Financial Agent Training

Fundraising Functions

Fundraising functions are held for the purpose of raising funds (not all meetings are fundraising functions). The rules are complex because the Election Act and the Income Tax Act have different definitions of contributions. Therefore, it is important to note the following:

  • relevant information must be recorded and reported for every fundraising function
  • lotteries, raffles or other gambling activities are not permitted for fundraising
  • income tax receipts can only be issued for the cost of the ticket minus the reasonably estimated cost per person of the function Click here for the answer to: Who should report a fundraising function?

At a fundraising function, political contributions result if:

  • an organization buys tickets, regardless of the ticket price
  • an individual buys a ticket priced over $50
  • an individual buys more than $250 worth of tickets
  • goods and services donated for sale have a market value of more than $250
  • the amount paid for goods and services purchased is greater than the market value (the political contribution equals the sale price less the market value)

Charitable organizations, federal political parties and federal electoral district associations cannot buy tickets to a fundraising function because they would be making a prohibited contribution.

For jointly held fundraising functions:

  • ensure all entities involved are consistent in reporting the event
  • ticket sales and other revenue are reported by the entity to which cheques were written or payments made
  • expenses are reported by the entity that paid the bills
  • "Returned my phone call in a timely manner as well as directed
    me or answered the questions I had at the time."