PFC’s Approach to the Government of Canada Consultation on Modernizing the Framework for the Charitable Sector 

As PFC shared in our last policy advisory, the Government of Canada has launched a consultation on modernizing the legislative and administrative framework governing registered charities.  

Building on commitments announced in the 2026 Spring Economic Update, the consultation seeks input on how the tax rules for registered charities and the CRA’s administration of these rules could be modernized while continuing to protect the integrity of the charitable donation tax incentives provided through the tax system. 

The consultation focuses on four areas: 

• The charity registration process 

• Digital service delivery 

• Audit and compliance activities 

• Revocation and objection processes for charities 

PFC’s approach 

Following a detailed review of the consultation paper, PFC believes many of the issues raised align closely with recommendations we have advanced through our policy, research, and advocacy work over many years. These issues have also been the subject of ongoing dialogue between PFC, sector partners, and federal officials through consultations, roundtables, working groups, and other engagement processes. 

This includes: 

• PFC’s advocacy on improving charity data quality and modernizing the T3010 information return. 

• Longstanding recommendations related to charity appeals and administrative fairness. 

• Work undertaken through the Advisory Committee on the Charitable Sector. 

• Positions advanced through federal consultations, budget submissions, and direct engagement with government over a number of years. 

• Recommendations emerging from the 2019 Senate report on the charitable sector. 

Given the substantial member engagement, sector consultation, government relations, and policy analysis already undertaken, PFC will develop a submission that draws to a large extent on this existing body of evidence and expertise.  

In addition we are:  

1. Gathering targeted input through strategic guidance from PFC’s Policy Committee, which brings together foundation leaders from across Canada to help shape PFC’s public policy and advocacy work. 

2. Offering a quick PFC member pulse check on key issues raised in the consultation.  

Drawing on the input gathered, alongside PFC’s ongoing research, policy analysis, and engagement with government and sector partners, we will submit recommendations to the federal government ahead of the December 3 consultation deadline. 

An overview of PFC’s Policy and Research work can be found here, and our recent policy advisories, can be found here.  

Information about PFC’s governance and committees, including the Policy Committee, can be found here.  

Contribute your perspectives on these issues here through this pulse check, which will be open until November 30.