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A group of 42 prominent charity lawyers have signed a second open letter (PDF) in order to voice their full support for the adoption of Bill S-216: Effective and Accountable Charities Act (the “Bill”). As of February 22, 2022, the Bill has passed all three readings in the Senate and first reading in the House of Commons. If the Bill passes the remaining two House readings, the Bill will be proclaimed into force.
This is an incredibly important Bill for the charitable sector in Canada. It proposes to amend the Income Tax Act (Canada) to make it easier for charities to work with third party organizations in Canada and around the world to further their charitable purposes. Charities spend an inordinate amount of time and resources complying with the current rules, which are unnecessarily complex and cumbersome. The new rules in the Bill, if passed, would enable charities to work more flexibly with other organizations while respecting the legitimate need for government oversight over charities’ activities.
We encourage our readers to support this Bill and share the letter with your contacts. We also encourage you to share your support for the Bill with your members of Parliament.
To read the first open letter, see our newsletter article from February 19, 2021.