We assist Canadian charities understand their legal and ethical obligations when operating charities in Canada or abroad and provide insights and information to non-Canadian charities interested in operating or fundraising in Canada.
The charitable sector in Canada has become highly competitive. There are over 86,000 Canadian registered charities. Donors, regulators, media, the public as well as other stakeholders, have increasingly high standards for charities and their operations. GlobalPhilanthropy.ca will assist non-profits and charities in Canada in trying to be transparent, legal, ethical and effective.
Federal non-profit corporations under the Canada Corporations Act (CCA) have until October 17 to continue/move over to the new CNCA. Here is a short webinar with 15 slides and takes 15 minutes on the CNCA continuance process. If you have not completed the process you need to get moving. Federal non-profits that are dissolved will also end up losing their charitable status with all the related consequences. View WEBINAR
Charities Information Webinar registration for the March 2014 session is now open. The topics are:
What is a Related Business? (CPS-019)
March 11, 2014 – 2 p.m. to 3 p.m., Eastern standard time
How to donate wisely – Information for donors
March 12, 2014 – 2 p.m. to 3:30 p.m., Eastern standard time
Here is an interesting case in which a municipality, that was allegedly involved in a charity scheme, wanted leave to intervene in a Tax Court of Canada matter involving a donor who had made a donation to the municipality. The TCC maintained “The Municipality is in no way subject to a tax assessment related to the one at issue in this appeal and the judgment in this appeal cannot have a financial impact on the Municipality.”
Here are some interesting numbers from the Charities Directorate. 4,456 applications and 2060 of them are registered/reregistered. Most applications are either returned for incomplete information, denied, withdrawn or abandoned. It just reiterates the importance of carefully preparing any charity application and understanding the Income Tax Act requirements for charities and CRA’s guidance and expectations. We are regularly assisting applicants with charity applications. Some of the applicants could probably benefit also from our Charity Law Boot Camp on May 15.
The Charities Directorate just posted an important message which provides an update on the Charities Directorate activities. There is discussion of technology, guidances, CNCA, compliance activities but most importantly extensive discussion of political activities.
In the case of Ofori-Darko the CRA disallowed a claim of about $30,000 over 3 years. The people who allegedly made the donation appealed to the Tax Court of Canada and the TCC dismissed the appeal on the basis that there was no proof that those amounts had been donated and also because certain technical elements of the receipt were not included. I am really starting to feel sorry for the TCC judges having to listen to these ridiculous donation cases. I am also feeling sorry for taxpayers who have to pay for Justice to argue these cases and for the operation of the court system.