By Elbert King Paul

Faith and Freedom Are Constitutional Pillars — Religious Charity Flows From and Sustains Canada’s Foundation

I am a former partner of a national accounting firm and a registered Liberal who has served seven leaders of the Liberal Party, including four prime ministers. I am also a Christian actively involved in not-for-profit entities that “advance religion.”

I strongly oppose the new direction of Prime Minister Mark Carney’s government, as outlined in the House of Commons Standing Committee on Finance report, Pre-Budget Consultations in Advance of the 2025 Budget, which recommends removing “advancement of religion” as a recognized charitable purpose.

Recommendation 430 advises the government “amend the Income Tax Act to provide a definition of a charity which would remove the privileged status of ‘advancement of religion’ as a charitable purpose.”

As the Gospel of Matthew reminds us: “For I was hungry and you gave me something to eat, I was thirsty and you gave me something to drink, I was a stranger and you invited me in.”

Regarding economic and social trends in Canada and across the world, it is clear that religious charities matter as much as ever. Feeding the hungry, sheltering the poor, visiting the sick, welcoming strangers — these are not merely spiritual ideals but measurable contributions to Canadian society.

There are four issues that are worthy of investigation related to this proposed recommendation from the Finance Committee.

First, as reported by the Fraser Institute on Dec. 10, 2024, Canadian generosity hit its lowest point in 20 years. Nationally, the percentage of Canadian tax filers donating to charity has fallen over the last decade from 22.4% in 2012 to 17.1% in 2022. The percentage of aggregate income donated to charity by Canadian tax filers has decreased from 0.55% in 2012 to 0.50% in 2022. This decline in generosity in Canada undoubtedly limits the ability of Canadian charities to improve the quality of life in their communities and beyond.

Second, the Evangelical Fellowship of Canada (EFC) is a national association comprised of over 7,000 churches, as well as 32 post-secondary institutions and 86 ministry organizations. On March 10, 2025, the EFC made a submission to the federal Department of Finance noting that religious charities play a significant role within the charitable sector and the life of our country.

The EFC stated that of the 73,000 charitable organizations registered with the Canada Revenue Agency, more than 30,000 fall under the advancement of religion — roughly 42% of the charitable sector. Many religious traditions teach their adherents to care for their neighbours — to reach out in compassionate ways and care for those who are vulnerable.

As an example, Christian, Jewish and Muslim faith leaders stated in a 2016 Interfaith Statement on Palliative Care: “Our traditions instruct that there is meaning and purpose in supporting people at the end of life. Visiting those who are sick and caring for those who are dying are core tenets of our respective faiths and reflect our shared values as Canadians.” Read the EFC’s submission here.

The following table of religious composition in Canada in 2020 (Pew Research Center, June 9, 2025) demonstrates the mosaic of faith communities in Canada:

Christian – 20,350,000
Muslim – 1,870,000
Unaffiliated – 13,220,000
Hindu – 580,000
Buddhist – 660,000
Other religions – 1,140,000
Jews – 350,000
Total – 38,170,000

All major faith communities have expressed their vigorous opposition to the removal of the privileged status of “advancement of religion” as a charitable purpose.

I, along with many Canadians, strongly assert that the proposed amendment to remove the privileged status of “advancement of religion” as a charitable purpose undermines interfaith ministries. We also believe that the proposed recommendation is a politicization of charitable status for those who hold opinions and views that are different from the government.

Third, the preamble to the Constitution Act, 1982, Part 1 states: “Whereas Canada is founded upon principles that recognize the supremacy of God and the rule of law.” It also states that everyone has the freedom of conscience and religion.

After consultation within my professional community, I assert that the proposed amendment to remove the privileged status of “advancement of religion” as a charitable purpose is discriminatory. It fails to recognize Charter rights and the principles underlying the supremacy of God and the rule of law.

Fourth, Prime Minister Mark Carney has described, with perspective and humility, value-based leadership in his book Value(s): Building a Better World for All. He states that value-based leadership includes “perspective” and must “take in the periphery.”

The prime minister references how Pope Francis emphasized that we perceive a situation more accurately when we look at it from the standpoint of those on the edge rather than those in the center: “The state of the economy looks different to the unemployed. The political structure looks different to someone who is powerless, the community to the excluded or the security forces to the persecuted.”

The statement by Prime Minister Carney on the passing of Pope Francis, on April 21, 2025, concluded with the following remark: “Pope Francis leaves a spiritual and ethical legacy that will shape our collective conscience for generations to come. May we honour his memory by continuing to work for a world that reflects the solidarity, justice, and sustainability that he so powerfully embodied.”

In conclusion, the proposed amendment to revoke charitable status based on religious beliefs contravenes the Charter guarantees of freedom of conscience, religion, thought, belief, opinion and expression.

We are reminded of the following biblical saying, as well as the prime minister’s recent call to honour the life and teaching of Pope Francis: “He has shown you, O mortal, what is good. And what does the Lord require of you? To act justly and to love mercy and to walk humbly with your God.”

I urgently request that the government not follow the recommendation of the Finance Committee to remove “advancing religion” as a charitable purpose, but instead to recognize the relevance and benefits of religion to the charitable sector and Canadian public life and values.

In the words of Prime Minister Mark Carney: We need to be “building a better world for all” now.