According to the CRA, “A registered charity may only use its resources (funds, personnel, and property) inside or outside Canada in two ways:
- It can carry on its own charitable activities.” or
- “It can make gifts to qualified donees (usually other registered charities).”
These activities, in either category, must directly support the charity’s stated charitable purpose.
Fundraising activities
Planning, researching, or preparing to ask for support, along with related activities such as profile raising, donor stewardship, and donor recognition, are considered fundraising activities. This section explains how to identify and evaluate these activities and properly report them to the CRA.
Business activities
Ongoing, revenue-generating activities contribute to a charity’s revenue mix, as long as they fit with the organization’s mission.
Political activities
A charity may engage in limited political activities, subject to the rules established by the CRA. Learn more about these rules to determine if your activities meet CRA guidelines.