August 25, 2016 at 3:50 pm #5590
This first question is confusing issue and it comes from Peter Mcintosh from Ottawa:
Hey Mark,I have a quick question and you’re the guy I think can help.We’re looking at some STMs here at Bethel and the issue of CRA regulations around fund-raising for the trips has come up. Can an individual raise funds and have the donation go through the church for a church sanctioned missions trip to go against their costs?Some input we’ve received suggests that funds an individual raises can go to a pot but not directly to their expenses in which case everything gets averaged and the person who raises 100% of their budget and the person who raises 60% will still get the same (with the obvious issues).I’d be really interested in your experience and expertise on this.Thanks Mark!
Peter McIntoshLead PastorBethel Ottawa
Here is my response:Team members can donate for a tax reciept and raise funds for the total trip.The members of the team are the agents accomplishing the mission and have their costs paid for from the officially approved budget for the offiially approved ministry with the approved leader etc etcAs you recognised the funds do not go to the individual raising the funds, that would constitute a direct benefit to the individual and go against CRA policy and jeopardize your charitable status.All funds raised must go to the approved mission activity of the church (thats why the course instructs team leaders to fill out the trip approval form with all of the details for board approval)this is why team members cannot ask for money back if they raise more unless you have set up a deposit/donation systemif a team member drops out, they dont get “there” money back … it is a donation to the charitable purposes of the church.the bigger question is how to deal with a team member who is not pulling their weight. This is easily accomodated in the commitment and disclosure forms I share in the leadership course.Team members may be obligated to any number of requirements to join the team, commitment to moral issues, commitment to training and a commitment to raising a portion of the total mission funds. If they do not comply with that commitment then they can be removed from the team at the discretion of the team leader.Great question – hope this helps!This is exactly the kind of question I answer in the team leader certification course – plus dozens more of equivalent importance – would you consider putting a key leader through the course with me this fall?
September 8, 2017 at 12:12 pm #6284
KristalParticipantHi Mark,I wanted to ask for some advice and clarification. I’ve been looking through your manual “The Essentials” and am finding it SO helpful! We are always fine tuning our processes around teams, so thank you for this resource.I wanted to ask a question regarding mission activity costs. You say in this manual that passport and immunization costs should not be included. Can you tell me why? Is there something CRA has mentioned, or is more of a personal stance?
- This reply was modified 4 months, 2 weeks ago by Kristal.
September 8, 2017 at 12:24 pm #6286
Hi Kristal, great question! Here are my thoughts:
Re immunizations and passports. I have never had an official conversation with CRA about these (or with CCCC) but would think that the case for them would be weaker than other expenses for these reasons.
- they are different for each individual on the team, some have passports some don’t etc
- they are really difficult to budget for – immunizations vary widely
- they open up other possibilities that get murky – Would they be a trip expense? They need it for the trip, but I would suggest it is not
- what if someone was driving for you and needed to renew their drivers license?
- new luggage for the trip?
- I think it is best to keep these issues separate
- CRA allows a trip because it is an approved activity of the church. The “staff” (IE trip participants) are in essence transferable. They happen to be the ones who are implementing the activity and are NOT supposed to receive any direct benefit for any donation they provide. This could look like they are receiving benefit.
thats my $0.02
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