Mr. Speaker, I stand here this evening to put some facts straight on the matter.
The hon. member has requested this debate to discuss the issue of the separation of church and state. The hon. member has asked about specific taxpayers. I will not violate the confidentiality of any taxpayer by discussing their affairs in the House. However I can discuss with the member opposite the role of the Canada Revenue Agency in monitoring registered charities on an ongoing basis.
This is not an issue about the separation of church and state. It is a matter of applying the Income Tax Act rules to charities registered under the act. To qualify for registration an organization's mandate must be charitable at law. Once registered, regulatory oversight is warranted given that the registered charities enjoy significant tax advantages and are supported by the public moneys.
The CRA carries out broad based outreach and education activities to ensure that registered charities understand the law. When the CRA identifies a trend toward partisan political activity, our outreach activities can include proactively contacting these organizations to ensure that they understand the law and will comply.
The Income Tax Act allows registered charities to engage in limited, non-partisan political activities. Charities can speak out on issues related to their mandate, including controversial issues. They are free to engage in public debate and to conduct public awareness campaigns. To be acceptable under these rules, these activities must be linked to the charity's purposes and remain incidental to its charitable programs.
Partisan political activity is not permitted at any time. I would like to repeat that because I believe it is the crux of the issue. Partisan political activity by registered charities is not acceptable under the law.
These rules are applied evenly and fairly to all registered charities. The CRA's application of these rules are not based on which side of a debate or issue a charity supports. If the CRA acts against a registered charity, it does so because of the actions of that charity, not on what that charity is or who it represents.
The CRA receives complaints about organizations that engage the public on a specific political issue, including environmental groups, rights advocates and faith based organizations.
These organizations may be deeply committed to their causes and may be conducting allowable political activities, but if they are engaged in partisan political activity, they have contravened the Income Tax Act rules governing charities.
When the CRA believes that a charity's activities may be contravening the rules, its staff step in to inform and educate the charity about its obligations under the Income Tax Act. Revoking charitable status is our last option, after our efforts to educate, guide and provide advice have not been successful.
Not heavy-handed, our goal is voluntary compliance and that starts with education. Among the services CRA offers to charities are guidance, advice and education in understanding and complying with tax law. The vast majority of charities want to comply with the law and appreciate the outreach that CRA undertakes to help them understand and abide by the rules.