Canadian government avoids directly addressing Catholic bishops’ concerns over proposed changes to charitable status in upcoming federal budget

The Canadian Conference of Catholic Bishops (CCCB) is seeking a clear response from the federal government regarding proposed budget changes that could significantly impact religious and pro-life charitable organizations.

However, the Finance Department has yet to provide a direct answer, leaving many faith-based groups in limbo.

A Vague Response from the Finance Department

On March 13, The Catholic Register received a statement from Marie-France Faucher, a media relations officer with Canada’s Finance Department.

While the statement acknowledged the important role of charities in serving Canadians, it failed to address the specific concerns raised by the CCCB regarding recommendations 429 and 430 in the upcoming 2025 budget.

Instead of clarifying the government’s position, Faucher’s response only offered general details about how organizations can apply for charitable registration under the Income Tax Act.

The only hint at the government’s approach to the upcoming budget was a broad statement about ensuring the tax system remains “fair and effective.”

CCCB Presses for a Definitive Stance

The CCCB’s permanent council first reached out on March 10 with a letter to then-Finance Minister Dominic LeBlanc.

A follow-up letter was sent on March 18 to François-Philippe Champagne, who recently took over as finance minister under newly appointed Prime Minister Mark Carney.

In these letters, the CCCB emphasized the urgency of the matter, pointing out that faith-based charities make up about 40% of all charitable organizations in Canada.

Stripping these groups of their charitable status, the bishops warned, would significantly reduce donations, ultimately crippling their ability to provide vital social services that benefit the broader community.

A United Front from Religious Leaders

The letter was signed by 14 leading figures in the Canadian Catholic Church, including CCCB president Bishop William McGrattan of Calgary, vice president Bishop Pierre Goudreault of Sainte-Anne-de-la-Pocatière, Cardinals Francis Leo of Toronto and Gerald Lacroix of Quebec, and Montreal Archbishop Christian Lépine.

As the 2025 budget looms, religious organizations and their supporters continue to push for a firm response from the government, hoping for policies that recognize the value of faith-based charities in Canadian society.

The coming weeks will reveal whether their concerns will be addressed—or ignored.