As part of the 2026 Spring Economic Update, the Government of Canada announced that they will undertake an exercise to modernize the framework for the charitable sector in 2026-27. Canadians, registered charities, and other interested stakeholders are invited to participate in consultations to help inform this work. With advances in technology and digitization, the government is seeking views on how the legislative framework for registered charities under the Income Tax Act and its administration can better support the important work of the charitable sector, reduce unnecessary administrative burdens, adapt to advances in technology and digitization, and strengthen transparency and public trust.

Purpose of the consultation

This consultation is intended to seek views on how the tax rules for registered charities and the CRA’s administration of these rules could be modernized while continuing to protect the integrity of the charitable donation tax incentives provided through the tax system.

The consultation will focus on four key areas:

  1. The registration process
  2. Digital service delivery
  3. Audit and compliance activities with respect to charities
  4. The revocation and objections processes for charities

For further information or to participate in the consultation, click here.