Drache Aptowitzer
Greetings!

Welcome to your August edition of the Charity Law Insights. 
 
As the summer progresses so do developments in charity law. In this newsletter we provide a summary of some happenings in July and indepth analysis of two of the more interesting developments. We look forward to keeping you posted and hope you are enjoying both your summer and this newsletter.
 
As always, your comments are welcome.
 
 
Yours truly,
Drache Aptowitzer Professional Corporation
 
 
 
By: Arthur Drache C.M., Q.C. 
 
At the end of June the Charities Directorate issued a newsletter which had a couple of items worth noting.
 
NFPs Can't Even Give It Away
By: Adam Aptowitzer
 

Adam Aptowitzer
In 1985, Richard Pryor and John Candy starred in a movie called "Brewster's Millions". The absurd pretence of the movie was the Richard Pryor (playing Brewster) had to spend $30 million in 30 days without acquiring anything in order to receive an inheritance of $300 million. Unfortunately, the situation is vaguely reminiscent of the situations not for profits with surplus money may find themselves given that they cannot acquire too great of a surplus and cannot pay any income for the personal benefit of a member, shareholder, or proprietor.
 
To read the article click here:
http://drache.ca/articles/charities/nfps-cant-even-give-it-away
By: Adam Aptowitzer
 
On June 30th, 2010, the Ontario Superior Court of Justice released a decision in a case which was likely inevitable.  

In Lemberg v Perris (2010 ONSC 3690), husband and wife participants in an art donation program sued their accountant for promoting the plan to them. The art donation program in this case was appealed to the Tax Court and then the Federal Court of Appeal in a group of cases known generally as the Klotz cases. 

For more information click here: http://drache.ca/articles/charities/tax-wars
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Drache Aptowitzer Professional Corporation
 
Ottawa Office
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Ottawa, Ontario K2P 0L6
 
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