Charities are an important part of the Canadian economy, accounting for eight per cent of the gross national product.
That’s according to Nova Scotia charity attorney Richard Bridge, who spoke with 21 representatives from various local charities and non-profit organizations during Wednesday’s charity workshop at the Heritage Inn.
“It’s a major player from an economic standpoint,” he said, adding there are about 83,000 registered charities in Canada.
The British Columbia Centre for Social Enterprise offered the one-day course in conjunction with the Canada Revenue Agency (CRA) in order to provide local charities and non-profit organizations with valuable taxation information.
Aside from being an important part of the economy, Bridge said charities perform a vital role providing services and relief to Canadian society.
However, Bridge said there are very specific rules charities must follow in order to maintain charity status, which allows these organizations to issue tax receipts for those who donate money, as well as accept grants from foundations.
For example, he said the CRA requires charities maintain precise records and strict, thorough governance.
One of the rules dictates a charity should not spend more than 10 per cent of its resources (funds, personnel and property) on social activities, although Bridge said charities use such activities as fundraising events.
There are also guidelines to the degree a charity can be politically active. For example, while a charity may (to a limited degree) campaign for a political cause that fits within the charity’s modus operandi, charities can’t support a specific politician or party, nor can they be created for a political purpose.
Bridge said the CRA makes available the rules regarding charity status and recommends those with any questions either call 1-800-267-2384, or visit the website www.cra-arc.gc.ca/tx/chrts/menu-eng.html.
He added the rules regarding charity law were first established by the 1601 Statute of Elizabeth in England.
Helping facilitate Wednesday’s workshop was South Central Community Futures, which aims to provide counselling for Moose Jaw-area small businesses, including charities.

Carter Haydu can be reached at 691-1265.