Here is a sample of a Notice of Revocation of Charity’s Registration in which CRA advises that a registered charity has lost its charitable status.

Notice of Revocation of Charity’s Registration

Canada RevenueAgence du revenu
Agency du Canada

                                                NOTICE OF REVOCATION
                                                      OF CHARITY’S
                                                    REGISTRATION
OTTAWA ON K1A OL5
                                                    Date of this notice
                                                        [DATE]
[CHARITY’S MAILING ADDRESS]

 

                                      14 000000000 RR 0000 [DATE] 0000000

RE: Effective Date of Revocation of Charity’s Registration

As the organization has not taken any action in response to our earlier Notice of Intention to Revoke,the Canada Revenue Agency (CRA) has now revoked the charity’s registration effective [DATE].

When the registration of a charity is revoked, it is no longer tax-exempt and cannot issue official donation receipts for tax credit and deduction purposes. It is also subject to a revocation tax.

Enclosed with this notice are the Tax Return Where Registration of a Charity is Revoked (Form T2046) and guide to complete the return.

The law requires that a charity whose registration has been revoked to file the return whether or not any tax is owing.

The charity has until [DATE] either to apply for re-registration as a charity, or to submit the T2046 return and pay any revocation tax that it owes.

Please note that charities that have had their registration revoked for failure to file and then apply for re-registration are now subject to a $500 non-filing penalty. This penalty must be paid before we will review an application for re-registration. In order to qualify for re-registration, the charity must also be in good standing with other taxes administered by the CRA (i.e., payroll, GST, HST, etc.).

If you have questions about this notice, you can write to the Charities Directorate at:

Charities Directorate
Canada Revenue Agency
Ottawa ON K1A 0L5

You can also reach the Charities Directorate by calling:

613-954-0410 for local Ottawa calls (English)
613-954-6215 for local Ottawa calls (bilingual)
1-800-267-2384 for toll free, long distance calls (English)
1-888-892-5667 for toll free, long distance calls (bilingual)
1-800-665-0354 for toll free TTY service for persons with a hearing or speech impairment.

Director General, Charities Directorate

 

Mark Blumberg is a lawyer at Blumberg Segal LLP in Toronto, Ontario.  He can be contacted at mark@blumbergs.ca or at 416-361-1982. To find out more about legal services that Blumbergs provides to Canadian charities and non-profits please visit https://www.canadiancharitylaw.ca or www.globalphilanthropy.ca

This article is for information purposes only. It is not intended to be legal advice. You should not act or abstain from acting based upon such information without first consulting a legal professional.