Description

Donations made by one registered Charity Organization to another are common in Canada’s Charitable Sector. Such donations do not give way to a charitable tax receipt because both the donor and the recipient are tax-exempt organizations.

Inter-Charity activity gives rise to important considerations for the donor and recipient. Both parties to the transaction must ensure the activity aligns with their Organization’s missions and mandates. In this report, we fully examine why Inter-Charity activity occurs, what issues need to be considered, the costs and benefits of such activity, its magnitude and diversity of use, and the oversight provided by the sector’s regulator – the Canada Revenue Agency (CRA).

We provide analytical insights through the following studies:

* The Total Value of Inter-Charity Donations for each of the five years from 2016 to 2020.
* The number of Charity Organizations which reported receiving Inter-Charity Donations in each of the five years from 2016 to 2020.
* The percentage of Charity Organizations which reported receiving Inter-Charity Donations for each of the five years from 2016 to 2020.
* The value of Inter-Charity Donations relative to Total Revenue of all Charity Organizations for each of the five years from 2016 to 2020.
* The value of Inter-Charity Donations relative to Total Revenue for only those Charity Organizations reporting such donations for each of the five years from 2016 to 2020.
* The value of Inter-Charity Donations relative to Total Tax Receipted Donations of all Charity Organizations for each of the five years from 2016 to 2020.
* The value of Inter-Charity Donations relative to Total Tax Receipted Donations for only those Charity Organizations reporting such * donations for each of the five years from 2016 to 2020.
* The number of Charity Organizations reporting Inter-Charity Donations by size of Charity and Foundation for 2020.
* The value of Inter-Charity Donations by size of Charity Organization for 2020.
* The average and median value of Inter-Charity Donations received by Charity Organizations for 2020 compared to 2016.
* Total Inter-Charity Donations by Category Charity Organization reported in 2020.
* The percentage of Charity Organizations in each Category which report receiving Inter-Charity Donations in 2020.
* Inter-Charity Donations as a Percentage of Total Revenues for each Category in 2020.