Policy Forum: Tax Exemption for Canadian Non-Charitable Non-Profits--More Information, Please!

McMillan, Lori

Non-charitable non-profit organizations in Canada enjoy tax-exempt status, but the rationale for exemption and the policy goals have been poorly articulated from inception. The empirical data suggest that the major sources of revenue for the subsector are commercial in nature, rather than donative, belying some of the vague assumptions underlying exemption. Given the commercial nature of a large number of these organizations, and the lack of readily available information on exactly what these organizations are doing, more information is needed in order to maintain tax equity between commercial and non-profit organizations. The policy goals for the exemption also need to be articulated.

CANADA; TAX exemption; TAXATION of nonprofit organizations; TAX incidence; TAX assessment

Canadian Tax Journal / Revue Fiscale Canadienne, 2024, Vol 72, Issue 2, p329

0008-5111

Academic Journal

10.32721/ctj.2024.72.2.pf.mcmillan