Community Spirit Program - Frequently Asked Questions

General Information

1. What is the goal of this new program?

The goal of the Community Spirit Program (CSP) is to increase individual charitable giving to help support Alberta's non-profit and charitable organizations. The program is donor-driven, meaning it recognizes and encourages Albertans to make cash donations. Monies received from Albertans stay in Alberta to support Alberta-based non-profit and charitable organizations.

2. How is the Community Spirit Program funded?

The Community Spirit Program is made up of two components: the enhanced charitable tax credit and the Donation Grant. Program funding for both components is approximately $100 million, which is divided as follows:

Enhanced Charitable Tax Credit

1. How do I apply for the enhanced charitable tax credit?

You don't need to apply for the tax credit. You simply need to claim your annual total eligible charitable donations on your personal income tax return.

When added to the federal tax credit of 29 per cent, Albertans receive a 50 per cent non-refundable tax credit on donations that exceed $200 in a tax year.

The first $200 in eligible charitable donations made in a tax year continues to receive a federal tax credit of 15 per cent and an Alberta tax credit of 10 per cent.

Donation Grant

1. When did the donation grant start and where are the forms?

>The grant was launched in April 2008. The program guidelines and application are available on the program website or through the program office.

2. What is the application deadline?

The application deadline is December 31.

3. What is new for the 2009-10 grant year?

(a) Online application process - Organizations are invited to submit an application using the online application form. Refer to the program website for instructions.

(b) Grant Agreement - Applicants will be required to submit an originally signed Grant Agreement, and for 2009-10 a Statutory Declaration will no longer be required.

(c) Final Report Timeframe - A final report outlining how the grant was spent must be submitted by May 1 of the following year. For the 2009-10 grant year, assuming grant cheques will be issued in early May, 2010 the final report will be due by May 1, 2011.

(d) Final Report Declaration - An originally signed 'Declaration' will be required rather than a Statutory Declaration. NOTE: For the 2008-09 grant year, a signed Statutory Declaration is still required.

4. Which organizations can apply for a grant?

The grant is available to non-profit organizations and Canada Revenue Agency-registered charities that are incorporated and/or registered in Alberta and operating for a minimum of one year. Organizations must provide philanthropic purposes to Albertans.*

* For the purposes of the grant, philanthropic purposes include activities in Alberta that support education, health, social services, programs for seniors, the environment, animal welfare, sports and recreation, arts and culture, heritage, parks, or agriculture, etc.

5. Are faith-based organizations eligible?

Faith-based organizations qualify to apply for a grant only if they provide philanthropic community programs and/or services to persons outside their own faith community. These programs and/or services need to be clearly defined in the 'Statement of Purpose' as well as in the financial statements. Refer to page 5 of the program guidelines for further information.

6. Are national/international organizations eligible?

Organizations with a primary mandate to provide national or international services qualify to apply for a grant only if they provide philanthropic community programs and/or services in Alberta. These programs and/or services need to be clearly defined in the 'Statement of Purpose' as well as in the financial statements. Refer to page 5 of the program guidelines for further information.

7. Can a national organization that is registered in Alberta apply for a donation grant?

Yes they can, as long as the organization can demonstrate the donations have been received in Alberta and will stay in Alberta to support programs and services. The Alberta portion of revenue and cash donations must be identified separately from the total annual revenue when completing the calculation worksheet. Financial documents submitted with the application must also reflect this. Refer to page 5 of the program guidelines for further information.

8. What happens if the minimum required total of $1,000 in eligible cash donations from individuals isn't reached?

Refer to page 6 of the program guidelines for further information. Examples are provided.

9. What is an eligible cash donation?

Refer to pages 8 and 9 of the program guidelines for a listing and explanation of what is considered an eligible cash donation. The Glossary of Terms may also be helpful.

10. What is an ineligible cash donation?

Refer to page 10 of the program guidelines for a listing and explanation of what is considered an ineligible cash donation. The Glossary of Terms may also be helpful.

11. What can the donation grant be used for?

The grant can be used to support an organization's operations, programs and/or capital projects.

12. What are ineligible uses of the grant?

  • Activities and projects outside Alberta (e.g. humanitarian assistance to underprivileged countries, out-of-province research, programs administered in other provinces, travel outside of Alberta, etc.)
  • Religious purposes (e.g. congregation-specific improvements/enhancements to the sanctuary and/or congregational worship activities, staff salaries, etc.)
  • Commercial or for-profit purposes
  • Political or lobbying activities - includes organized/registered political organizations

13. How is the donation grant determined?

The grant calculation is done after all applications have been reviewed. Using the program's available funds, a financial calculation is done using the grand total of all eligible cash donations received by all eligible organizations as reported in their grant application. As the value of the donation amounts will change each year, this means the total value will also change.

14. What is the maximum funding available?

The maximum grant available is $25,000 per year, with total grants not to exceed $50,000 over three years. Please note that the grant amount will vary year to year based on the program budget and the value of eligible cash donations.

15. When will the grant cheques be issued?

Following final grant approvals by the Minister, applicants will be informed in writing within 120 days of the deadline date whether the application has been approved or declined.

16. Will the donation grant reduce funding available under existing lottery-funded programs?

No, this program is a donor-driven program based on cash donations from individuals to eligible organizations. An application to this program will not affect applications to other lottery-funded grant programs.

17. How does the applicant account for the funding?

To report on a grant received during the 2008-09 grant year, the recipient organization is required to provide a final report by September 15, 2009. This report must provide a breakdown of how the funds were spent or allocated and how the grant supports the work of the organization in the community.

To report on a grant received in the 2009-10 grant year, the recipient organization will be required to provide a final report by May 1 of the following year. This report will provide a breakdown of how the funds were spent and how the grant supports the work of the organization in the community. Assuming grant cheques are issued in May, 2010 the final report will be due by May 1, 2011.

18. How will Albertans know which organizations have received grants?

A list of successful organizations will be posted on the program website (www.communityspiritprogram.ca) and can be searched through the Grant Recipient Search Form on the Culture and Community Spirit website.

19. Where can information about the donation grant be found?