Federal court rules against Credit Counselling Services of Atlantic Canada
Now operates as a non-profit and cannot issue tax receipts
Credit Counselling Services of Atlantic Canada will not regain its charitable status, a federal court has ruled.
The organization has lost its bid to overturn a decision by the Minister of National Revenue.
In a decision released today, the Federal Court of Appeal upheld a ruling by the minister that said the service does not qualify as charitable activity under the definition in the legislation.
'Business as usual'
The president of Credit Counselling Services, John Eisner, says it's "business as usual."
Eisner said the service has been operating without charitable status since the minister's decision was issued in 2013. He said the only difference is they can't issue charitable receipts.
"We felt that we did everything right," Eisner said.
"We felt we had to fight it [the minister's decision]," he said.
The service, which is based in Saint John, offers financial advice and debt management services for its clients through offices across Atlantic Canada. It has operated as a non-profit since losing its charitable status.
On its website, the service says it doesn't receive any government funding, and the majority of its funding comes from voluntary donations from the creditors they deal with.