Charities are often unsure whether soliciting and accepting corporate sponsorships requires them to collect and remit HST, similar to the for-profit sector. The following article discusses how HST affects charities, and specifically how HST affects charities that solicit sponsorship money. It is important to note from the outset of this article that the HST treatment […]
Directors’ and Officers’ Duties under the CNCA
Many individuals throughout Canada volunteer their time on the Boards of either charities or not-for-profits (“NPOs”) without realizing the duties imposed on them as a result of their position within the organization. Before accepting a position with a federally incorporated organization, individuals should ensure they know what is expected of them under the law. Directors […]
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Close Encounters of Special Act Corporations
The Canada Not-for-profit Corporations Act (CNCA) establishes a new set of rules for not-for-profit corporations in Canada. These new rules replace the Canada Corporations Act (CCA). Part 19 of the CNCA applies to any corporation without share capital incorporated by a special act of Parliament and not continued under another act. For this reason, federal […]
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A Charitable Executor
Recent conversations with friends and clients in the charity and non-profit world have given me cause to ponder and investigate the question of whom or what can act as an executor of an estate. This question is an important one today. In generations past, many did not live long enough to amass the kind of […]
Donations In Kind and Appropriate Due Diligence
Charities need to be vigilant when accepting donations in kind. These include any non-monetary items, such as art, rare books, equipment and materials, personal objects of value, real property and computer-related assets. Receiving such donations is quite acceptable, but only after proper due diligence and professional advice is sought and followed. Donations in kind must […]
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Community Foundations as a Wind-Up Destination
By: Arthur B. C Drache C.M., Q.C. When the Income Tax Act was re-written back in 1976 to create a whole new regime for charities (what is now embodied in section 149.1) one of the most far-reaching changes was the requirement for all charities to file public information returns, though by today’s standards the forms […]
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Books and Records For Charities: Part III (What to Do About Missing Records)
Books and Records For Charities: Part III (What to Do about Missing Records) The failure to maintain books and records is ground for suspension of a charity’s tax-receipting privileges. Such a suspension can translate into the loss of big donations. This article is the last in a three-part series on what “books and records” means […]
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Credit Proofing Charity Assets Part II
Credit Proofing Charity Assets Part II In last month’s newsletter we discussed the method of credit proofing a charity’s assets by incorporating separate corporations to hold different types of assets and operate discrete activities. A key element in organizing into separate corporations is to ensure that independence and authority are maintained while, at the same, […]
Litigating Human Rights Cases
Litigating Human Rights Cases Held not to be Charitable in England By Arthur Drache, C.M. Q.C. Over the years we have regularly criticized both the CRA and the Federal Court of Appeal for what we consider to be their too restrictive view of political activities.[1] We often have cited the more “liberal” approach of the […]
Books and Records For Charities: Part 1 (An Introduction)
Books and Records for Charities: Part I (An Introduction) The failure to maintain books and records is ground for suspension of a charity’s tax-receipting privileges. Such a suspension can translate into the loss of big donations. This article is the first in a series on what “books and records” means and how to meet the […]
Read the article: Books and Records For Charities: Part 1 (An Introduction)