The Children's Wish Foundation of Canada is a registered charity and must adhere to Canada Revenue Agency (CRA) regulations regarding the issuance of all receipts. Tax-deductible receipts are issued to donors who make gifts to charities. A gift is a transfer of cash, where the donor receives no benefit in return.
The Children's Wish Foundation of Canada can issue income tax receipts under the following conditions:
- Tax-deductible receipts will be issued for an amount equal to the amount of cash received by The Children's Wish Foundation of Canada. If net proceeds are provided, tax-deductible receipts will not be issued for the gross amount.
- Tax-deductible receipts will be issued to event participants and donors following the event, as long as the Foundation is provided with a list of names and addresses of the individuals to be receipted, including the amount of the donation.
- If tax-deductible receipts are to be issued to event participants for the gift portion of a ticket price, this amount must be clearly identified and differentiated from the 'fair market value' of the event. Please discuss this with your local The Children's Wish Foundation of Canada office prior to establishing your ticket price to ensure compliance with all CRA regulations.
The Children's Wish Foundation of Canada cannot issue tax receipts under the following conditions:
- Purchases of raffle tickets, admission tickets, greens fees and goods not eligible for a tax-deductible receipt. This is because tax-deductible receipts can only be issued to those who have not received a benefit in consideration of their support.
- The Foundation cannot issue tax-deductible receipts for donated services including hiring someone or thing for an event (e.g. tent set-up, entertainment).
- Both cash and in-kind sponsorships are not receipted. Under CRA regulations, sponsors cannot receive a tax-deductible receipt, as they are receiving benefits of commercial value for their sponsorship fee. Sponsors can deduct their sponsorship as a legitimate business expense.