CCA Bulletin 30/08

Ottawa, Monday, August 26, 2008

Revenue Canada’s Rules for Fundraising by Registered Charities:

the CCA Raises a Red Flag

Just the Facts

As reported in CCA Bulletin 28/08, the Canada Revenue Agency is seeking comments on the new draft policy for fundraising activities by registered charities and set a deadline of August 31 for interested parties to react. 

The Canadian Conference of the Arts (CCA) has intervened today endorsing  the positions taken by Imagine Canada on this issue, but also raising concerns about the inclusion of the phrase “contrary to public policy” in the criteria for disqualifying an organization from having charitable status.

It is the view of the CCA that the inclusion of such a term is overly broad and confers upon the Canada Revenue Agency discretion that could be exercised in an arbitrary and prejudicial manner when considering the activities or productions staged by arts and cultural organizations that enjoy registered charitable status or by any other such organization in other sectors of Canadian civil society.

The CCA and all other arts and cultural organizations have no objection to the inclusion of illegal and criminal acts as prohibited behaviour; however, the sweeping and ill-defined nature of “contrary to public policy” is not consonant with the spirit of transparency and accountability on the part of government, a principle which we also support fully.

The interpretation of the term contrary to public policy provided by the Canada Revenue Agency does not narrow the potential for an overly zealous application of this terminology. The CCA asserts that only behaviour that violates any element of the Criminal Code is sufficient protection for the freedom of expression critical to the creative process.

What can I do?

If your organization is concerned with the proposed policy, you have only until August 31 to express your opinion! You could support and adapt both Imagine Canada’s and the CCA’s interventions in a simple letter sent by fax (613-948-1320), by mail (Charities Directorate, Canada Revenue Agency, Ottawa ON K1A 0L5) or by email to consultation-policy-politique@cra-arc.gc.ca. Please make sure to copy us (alain.pineau@ccarts.ca) on your intervention.