The Ottawa Paw Pantry, like all other registered charities, must adhere to the Canada Revenue Agency (CRA) Income Tax Act when issuing charitable tax receipts. To learn more about charitable tax receipts visit www.canada.ca/charities-giving. Issuing inappropriate charitable tax receipts can put our charitable status in jeopardy.
This policy applies to donations received through all fundraising activities of the Ottawa Paw Pantry, including: general donations, annual giving, planned gifts, special fundraising initiatives, and campaigns. We welcome the gifts of individuals, corporations, and foundations to help us achieve our mission.
In general, a gift is made and a receipt may be issued if all three of the conditions listed below are satisfied.
- Some property, either in the form of cash or a gift-in-kind, is transferred by a donor to a registered charity and the value of the gift can be determined.
- The property is given voluntarily.
- There is a clear intent to donate.
As a matter of principle, we engage in the following practices:
- The Ottawa Paw Pantry will not accept gifts that are not recognized by CRA, or violate federal, provincial or municipal laws.
- The Ottawa Paw Pantry will not accept gifts, enter into partnerships, or accept support that will compromise its commitment to its mission and essential values as articulated in the Ottawa Paw Pantry’s guiding principles.
- The Ottawa Paw Pantry values and will protect its integrity, autonomy and funding freedom, and does not accept gifts when a condition of such acceptance would compromise these fundamental principles.
- The Ottawa Paw Pantry reserves the right to accept or decline any gift. The final decision to decline a gift rests with the Board of Directors.
We are committed to the following procedures in accepting donations:
- Designated gifts will be used for the purposes for which they are provided.
- Undesignated gifts will be used for the most-needed initiatives as determined by the Managing Partners in conjunction with the Board of Directors.
- Accountability to donors must be of the highest calibre, through appropriate acknowledgment, and accurate and timely reporting by the relevant Ottawa Paw Pantry personnel. Where appropriate, gift agreements will be recorded between donors and the Ottawa Paw Pantry and these will be adhered to by the Ottawa Paw Pantry.
- All donations will be recorded and receipted in accordance with the rules and regulations set out by the CRA. The Ottawa Paw Pantry will issue an official receipt for donations of $20 or more that qualify as charitable gifts, in accordance with CRA guidelines. Receipts for donations of less than $20 will be issued only when requested by the donor.
- Anonymity will be granted to any donor who makes this request.
- After a fundraiser, the Ottawa Paw Pantry will provide receipts in a timely manner. If the Ottawa Paw Pantry does not have the information required to issue a CRA compliant receipt, we may request this information. To issue a CRA compliant receipt, we must have the donor’s first and last name, full addresses (including postal code) and the amount to be receipted. The Ottawa Paw Pantry cannot issue a receipt if there is a failure or refusal to provide this information.
- The total funds donated must equal or be in excess of the amount to be receipted. We cannot issue receipts for more than the donation amount.
Frequently asked questions
Is there a minimum donation amount required for a tax receipt?
Yes, a minimum donation amount of $20 has been established by the Ottawa Paw Pantry due to the various costs associated with receipting.
What direct donations can be receipted?
The Ottawa Paw Pantry accepts cash, cheques or money orders made payable to “Ottawa Paw Pantry”. Post-dated cheques are accepted. If you would like to donate via credit card, we encourage you to do so through Canada Helps: www.canadahelps.org/en/charities/ottawapawpantry/
Can the Ottawa Paw Pantry issue receipt booklets to third party fundraisers?
No, the Ottawa Paw Pantry cannot supply receipt booklets. There are CRA regulations that we must adhere to with regards to charitable tax receipts. We have no way of ensuring that these regulations are followed if receipt books are distributed to third parties.
What do you mean by clear intent to donate?
The CRA maintains that in order for receipts to be issued there must be a clear intent by the donor to enrich the charity, otherwise the gift is not considered a donation and is not tax deductible.
Can I receive a tax receipt for the proceeds of the sale of a product or service?
Yes, funds sent in as proceeds from the sale of a product or service are tax deductible to the seller, but not to the buyer.
Can a receipt be issued for a donation of service?
Contributions of services are not property and therefore do not qualify as gifts for purposes of issuing official charitable receipts. However, a charity may issue an official donation receipt if an entity provides a service to the charity, the charity pays for the service and the entity then returns the payment to the charity as a gift. The CRA recommends that in this situation, the parties should proceed by way of an exchange of cheques to ensure the presence of an audit trail.
What is a gift-in-kind and are they eligible for a tax receipt?
“Gifts-in-kind” are gifts of physical property and according to the CRA are eligible for tax receipts. A receipt may be issued for the value of an item before taxes. The Ottawa Paw Pantry requests that organizations donating a gift-in-kind provide an invoice stating the value (not cost) of the item as of the date of the donation. A gift-in-kind does not include a gift of service. To discuss the possibility of making a gift-in-kind, please contact us at firstname.lastname@example.org.
Can sponsorship gifts receive a charitable tax receipt?
No, a payment from a business for which the business receives a material benefit, such as promotion or advertising in return cannot be issued a charitable tax receipt. However, for tax purposes, the business may be able to claim the contribution as an advertising expense. In other words, a business may deduct gifts made to registered charities from taxable business income.
Can property donated for sale at an auction be considered a charitable donation?
Yes, how the charity uses donated property is generally not relevant in determining whether the donor has made a gift to the charity.
Can I set aside a gift the Ottawa Paw Pantry in my will and/or bequest?
Bequests made to the Ottawa Paw Pantry may qualify as a charitable gift if the terms and conditions of the bequest are acceptable under this gift acceptance policy. Official receipts will be issued to the estate of the deceased.
The Ottawa Paw Pantry requires a copy of documents naming the Ottawa Paw Pantry as a beneficiary for our files, prior to a tax receipt being issued.
What about charitable gift annuities?
The Ottawa Paw Pantry will consider charitable gift annuities on a case-by-case basis. The tax receiptable amount will be determined according to Canada Revenue Agency (CRA) Guidelines.
What is the process to donate part of my retirement fund?
The Ottawa Paw Pantry will accept the proceeds of a retirement fund as a gift if it is named as beneficiary. The tax receiptable amount will be determined according to CRA Guidelines.
Can a charity issue an official donation receipt when it receives a donation of a gift certificate or gift card?
Yes, under certain circumstances.
The gift card holder is the person who has the gift card, and is not the issuer of the card. If a gift card holder donates a gift card, the Ottawa Paw Pantry can issue a donation receipt to the holder for the amount of the gift card.
The gift card issuer is the individual or business, such as a retail store, that donates a gift card that can be exchanged for goods or services. If the issuer donates a gift card, the Ottawa Paw Pantry can only issue a donation receipt if the gift card is used to purchase items for the Ottawa Paw Pantry (as opposed to being used as an auction or fundraising item). In this case a receipt can only be issued after a purchase is made with the gift card, for the amount that was used.
Can I get a tax receipt for my web-store purchase?
No. When you purchase an item such as a t-shirt or magnet, you are purchasing a product and are therefore not eligible for a tax receipt under Canada Revenue Agency guidelines.
Can I get a tax receipt for my purchase of an auction item of fundraising item?
No. When you purchase an item through a fundraising initiative, you are purchasing a product and are therefore not eligible for a tax receipt under Canada Revenue Agency guidelines.
Can a receipt be issued for the purchase of a prize draw ticket?
No. In this case the purchase of a chance to win a prize has been made. No part of the cost of a raffle ticket is a gift which may be receipted for income tax purposes.
Can a receipt be issued for the price of a ticket to an event?
No. Event ticket purchases are considered the purchase of goods and services and are therefore not eligible for a donation receipt.