Nonprofit

Nonprofit is a standard Canadian term, but it is not the same thing as a registered charity. Nonprofits without charitable status cannot issue official donation receipts.

A nonprofit is a mission-led organization that does not distribute profits to owners.

In Canada, nonprofit is a real local term, but it is not the same thing as a registered charity. Only registered charities and other qualified donees can issue official donation receipts. A nonprofit can exist without charitable status and without that receipting power.

Incorporation is separate again: a group can be set up under a federal or provincial not-for-profit statute without becoming a registered charity.

Related: Tax-deductible donation.

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