CAGP makes submission to 2021 pre-budget consultations

The federal government launched its 2021 pre-budget consultations in January, providing an opportunity for experts and interested parties to share ideas about how the 2021 Budget can support Canadians through the pandemic and help the country “build back better”.

CAGP typically makes a submission to pre-budget consultations, sharing our views on how philanthropy can be strengthened through enhanced strategic giving vehicles, and with new or improved tax policy to incentivize and amplify charitable giving. Our Government Relations Committee deliberated on the matter, giving particular consideration to our current social and economic context.

Much of the country is still in lockdown and communities are struggling; many individuals continue to experience serious work and economic uncertainty, and businesses and charities' need for government support is continues. The result of this will, of course, be a massive federal fiscal deficit, which government will inevitably address through increased personal taxes and consideration of the tax system overall to maximize its revenue.

As Canada currently has one of the most generous tax systems in the world when it comes to supporting charitable giving, the GR Committee considered whether those existing measures could be vulnerable as the government seeks solutions to fiscal challenges. The conclusion was, now is not the time to propose new measures to spur donations, but rather that a case should be made to ensure that existing measures and incentives be maintained so that charities can continue to rely on the generosity of Canadians to support the delivery of their vital services and missions.

We invite you to review CAGP’s submission to the 2021 pre-budget consultation, which can be found here.

Ruth MacKenzie

President & CEO