Draft July 9, 2008
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Introduction
1. Elections Canada is often asked questions concerning the “sponsoring”of events by corporations or other entities or the purchasing of “visibility” at political events. This type of transaction can lead toillegal contributions being made. This information sheet aims atclarifying which transactions meet the requirements of the
Canada Elections Act
.
The Legislative Context
2.
Only individuals may make contributions.3.
Contributions can be monetary or non-monetary in nature. The Actdefines a monetary contribution as “an amount of money provided it isnot repayable.” It defines a non-monetary contribution as “thecommercial value of a service, other than volunteer labour, or of property or of the use of property or money to the extent that theyareprovided without charge or at less than their commercial value.”
Therefore, if a political entity receives property or a service for free orfor less than commercial value, the difference between the commercialvalue and the amount paid is a non-monetary contribution.5.
These principles guide Elections Canada’s treatment of questionsregarding “sponsorships,” the selling of “visibility” or the plain sale of advertising space to corporations or other entities in the context of political events, including fundraising events.
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S. 2. Also see the definition of “commercial value” in that section. As well, see the soon-to-be-publishedinformation sheet entitled
Determining the Value of Election Expenses (Candidates and Registered Parties)
.
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