CRA’s New Fundraising Guidance for Canadian Registered Charities 2012 just released
Published under: What's New from the Charities Directorate of CRA | Canadian Charity Law | Fundraising Guidance for Registered Charities
On April 20, 2012 CRA released a new Guidance on Fundraising for Canadian registered charities. This guidance is the most important information from the Charities Directorate on the obligations of Canadian registered charities when it comes to fundraising.
Here is a larger font version of the guidance:
Here is a link to the CRA website:
In brief here are some of the changes::
-the new Guidance is in one document rather than two separate documents;
-the ratio of fundraising expenditures to revenue will receive less prominence - it will be one of many factors that could result in fundraising being viewed as unacceptable;
-the CRA’s suggested method of allocation is simplified substantially;
-the CRA’s position on charitable gaming is clarified - gaming is still covered under the guidance and costs and revenues fall into the ratio and CRA recognizes that charities that use lotteries and gaming may have much higher ratios;
-there is a detailed discussion on the importance of having a reserve fund policy so that the public understands why your charity is fundraising when they may have a substantial reserve; and
-there is a discussion of working with non-arms length fundraising firms.
This page is located at: http://tinyurl.com/8x99n2j