Charity Rebate Program - Town of Gravenhurst

Town Hall

Charity Rebate Program

Section 361 of the Municipal Act requires municipalities to provide rebates to charities, and may extend the program to non-profit organizations. The Act stipulates that municipalities must rebate at least 40% of the taxes paid by registered charities. 

A charity is eligible if: 

  • It is a registered charity and defined in subsection 248 (1) of the Income Tax Act (Canada) that has a registration number issued by the Canada Customs and Revenue Agency; and
  • It occupies a property in one of the Commercial classes or Industrial classes, within the meaning of subsection 308 (1) 2001, c.25,s. 361 (2).

Municipalities also have the option to expand the program:

  • To provide for rebates to organizations that are similar to eligible charities or a class of such organizations defined by the municipality
  • To expand eligibility if the charities or similar organizations occupy property in any class of real property
  • To provide for rebates that are greater than 40%
  • To provide for different rebate amounts for different eligible charities or similar organizations up to 100% of the taxes paid.

Policy setting for Charity Rebate Program falls under the jurisdiction of the District Municipality of Muskoka By-law 2007-63 (PDF).

The District Municipality of Muskoka’s current policy provides for: 

  • Rebates of 40% on registered charities occupying commercial and industrial properties
  • Rebates of 40% on similar not-for-profit organizations occupying commercial and industrial properties as defined by by-law

    • Organizations must apply to the area municipality on or before October 1st of the year to which the rebate applies.
    • Determination as to whether or not an organization qualifies shall be made by the area Treasurer in consultation with the District Treasurer.
    • Primary function:                 

      • Children’s services
      • Community services
      • Education & Training services
      • Family services
      • Health services
      • Legal services
      • Senior services 
  • Organizations for the advancement of science, education, philosophy, religion, arts, sports, recreation, culture and heritage, public health and human rights and equity.  

Not included are political or lobby groups, private clubs, trade unions, professional, business or trade organizations and social clubs.  

 Tax Rebate for Registered Charities Application (PDF)