Donor Advised Funds can have greater secrecy – it can also be a problem

Donor Advised Funds are registered charities in Canada that allow a donor to donate to the charity but the donor retains the ability to recommend…

CRA’s Top Five Audit Issues

If you have ever wondered what are some of the most common findings CRA has when it audits charities well here is the "Top Five Audit Issues":…

TCC Ruling on Failure to Maintain Adequate Books and Records with Foreign Activity and Suspension

On June 28, 2019, the Tax Court of Canada released its decision Promised Land Ministries v the Queen, in which it upheld CRA's decision to…

Registered Charities and CRA Charity Audits

The Canada Revenue Agency’s (CRA) Charities Directorate is the de facto regulator of Registered Charities in Canada and they audit between 600 and…

CRA Charities Directorate Audit Statistics

In a presentation to E&Y Gary Huenemoeder of the Charities Directorate provided certain updated audit statistics for 2016-2017 which shows the…

Third-party civil penalty disclosure from CRA – 164m in penalties from 2009 – 2016

CRA has provided information through ATIP on third-party civil penalties from 2009 to 2016.  The number of completed third-party…

Ignorance isn’t bliss for large registered charities anymore as CRA focuses audits on them

CRA uses a risk based approach to deciding which charities are to be audited. CRA a few months ago announced they are adjusting their audit strategy…

Charities Directorate statistics on audits for 2015/2016

We recently had Gary Huenemoeder of the Charities Directorate presenting at our Blumbergs' Charity Law Institute and providing an update on charity…

New CRA webpages on political audits and the general audit process

CRA has recently posted two new web pages on Charities and political activities (Budget 2012) and The audit process for charities.  …

CRA revokes the registration of the Canadian Friends of Pearl Children

The CRA has revoked the Canadian Friends of Pearl Children for involvement with what CRA would term an abusive charity gifting tax scheme.…

CBC says “Giving Tree Foundation to be stripped of charity status”

CBC recently reported in an article "Giving Tree Foundation to be stripped of charity status: Charity that gives $2M a year to children's…

Some historical CRA letters when registered charity status is revoked – Part II

For a number of years we have been providing the public with copies of CRA revocation letters.  These letters set out the CRA reasons for revocation…

Afovia v. The Queen – recent TCC case confirms that mandatory elements of receipt are mandatory

In a recent Tax Court of Canada case Afovia v. the Queen, Paris J. decided that CRA can revoke a charity for issuing official donation receipts that…

Paul Waldie’s article “Gifting tax audits ensnare 170,000 Canadians” is most read story on ROB.

It is interesting that Paul Waldie’s article entitled “Gifting tax audits ensnare 170,000 Canadians” was this week’s most…

Preparing your Canadian Registered Charity for a CRA Audit

If you anticipate that your charity is going to be audited by the Charities Directorate of CRA you may wish to review my article Canada Revenue…

Canada Revenue Agency (CRA) Audits and Canadian Registered Charities

This article provides information and suggestions as to how a Canadian charity should, and should not, deal with CRA audits.  It also discusses…

CRA improves functionality for search of Canadian registered charities database

The Charities Directorate has vastly improved its section of the CRA website over the last year, although it still has a way to go!.  In the…

Informal Legal Audits of Canadian Charities and their Foreign Operations

The Globe & Mail article I referred to above on Canadian disaster relief charities not complying with the rules provides one of many…

Canadian Non Profit and Charity Legal Audits: Forget about It!

Increased media, donor and regulatory scrutiny has resulted in more charities conducting informal legal audits to prevent problems, rather than…