Trudeau Foundation failed to report largest donation in Foundation’s history contrary to section 230 of the Income Tax Act
Corruption, World news Wednesday, March 27th, 2019On September 9, 2016 the Trudeau Foundation reported it had received the largest gift in the Foundation’s history. A record $1 million was donated to the Trudeau Foundation by the Foundation’s Chair McCall MacBain. However, the $1 million donation was never reported in any annual reports, contrary to Canada Revenue Agency requirements.
The Canada Revenue Agency requires a registered charity to keep adequate books and records. A charity’s books and records (annual reports) must allow the Canada Revenue Agency ( CRA ) to verify revenues, including all charitable donations received. Nowhere did the Trudeau Foundation record the $1 million donation reportedly made by the McCall MacBain Foundation to the Trudeau Foundation in September 2016.
The original article reporting the receipt of $1million gift stated the following:
The largest gift in the Foundation’s history | Fondation Trudeau
An investigation would find that the Trudeau Foundation engaged in prohibited “Conduct that is illegal or contrary to public policy”. Investigation could result in revocation of Trudeau Foundation registered charity status if investigators found the Trudeau Foundation issued improper donation receipts contrary to the Income Tax Act or the $1 million was criminally fraudulent, or violated federal or provincial statutes governing charitable donations.
Under section 230 of the Income Tax Act, registered charities are required to keep books and records to allow amounts deductible, or subject to be collected, to be determined, and to verify donations to the charity for amounts eligible for deductions or credits under the Income Tax Act.
Registered charities, or third parties acting on their behalf, are not permitted to engage in conduct that is contrary to public policy. Fundraising activities can be contrary to public policy if they result in incontestable harm to the public interest or if they do not comply with government rules, directives, and regulations.
The courts have held that fundraising contracts can be harmful to the public interest if they result in misrepresentation to the public about whether donated amounts go to the charity or to pay the fundraising company collecting them (Ontario Public Guardian and Trustee) v. Aids Society for Children (Ontario), [2001] O.J. No. 2170 (QL).
Trudeau Foundation’s Annual Reports http://www.fondationtrudeau.ca/en/about/corporate-documents/annual-reports proves the Trudeau Foundation concealed the $1 million donation from McCall MacBain. How many other major donations from large corporate donors were made to Justin Trudeau family foundation but were hidden not only from the CRA but from the Office of Commissioner of Lobbying, from the Office of the Ethics Commissioner, from the Commissioner of Canada Elections, from the Government of Canada and from the Canadian public.
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