Charity FAQs

Ever heard of the phrase "charity begins at home"? Well, it certainly does, but what if a charity isn't exactly playing by the rules? As citizens, we have a responsibility to ensure that organizations registered as charities are doing what they're supposed to: helping others, not cheating the system.

If you have information that a charity may be non-compliant, here's what you can do:

What to Look Out For:

Here are some red flags that might signal a charity isn't following the rules:

1. Improper Fundraising: Is the charity using shady tactics to get donations? This could include aggressive or deceptive methods to pressure individuals into giving.
2. Non-Charitable Activities:  Is the charity straying from its stated mission and engaging in activities unrelated to helping others? This might indicate a lack of focus or mismanagement of resources.
3. False Receipts: Giving out receipts for donations that weren't actually made is a serious offense. It not only deceives donors but also raises questions about the charity's integrity.
4. Private Benefits: Watch out for instances where directors or other parties associated with the charity receive perks or benefits they shouldn't. This could include excessive salaries, personal use of assets, or other forms of preferential treatment.
5. Misappropriating Funds: Using donation money for personal gain.
6. Lack of Control:  Charities operating outside of Canada without proper oversight may raise concerns about accountability and transparency. It's essential to verify that the charity adheres to relevant regulations, regardless of its geographic scope.
7. Running an Unrelated Business: Doing things that aren't related to their charitable purpose.
   

How to Report Suspicions:

If you suspect a charity of wrongdoing, you can report it through the "Report a lead on suspected tax cheating in Canada" program. Here's what you should include:

1. Charity Details: Name of the charity and, if possible, its registration number.
2. Evidence: Provide as much detailed information as you can to back up your suspicions.
3. Documentation: If you have any documents that support your claims, include those too.

Your Privacy Matters:You can report suspicions anonymously if you prefer. But if you do decide to share your identity, it will be kept confidential. Just remember, once you've submitted a report, you won't receive updates on the investigation. The actions taken by the Charities Directorate are made public only if a charity is revoked, annulled, suspended, or penalized as a result.
‍
Why It's Important:Charities play a crucial role in helping those in need. When they operate dishonestly, it not only undermines public trust but also takes away resources from legitimate causes. By reporting suspicions of non-compliance, you're helping to ensure that charities are doing what they're supposed to: making a positive impact on the world.
‍
In conclusion, being a good citizen means looking out for one another, and that includes keeping an eye on charities too. If you suspect something isn't right, don't hesitate to speak up.