Properly issuing official donation receipts has been challenging for many registered charities. According to the CRA, 89% of registered charities that are audited are not correctly issuing official donation receipts. Issuing incorrect receipts can result in revocation or penalties. It…
In Arthur v. The Queen, 2015 TCC 43, Juliet Arthur was appealing a reassessment made by CRA relating to two receipts. The case provides a good summary of the cases dealing with lack of appropriate documentation for donations – especially…
The Australian website Pro Bono Australia has published an article on an Australian Federal Court decision to impose a $1.5 million fine on a “fake philanthropic scheme was modelled on an arrangement which previously failed in Canada, and involved the…
The Canada Revenue Agency has distributed a press release that it has revoked the registration of African Computer and Technology Literacy Awareness Program (ACTLAP) Inc. for involvement with an abusive charity gifting tax scheme. Here is the text of the press release:…
In a recent case French v. The Queen, 2015 TCC 35, the CRA asked that certain arguments related to defining a gift be struck as they had no hope of success. Campbell J. Miller of the Tax Court of Canada agreed with CRA.…
Should CRA do a better job of warning Canadians about abusive charity gifting tax schemes? Well a group of Plaintiffs who participated in the abusive tax shelter gifting scheme Global Learning Group Inc (GLGI) thinks so. “The Plaintiffs made…
According to Canadian Press “The federal revenue agency can now hand the police possible evidence of serious crime — including terrorist activity — that it happens to come across while reviewing taxpayer files. The Canada Revenue Agency gained the little-noticed new authority,…
A few years back the Australian government set up the Australian Charities and Not-For-Profit Commission (ACNC). Then a new government came into power and decided that having the ACNC was just red tape and that it should be abolished. Thankfully…
Here is an updated version of the Canadian Charity Legal Checklist. For those who are interested in reviewing legal compliance for their registered charity they may find the checklist helpful.
Blumbergs has provided a submission to the Finance Committee (FINA) as part of the 2015 pre-budget consultation. It deals with non-profit transparency and accountability. View Article
The CRA Corporate Business Plan discusses CRA plans. It provides some interesting information on the Charities Directorate. Here are some of the highlights: The Charities Directorate has a budget of about $29,154,434. It has about 333 Full Time Equivalent positions. Here…
CBC discusses charitable giving in an article entitled “Holiday giving? Don't pick a charity by financial statements alone: Research, volunteer and donate directly if you want to give smart this holiday season”. The article discusses some ideas as to how donors…
We are looking forward to presenting the Blumbergs' Canadian Charity Law Boot Camp 2015 on April 14, 2015. For information or to register see: Blumbergs' Canadian Charity Law Boot Camp 2015
The Charities Directorate of the Canada Revenue Agency has revoked the charitable registration of Ecotecture: Centre for Ecological Art and Architecture for its involvement in a scheme known as the Via Project or Vintage Iconic Archives. The former registered charity…
Tax Court of Canada has released a number of judgements dealing with false receipting this week. The cases all relate to a scheme in Vancouver involving the issuance of approximately $12 million in false receipts. The cases of Azim Bani…
CRA has put up another reminder to Canadians about abusive charity gifting tax shelters. The title is “Warning: be cautious if you are thinking of participating in a gifting tax shelter schemes” CRA notes “Since 2006, the CRA has seen a…
The Supreme Court will be hearing the Guindon case in December. The case deals with the constitutionality of certain penalties that are provided for in the Income Tax Act (Canada). We have discussed the case in an earlier blog posting. It…
The recent terrorist attacks in Quebec and Ottawa are a reminder of the impact of terrorism. Canadian charities are an important part of Canadian society and it is important that they protect their employees, volunteers, and other resources from…
The CRA announced that it has revoked a charity, Skyway Foundation of Canada, for issuing inflated receipts for donations of marketable securities. In our Receipting Kit we note: “When a donor donates shares on certain stock exchanges, the CRA has…
I was delighted to read a publication “Donor Beware: Investigation into the sufficiency of the Canada Revenue Agency's warnings about questionable tax shelter schemes”. The special report was prepared in December 2013 by J. Paul Dubé, the Taxpayers' Ombudsman. The 39 page report rips into charitable…
On October 3, 2014, CRA released an updated resource on tax shelter arrangements on the CRA website. This page provides detailed information on what is a tax shelter, provides links to case law dealing with tax shelters, and cautionary steps…
Did Mr. Imoh give charitable donations of 45,000, in cash, to Revival Time Ministries International over 3 years? Did Mr. Bello give $15,000 to the same charity? This is the crux of the case. You can read about Revival Time…
Over the last few years in both Canada and the US there have been greater attempts to rate charities. As part of the Blumbergs’ Charity Law Institute 2014 see “The Great Debate: Be it Resolved That Rating charities improves…
The CRA yesterday released its guidance on ineligible individuals (CG-024). The new rules were announced in the 2011 Federal Budget and it is good to see CRA finally providing its guidance on ineligible individuals. Here is the CRA summary: The…