Canada Revenue Agency

Wed, 2014-11-19 08:00Emma Gilchrist and Carol Linnitt
Emma Gilchrist and Carol Linnitt's picture

Industry-Funded Vivian Krause Uses Classic Dirty PR Tactics to Distract from Canada's Real Energy Debate

Vivian Krause

Vivian Krause has spent years scrutinizing how Canadian environmental groups are funded, claiming she's just asking “fair questions.”

But as the blogger-turned-newspaper-columnist has run rampant with her conspiracy theory that American charitable foundations' support of Canadian environmental groups is nefarious, she has continually avoided seeking a fair answer.

If Krause were seeking a fair answer, she'd quickly learn that both investment dollars and philanthropic dollars cross borders all the time. There isn’t anything special or surprising about environmental groups receiving funding from U.S. foundations that share their goals — especially when the increasingly global nature of environmental challenges, particularly climate change, is taken into consideration.

Despite this common-sense answer, Krause’s strategy has effectively diverted attention away from genuine debate of environmental issues, while simultaneously undermining the important role environmental groups play in Canadian society.

Tue, 2014-10-21 09:19Emma Gilchrist
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Right-Wing Charities Escaping CRA Audits: New Report from Broadbent Institute

Canada Revenue Agency

A new report from the Broadbent Institute raises fresh questions about whether Canada Revenue Agency (CRA) audits are being used as a politicized tool to pressure critics of the federal government. 

The report, Stephen Harper’s CRA: Selective audits, “political” activity, and right-leaning charities, says several right-leaning charities are reporting zero “political” activity while engaging in work that appears to meet the CRA’s definition.

We know charities that have been critical of policies of the Harper government are being audited by the Canada Revenue Agency. With mounting evidence suggesting bias in auditing decisions, we need to find out what’s going on here,” said Rick Smith, executive director of Broadbent Institute, a non-partisan organization founded by former NDP Leader Ed Broadbent.

Tue, 2012-06-05 05:54Jeff Gailus
Jeff Gailus's picture

Time to Audit the Fraser Institute

On March 25, 2012, the Compliance Division of the Canada Revenue Agency (CRA) received a letter from Jensen Shawa Solomon Duguid Hawkes LLP (aka JSS Barristers). In 11 detailed pages, JSS Barristers lodged a complaint against Environmental Defence, a charity registered with the CRA, on behalf of Ezra Levant’s brainchild, the Ethical Oil Institute. A month later, on April 24, the JSS-Ethical Oil team sent the CRA a second, similar letter, this one a 44-page imputation that the David Suzuki Foundation, like Environmental Defence, was “in contravention of the CRA rules surrounding registered charities and political activity.”

According to the CRA, and as echoed in the Ethical Oil Institute’s complaints against Environmental Defence and the Suzuki Foundation, a charity may not be created for a political purpose, and it can't “take part in an illegal activity or a partisan political activity.” Specifically, the CRA states that charitable organizations must devote “substantially all” (i.e. 90%) of their resources to charitable activities, and that any political activity is “subordinate” to its stated purpose.

That's not to say that charities can't promote their work and educate the public about issues that have political implications. But in doing so they must ensure that public awareness campaigns aren't their “primary activity, and their information must be “well-reasoned.” It goes without saying that they don't connect their views to specific political parties or candidates.

As an example, the CRA states that “a purpose such as improving the environment by reducing the sulphur content of gasoline would very likely require changes in government regulations. Generally, any purpose that suggests convincing or needing people to act in a certain way and which is contingent upon a change to law or government policy (e.g., “the abolition of” or “the total suppression of animal experimentation”) is a political purpose.”

Given all of this, and given the Ethical Oil Institute’s obvious concern about registered charities flouting CRA rules — namely, engaging in partisan political activity, or spending too much time and money influencing public opinion about laws, policies, or government decisions — it’s surprising that Ethical Oil didn’t send a third letter complaining about perhaps the most politically partisan of all Canadian charities — the infamous Fraser Institute.

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