S. 168(1)(f) was amended so as to indicate that a registered charity cannot accept a gift of property where the donor, expressly or implicitly, directs the registered charity to transfer the property by way of a gift to a grantee organization. Can a registered charity accept a gift of property from a donor who provides a letter of wishes expressing the hope that the charity will transfer the property to a named grantee organization?
In its written response, CRA referenced the Guidelines released by it on November 30, 2022 (CG-032), which indicated that, to avoid any concerns regarding conditional gifts, a charity should clearly communicate (e.g., on the giving page of its website) that, although donors can indicate preferences as to how their donations were to be applied, the charity will not return the donation if it does not follow this preference. Furthermore, the charity must ensure it retains authority on the use of its resources.