CRA Proposes Revoking Charity Registrations

Summary#

The Canada Revenue Agency published notices in the Canada Gazette (Part I) on October 19, 2024 saying it intends to revoke the registrations of a number of charities and one registered Canadian amateur athletic association under the Income Tax Act. Some revocations were made at the charities’ requests; others are proposed because the charities failed to meet filing requirements.

What it does#

• Announces proposed revocations of charity registrations under the Income Tax Act.
• States that when a charity asked for revocation, the revocation is effective on the date the notice appears in the Canada Gazette (that is, October 19, 2024).
• Lists many specific organizations whose registrations are proposed for revocation for two reasons:
  • They requested to have their charitable status revoked (examples include FEDERATION OF CANADIAN MUSIC FESTIVALS and WORLD DWARF GAMES 2017).
  • They have not met the filing requirements and are proposed for revocation (a long list of groups is printed in the Gazette).
• The notices are signed by Sharmila Khare, Director General, Charities Directorate, Canada Revenue Agency.

Who's affected#

• The named charities and the one named registered Canadian amateur athletic association. Examples include FEDERATION OF CANADIAN MUSIC FESTIVALS, WORLD DWARF GAMES 2017, and dozens of other community groups, religious organizations, arts groups, auxiliaries, school foundations and local trusts listed in the Gazette.
• Donors, volunteers and communities that rely on those organizations may notice practical changes.
• It is unclear from the notice whether any of the listed organizations will take steps to correct filings or appeal; the Gazette simply publishes the intended revocations.

Why it matters#

• Losing registered charity status is significant for an organization: that registration is what allows groups to operate as registered charities under the Income Tax Act.
• For groups that asked for revocation, the change may reflect an intentional winding down or shift in operations. For groups proposed for revocation for not filing, the change can happen without the organization’s request and may affect their ability to receive certain tax-related benefits.
• Local donors and service users could be affected if an organization stops issuing official donation receipts or changes how it manages funds or programs.
• The Canada Gazette lists the full names and business numbers so people can check whether a particular organization is on the list.