Tax Receipting Guidelines

Tax receipting is an area of charitable work that can often be very confusing. Covenant Foundation's policies are based on Canada Revenue Agency (CRA) guidelines and must be adhered to.

Are personal donations tax receiptable? Yes, any personal donation with no benefit to the donor (ie. 'no strings attached' is eligible for a tax receipt. This can be in the form of cash, credit card, cheque or money order. The funds should be made payable directly to Covenant Foundation and not go through a third party's bank account first. Funds and donor contact information must be received within 30 days of the donation or by December 31st, whichever comes first, in order for the Foundation to issue tax receipts for that tax year.

Are in-kind donations receiptable? Covenant Foundation does not issue tax receipts for Business In-Kind Donations.

Personal In-Kind Donations (ie. art, medical equipment) are eligible for an official In-Kind Tax Receipt under certain conditions. When the value of the item exceeds $1,000, CRA dictates an independent valuation is necessary. THe in-kind tax receipt is based on the independent assessed value. Property of little to no value such as clothing, blankets, etc. do not qualify as in-kind gifts, and are therefore, not receiptable.

What about services? According to CRA, services are not eligible for a tax receipt.

What about lottery tickets? Lotteries are a game of chance, therefore, tax receipts cannot be issued.

The Covenant Foundation has full control over the issuing of tax receipts in accordance with Foundation policies and Canada Revenue Agency (CRA) guidelines. If you have any questions, please contact us.