Fundraising is one of the most heavily scrutinized acts for
charities by the Canada Revenue Agency (CRA), and charities can
lose their registration if they fail to comply with acceptable
fundraising practices. The CRA interprets 'fundraising'
broadly to include the solicitation of donations of cash or gifts
in kind, or the sale of goods or services to raise funds. In
practice, this includes planning, researching, or preparing to ask
for support, along with related activities such as profile raising,
donor stewardship, and donor recognition.
Below are some important tips for how charities can ensure they
raise the funds they need without overstepping the boundaries of
their charitable goals and thus risking an investigation or worse
from the CRA. For more information from the CRA on fundraising
practices for charities, please see here.