On the heels of disquieting news that the House of Commons Finance Committee has recommended the abolishment of the Religious Charitable designation under the Income Tax Act, the Government of Canada announced on December 30, 2024 that it would extend the 2024 charitable donation deadline to February 28, 2025, due to the four-week-long Canada Post ..read more

Revocation of JNF Canada’s Charitable Status On August 8, 2024, the Canadian Revenue Agency (the “CRA”) revoked the charitable status of the Jewish National Fund of Canada Inc. (“JNF Canada”). The decision is being appealed by JNF Canada to the Federal Court. Several news articles suggest that one of the reasons for the revocation is ..read more

Registered charities that wish to make international transfers to an intermediary that is a “non-qualified donee” are subject to regulatory and institutional requirements ..read more

Mills & Mills LLP acted for Kfar Yeladim David (KYD) Canada, to ensure the secure transfer of funds to help inaugurate their advanced therapy room in Jerusalem, Israel, catering to children who have experienced trauma, abuse and neglect. KYD serves as a crucial haven and rehabilitation center tailored to the specific needs of disadvantaged children in Israel today. Rooted in a four-generation tradition within the Weingarten family, KYD operates with a team of 286 children and 65 devoted staff members. In these turbulent times, their needs have risen greatly, and their child centred service ..read more

The long-awaited Ontario Not-for-Profit Corporations Act, 2010 (ONCA) was proclaimed into force on October 19, 2021. ONCA now governs not-for-profit corporations (NFPs) incorporated in Ontario (including charitable organizations) and replaces Part III of the Corporations Act. ONCA made significant updates to the legislation previously in place and modernized the process for incorporating new NFPs, clarified the rules surrounding corporate governance, accountability and commercial activities, and introduced a simplified process for financial record review, among many other things. NFPs already ..read more

Becoming a registered charity is an important way for a not-for-profit organization to raise funds and serve its mission. A registered charity can receive gifts from other registered charities and can also make gifts to other registered charities. Canadian donors can give to registered charities and receive a donation receipt, but donors can also give to a wider group of organizations called “qualified donees”. This blog will explain about qualified donees and will focus on the process for a foreign university to become a qualified donee. What is a Qualified Donee? A qualified donee can issue ..read more

Since June 23, 2022, it is easier for Canadian registered charities to give funds directly to non-qualified donees inside or outside of Canada (including foreign charities or non-profits). This can be done through the new qualifying disbursements rules. The previous own activities rules of the CRA remain in place and are still useful in appropriate circumstances. Ways a Registered Charity Can Use Its Resources The Income Tax Act requires that a charitable organization devote all of its resources to activities that further a charitable purpose. A registered charity can only use its resources (f ..read more

As a Director of a not-for-profit Corporation, you can make a valuable contribution to the work of the organization, to its members, and, most important, to the community which it serves.   In order to properly carry out your duties as a Director, you should be aware of your rights, obligations, liabilities and right to indemnification.   A Director is a fiduciary. That means that a Director must act in good faith, with a view to the best interests of the Corporation as a whole. You may be held to a higher standard if you are on the Board of a charity. Generally speaking, directors ..read more

The year 2020, for all of us, has been unprecedented. For some, it has been the worst of times. For others, even the best of times. The not-for-profit sector has been devastated from the perspective of fundraising and programing. But there are also opportunities during these times – many organizations are using these times to plan new ventures or build up policy and governance strength. Bad times are not restricted to these COVID times. Bad times can come about at any time in the life cycle of an organization. Each organization has its own cycle and transitions. New executive directors, new me ..read more

An Ontario Superior Court decision removing limitations on the “non-partisan” political activities of charities has proven over the past two years to be a “game changer”. The 2018 ruling in Canada Without Poverty v. AG Canada removed the Canada Revenue Agency (CRA) restriction that charities spend no more than 10 per cent of their revenues on “non-partisan” political activities. The limit on partisan activities still stands. The question charities must ask is where does the line fall between partisan and non-partisan activities. Does advocating for a political party’s position or pla ..read more