Church Admin & Finance, Ministry in Canada
Seeking Advice From Canadian Churches on Opening Our Doors Free of Charge
October 17, 2018
2 comments 192 views
I am part of the Immanuel Outreach team. Over the past few years we've had two incidents of people dying that had no connection to our church. However, a member of our church served as a bridge during this tragic time which resulted in our church being offered, and used, for the funeral.
The church policy (based on helping us comply with Revenue Canada) is such that these people were told they must be charged to use the facility. In both cases other stepped forward to pay the bill.
We would like to make our church available for these needs as a witness and free of charge.
Canadian churches, any advice on how to do this?
We look forward to hearing from you!
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Church members should be made aware that Canada Revenue Agency allows the discounting of church property rentals to members of the congregation provided such discount amounts are deducted from such members' church donation receipts issued for tax purposes at the end of the year.
There would NOT appear to be a legal requirement to charge a fee for the use of the facilities for the purpose of a funeral of a non-member. The problem arises when the church charges non-members a fee and then gives a discount or free use of the facilities to a member of the church. That is not permitted. In other words, it would appear that free use of the facilities may be offered to non-members for the purpose of outreach to the community even if members are normally charged for such use.
Joe Serge already responded that a discount given to a member can be accounted for by reducing the annual receipt for the member by the amount of the discount. However, it should be noted that the discount in such a case would appear to apply at the end of the year to the receipt of the member who passed away.
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