www.carters.ca
www.charitylaw.ca
3.Cannon v. Funds for Canada
Foundation, 2012 ONSC 399 (CanLII) (January 18, 2012)
•The Ontario Superior Court
certified a class action involving a charitable donation tax
scheme
•In summary, a donor’s original
donation of $2,500 was purportedly increased to $7,500 through
the exchange of sub-trust units between the various trusts
involved, therefore making the original donation seem larger than
it actually was
•The recipient charities agreed
to return 99% of the donations to the promoters to use a
software program
•CRA disallowed donors’ tax
deductions because donations were not gifts and charged interest on outstanding
taxes owing due to the disallowance
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