Auditor General’s 2010 Fall Report

On October 26, 2010 the Auditor General released her 2010 Fall Report.  Among other things her report covered:

Canada’s Economic Action Plan

The Auditor General found that the government adequately managed Canada’s Economic Action Plan programs by putting in place appropriate administrative practices and providing programs to eligible recipients in a timely manner. As the audit was completed before the Economic Action Plan was fully implemented, the report noted that a second audit will be conducted, focusing on program delivery and considering whether the projects undertaken were completed as intended. The Auditor General recommended that a summary report to Parliament be prepared by the Department of Finance and the Privy Council Office at the conclusion of the Economic Action Plan, providing a detailed account of its impact on the economy.

Registered Charities

The report addressed tax shelter gifting arrangements, which involve donating to a charity through a tax shelter, whereby the charitable donation receipt is often greater in value than the donated cash or property. The CRA has taken steps to communicate with the public about abusive tax shelter gifting arrangements and has indicated clearly that it intends to audit all those involved with such ventures; as of March 31, 2009, the CRA has reassessed over 69,000 participants.