The Budget Implementation Act No. 1 (Amended 2022) (the Act), which governs the Canadian national budget and associated matters, was given royal assent on June 23, 2022. Charities across Canada should take note of specific sections included in Part 16 of the Act that expand the types of disbursements exempt entities can make to advance their charitable purposes.
Of particular interest to CAF Canada and other funders in Canada is Part 16 (3), which establishes two critical definitions for charities to note:
ii. the charity maintains documentation sufficient to demonstrate
Pending further guidance from the Canadian Revenue Agency, this change to Canadian charity regulation seems to significantly expand Canadians’ capacity to fund charitable activities around the world. CAF Canada is closely tracking this matter and urgently awaits further guidance from the Canadian government.