The deadline for registered charities (and eligible, similar entities) to submit property tax rebate applications for 2015 is the last day of February, 2016. Given the many variables that may be involved in an application, and the opportunities for early submission and therefore earlier cashflows, now is a good time to get started on rebate applications.
The Income Tax Act confers on the CRA a broad range of powers to audit Canadian taxpayers, including registered charities and not-for-profit organizations (“NPOs”). Some examples of those audit powers that have been conferred on CRA include the power to inspect books and records, as well as to compel taxpayers to respond to requests for information or obtain third-party records at CRA’s request (potentially subject to CRA having received judicial authorization for the request).
Registered charities, except charities designated as private foundations, may run related businesses; however, the Income Tax Act does not define what a related business is except to state that a volunteer-run business is to be considered a related business even if there is no link between the business and the objects of a charity.