publication date: Jul 23, 2012
Penalties imposed on two private foundations demonstrate a
new effort by the Canada Revenue Agency
to scrutinize private foundations, reports The
Globe and Mail
Most recent is a charge against The Riddell Family Charitable Foundation
, administered by Calgary
billionaire Clayton Riddell
breaking regulations concerning the amount of stock that foundations can hold
in a single company. A few months ago,
the agency also imposed a $174,000 penalty on a private foundation run by the
Reimer family in Winnipeg.
The CRA "is going to be paying closer attention to private
foundations on many different levels because there [are] more of them, the
amounts involved are greater and there is, to some degree, a certain amount of
suspicion," said Mark Blumberg
Toronto lawyer who advises charities.
Private foundations are typically set up and run by
families, unlike public foundations which are controlled by unrelated people.
Since 2000, the number of private foundations has grown by 38%; faster than any
other type of charity.
the full article, http://www.theglobeandmail.com/report-on-business/new-scrutiny-on-charities-snares-riddell-foundation/article4391046/