Canadian Task Force on Social Finance Releases its Report
The Task Force on Social Finance was conceived earlier this year by Social Innovation Generation (SiG) to consider opportunities to mobilize private capital for public good within either non-profit or for-profit enterprises. Earlier this month, the Task Force released its...
Charity Employee Compensation – Bill C-470 Update – Salary Cap Dropped, Disclosure Remains
In the April 2010 edition of this newsletter we reported on a private members bill, Bill C-470, introduced by Albina Guarnieri, Member of Parliament for Mississauga East, that would have given the Canada Revenue Agency the discretion to revoke the...
Is the Provision of Fertility Charitable?
At the end of September of this year, the City of Toronto had the pleasure of hosting the American Bar Association Tax Conference. Lawyers from Miller Thomson’s charity and non-profit practice group attended the Tax Exempt Section of the conference. ...
Foreign Activities Guidance: Outside Canada Means Inside Canada as Well
As we reported in the July 2010 issue of this Newsletter, the Charities Directorate has issued its “Guidance for Canadian Registered Charities Carrying on Activities Outside Canada”, replacing Guide RC4106. However, some may overlook that the Guidance also applies to...
Can the Purpose of Promoting Debate on Government Policy be Charitable?
A recent decision of the High Court of Australia considered whether an organization established for the purpose of promoting the effectiveness of international aid – in part by challenging established government policy – was charitable. A majority of the Court...
Charities Directorate Receives Positive Review From Auditor General
On October 26, 2010, the Auditor General of Canada released its Fall Report to the House of Commons. The Report included a review of the performance of the Charities Directorate. Although the Report noted some areas in which the Directorate...
New Prescribed Donee Named
The Department of Finance has used an administrative power under the Income Tax Act to allow an American charity, the American Friends of Canadian Land Trusts, “prescribed donee” status. This designation allows U.S. residents to get domestic tax relief when...
CRA Comments on New Disbursement Quota Rules
In a recent technical interpretation (document number 2010-0370841E5) the CRA was asked to provide comments on a proposed gift between two related charities. As we reported in the March 2010 edition of this Newsletter, the 2010 Federal Budget proposed a...
First Excess Business Holdings Penalty
The CRA has publicly announced the first penalty for excess corporate holdings. According to the CRA’s registered charities database the Radcliffe Foundation was penalized $147,749 for its excess corporation holdings. The 2007 budget introduced the so-called excess business holdings rules...
Gifts To Charities By Will: Timing And Valuation
Charities often receive gifts by Will. But at times the donation is not made by the estate by the due date for filing the deceased’s terminal return, and at times the value of the donation may increase or decrease from...
