There are instances when directors are financially compensated for their time and effort. Adam explains when this may be allowed, the legal penalties for improper compensation, and the best ways to maintain transparency in the boardroom and beyond.
When an organization decides to close its doors for good, people aren’t as vocal about the process. Still, there are steps involved and legal requirements that must be met.
Your organization may be doing great work in the community, but would it pass the CRA’s public benefit test? Adam explains what the test is and what it actually means to provide ‘tangible’ benefits to the public.
The Supreme Court of Canada ruled last year that sports organizations below the national level do not qualify as registered charities. Adam discusses the promotion of soccer and fitness as a charitable object, and the likelihood of obtaining charitable status for sports organizations.
For an organization to be registered as a charity, its purposes must fall within one of four categories, one of which is "other purposes beneficial to the community in a way the law regards as charitable". Adam explains what this encompasses, and what doesn’t fit into this category.
For an organization to be registered as a charity, its purposes must fall within one of four categories, one of which is the advancement of religion. Adam explains how “religion” is defined for these purposes, why it is considered a charitable object, and how fringe cults fit into the mix.
For an organization to be registered as a charity, its purposes must fall within one of four categories, one of which is the relief of poverty. Adam explains the type of organization that is eligible for this designation, and the kinds of poverty relief that may not qualify.
For an organization to be registered as a charity, its purposes must fall within one of four categories, one of which is the advancement of education. Adam explains what types of activities qualify as advancement of education and which do not.
Adam explains what types of infractions are subject to penalty, the intermediate sanctions that the CRA recently introduced, and what you can do if you don’t agree with their ruling.
Competition for nonprofit funding is increasing all the time, and many organizations are turning to business ventures to generate additional revenue. While this has proved very successful for many, registered charities must walk a fine line with the Canada Revenue Agency (CRA).
