Tuesday, July 15, 2025
HomeNewsMalvern charity loses status

Malvern charity loses status

Published on

A Scarborough charity is exploring ways to keep its programs running under new organization after having its charitable registration revoked.

Malvern Rouge Valley Youth Services (MRVYS) lost its charitable status Nov. 12 after notice from the Canadian Revenue Agency (CRA).

“In effect, MRVYS was revoked due to its past…participation in a tax shelter program under a previous board and leadership team,” said Phillip Fearon, executive director at MRVYS.

He said the organization, located at 1275 Morningside Ave., understood the reason for the CRA’s decision.

According to media reports, the CRA stated, among other reasons, that the charity was part of a tax shelter arrangement that gave donors a tax credit that was larger than the amount of money than they actually donated.

A tax shelter promoter allowed people who donated to the charity to also donate computer software. Reports identify the promoter as the Global Learning Gift Initiative. The organization did not return requests for comment.

According to the CRA, charities lose their status if they engage in deals that “result in more than an incidental or proportionate private benefit.” Essentially, if donors benefit at a higher rate than the public, the CRA’s ears prick up.

According to the Toronto Star, a CRA audit found that the Malvern charity’s donations skyrocketed from $13,000 in 2008 to $112 million in 2009. The charity raised $87 million last year.

MRVYS declined to elaborate on its plans, stating it would make them available as soon as they were formalized.

The charity runs programs, including computer training, Microsoft Office training and after-school programs to develop young leaders “in a loving environment at an affordable cost.”

Learn about Centennial College's School of Communications, Media, Arts and Design

Latest articles

Ti-Cats rout Argos as QB Mitchell shines on historic night

Hamilton Tiger-Cats roared to a 51-38 win over the host Toronto Argonauts on Friday...

Ti-Cats hand Argos fourth loss in five games

Bo Levi Mitchell threw for five touchdowns and passed a big career milestone as...

What does it mean to be trans and Canadian?

Canada is widely regarded as one of the safest places in the world to be transgender, but trans people say they still remain vigilant.

Young Canadians have a different view now of driving, instructor says

For generations, getting a driver’s license was seen as a rite of passage, a symbol of independence and adulthood.

More like this

Ti-Cats hand Argos fourth loss in five games

Bo Levi Mitchell threw for five touchdowns and passed a big career milestone as...

What does it mean to be trans and Canadian?

Canada is widely regarded as one of the safest places in the world to be transgender, but trans people say they still remain vigilant.

Young Canadians have a different view now of driving, instructor says

For generations, getting a driver’s license was seen as a rite of passage, a symbol of independence and adulthood.