The Canada Revenue Agency makes available all financial information required to be filed by registered Canadian Charities.
I typed in 'cancer' and was taken aback with the number of registered cancer charities. I chose 'Canadian Cancer Society' to view their financial statements. My jaw is still on the floor because of the amount of money these organizations accumulate.
Under Charity legislation in Canada, a registered Canadian Charity is required to spend at least 80% of their receipted income in the following year. This 80% is known as the disbursement quota and includes transfers of money to qualified donees.
In reviewing the financial information of various cancer charities, it is clear that they operate by shuffling money between themselves as a way to meet the required disbursement quota.
The Canadian Cancer Society - Toronto, in their most recent financial statements, received $34 million as income from other charities and paid out $1.5 million in management salaries, $1.3 million in professional fees, $1.4 million in miscellaneous expenses and over $13 million to 'qualified donees'.
The Canadian Breast Cancer Foundation, also in Toronto, reported earning over three million dollars in interest income in their most recent financial statements. This charity also reported paying out over $18.2 million to qualified donees.
How is it that a charity is able to earn over three million dollars in interest income if they are supposed to be focused on charity activities?
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