The CRA has initiated a new educational program for charities.
In the coming months, charities may receive a CRA letter informing them that they have been selected for a Charities Education Program (CEP) visit. According to the CRA, the CEP is meant to help charities comply with their tax obligations under the Act and avoid common errors. As part of a CEP site visit, the CRA will review the charity's books and records and ask questions about its purposes and activities. The CRA says that a CEP visit does not preclude the possibility that the charity could be audited in the future. The CRA says it plans to conduct 500 visits per year.
What will CEP visits involve?
During a CEP visit, a Charity Education Officer from the CRA will:
How is a charity selected for a CEP visit?
A charity may be selected for a CEP visit for a number of reasons, including the following:
For more information, contact your KPMG adviser.