Canadians are well used to attending at various tribunals, boards, and panels. The assumption is that the decision makers at these bodies are subject to certain rules to ensure that they operate fairly and come to decisions that are applied legally. Parliament and the various provincial legislatures have set up these quasi-courts to take advantage […]
Along with tax professionals all over Canada, Drache Aptowitzer PC has noticed the increasing processing delays in every department of the Canada Revenue Agency (CRA). The backlog can be extreme. In the last three years, the processing time for charitable applications may have as much as doubled. And there have been similar delays in resolving […]
By: Alexandra Tzannidakis In the public mind, the idea of tax credits for giving to ‘good causes’ sometimes leads to confusion and conflation of charitable tax credits and political tax credits. The truth is that charities and political causes are legally very distinct concepts (there is no such thing as a political charity) and although […]
By Tanya Carlton Registered charities, except charities designated as private foundations, may run related businesses; however, the Income Tax Act does not define what a related business is – except to state that a volunteer-run business is to be considered a related business even if there is no link between the business and the objects […]
An Overlooked Source of Major Donations Adam Aptowitzer I have often thought that the old maxim of Jean Baptiste Colbert “The art of taxation consists in so plucking the goose as to obtain the largest possible amount of feathers with the smallest possible amount of hissing” applies just as well to soliciting for donations as […]
FCA Rules on Employee vs. Independent Contractor Status Arthur Drache, March 10, 2006 In a major decision which should have an impact on the general law, and most significantly, the income tax laws, dealing with employment status, the Federal Court of Appeal has held that dancers with the Royal Winnipeg Ballet (“RWB”) are independent contractors. […]
Principal Residence Exemption for Home Held in Personal Trust Arthur Drache, December 04, 2006 Most Canadians, even those who are not particularly tax oriented are aware of the fact that there is no capital gain payable when a principal residence is sold. This rule has become a source of huge tax free gains for a […]
Ten Percent Rules Offers Poor Protection for Political Activities Arthur Drache, October 19, 2006 A couple of months ago we were speaking with somebody who commented that in his view, the so-called “10%” rule pretty much ensures that few if any charities will be threatened because of political activity. We were surprised by this observation […]
Charities at the Appeals Level Adam Aptowitzer This article continues our series on a charity’s dispute with the Canada Revenue Agency (“CRA”). In our last article we dealt with the first formal stage of a dispute, the audit process, culminating when the charity receives a notice of assessment or reassessment for a fine or penalty […]
Audit Exemption for Ontario Charities Adam Aptowitzer, October 19, 2006 There seems to be much confusion around the requirements for the auditing of Ontario not-for-profit Corporations. By way of review, a charity can be either incorporated or unincorporated; an organization incorporated under the laws of Ontario would be required by the Corporations Act to arrange […]