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:
CRA Fundraising Guidance April 20, 2012 in PDF
Here is a link to the CRA website:
http://www.cra-arc.gc.ca/chrts-gvng/chrts/plcy/cgd/fndrsng-eng.html
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
Related Posts
January 14, 2021
Going the Extra Mile: The Liability of Foreignness in U.S. Foundation International Grantmaking to Local NGOs
I recently ran across a very good article entitled: "Going the Extra Mile: The Liability of Foreignness in U.S. Foundation International Grantmaking…
January 13, 2021
Blackbaud’s “Tax Receipting and the Top Compliance Issues for Canadian Charities” delivered by Mark Blumberg
Mark Blumberg will be delivering a webinar for Blackbaud on "Tax Receipting and the Top Compliance Issues for Canadian Charities". Here is further…
January 2, 2021
La Presse Inc. is first registered journalism organization registered under new category of qualified donee
La Presse Inc. is now the first registered journalism organization registered under new category of qualified donee. You can see it listed here. As…