Advertisements must be truthful. This applies to
advertisements from not for profit organizations as well. For
instance, the application of the Canadian Code of Advertising
Standards ("Code"), which is administered by Advertising
Standards Canada ("ASC"), includes advertising by
organizations or institutions seeking to improve their public image
or advance a point of view.
Over the past few years, a number of complaints against not for
profits have been upheld by ASC. In the majority of the
cases, the Accuracy and Clarity clause was contravened. Among
other things, the Accuracy and Clarity clause provides that:
must not omit relevant information in a manner that, in the result,
principle and practice, all advertising claims and representations
must be supportable
must be clearly identified in an advocacy advertisement (which is
defined as advertising which presents information or a
point-of-view bearing on a publicly recognized controversial
For example, in one case, a not for profit was found to have
contravened the Accuracy and Clarity clause of the Code when it
announced in a newspaper advertisement that it raised a certain
sizeable amount of money from a telethon. ASC received a
complaint that the amount of money was inaccurate, as the amount
included monies generated from other fundraising events held
throughout the year.
Other clauses contravened by not for profits over the past few
years included Unacceptable Depictions and Portrayals, Professional
and Scientific Claims, and Superstition and Fears.
Before you finalize your advertising plans, consider reviewing
it against the Code, or you may find yourself justifying your
advertisement to a complainant or the ASC, and risk seeing your
name in print for contravening the Code.
Under the Income Tax Act, the Employment Insurance Act, and the Excise Tax Act, a director of a corporation is jointly and severally liable for a corporation's failure to deduct and remit source deductions or GST.
Under the Income Tax Act, the Employment Insurance Act, the Canada Pension Plan Act and the Excise Tax Act, a director of a corporation is jointly and severally liable for a corporation's failure to deduct and remit source deductions.
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