6) applies in circumstances where (a) an individual (i) makes a gift at any time of capital property to a qualified donee, or (ii) who is non-resident, makes a gift at any time of real or immovable property situated in Canada to a prescribed donee who provides an undertaking, in a form satisfactory to the Minister, to the effect that the property will be held for use in the public interest; and (b) the fair market value of the property otherwise determined at that time exceeds (i) in the case of depreciable property of a prescribed class, the lesser of the undepreciated capital cost of that class at the end of the taxation year of the individual that includes that time (determined without reference to proceeds of disposition designated in respect of the property under subsection (6)) and the adjusted cost base to the individual of the property immediately before that time, and (ii) in any other case, the adjusted cost base to the individual of the property immediately before that time. Gifts of capital property (6) If this subsection applies in respect of a gift by an individual of property, and the individual or the individual’s legal representative designates an amount in respect of the gift in the individual’s return of income under section 150 for the year in which the gift is made, the amount so designated is deemed to be the individual’s proceeds of disposition of the property and, for the purpose of subsection 248(31), the fair market value of the gift, but the amount so designated may not exceed the fair market value of the property otherwise determined and may not be less than the greater of (a) in the case of a gift made after December 20, 2002, the amount of the advantage, if any, in respect of the gift, and (b) the amount determined under subparagraph (5.4)(b)(i) or (ii), as the case may be, in respect of the property. Gift of art (7) Subsection (7.1) applies to a gift made by an individual if the gift is described in the definition total charitable gifts or total cultural gifts in subsection (1) and the property that is the subject of the gift is a work of art that (a) was created by the individual and is in the individual’s inventory; (b) was acquired by the individual under circumstances where subsection 70(3) applies; or (c) if the individual is an estate that arose on and as a consequence of the death of a particular individual who created the work of art, was in the particular individual’s inventory immediately before the death. Gift of art (7.1) If this subsection applies to a gift made by an individual, the following rules apply: (a) in the case of a gift described in the definition total cultural gifts in subsection (1), (i) if at the time the gift is made the fair market value of the work of art that is the subject of the gift exceeds its cost amount to the individual, the individual is deemed to receive at that time proceeds of disposition in respect of the work of art equal to the greater of its cost amount to the individual at that time and the amount of