Update: Political Activities
- Since 2012, CRA has devoted significant resources to auditing charities for political activity
- November 2015 – mandate letter from Prime Minister Trudeau to Finance Minister, Bill Morneau and from Prime Minister Trudeau to Minister of National Revenue, Diane Lebouthillier
- "Top priorities" include:
- "... to allow charities to do their work on behalf of Canadians free from political harassment, and modernize the rules governing the charitable and non-for-profit sectors. This will include clarifying the rules governing 'political activity,' with an understanding that charities make an important contribution to public debate and public policy. A new legislative framework to strengthen the sector will emerge from this process."
Background: CRA Audits
- January 2016 – Minister Lebouthillier announced political activity audit program to be wound-down
- Confirmed in Budget 2016
- Audit program update:
- 30 political activity audits completed (5 resulted in revocation)
- 24 more audits underway and scheduled for completion
- 6 remaining charities selected for audit not to be reviewed
- Dealing with audits resulted in significant costs to charities
- Of approx. 86,000 charities in Canada, approx. 500 report carrying on political activities on their annual information returns
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