What records does a charity need to keep to support the receipts it issues to donors?

A charity issuing official donation receipts needs to keep adequate books and records that actually back up what those receipts say. At a minimum, that generally means records showing the donor's identity, the amount or value of the gift and the date it was received, and — for non-cash or "in-kind" gifts — how that value was actually determined, since valuing something other than cash isn't always straightforward.

This isn't just good practice; CRA specifically audits registered charities on their receipting practices, and inadequate records is one of the more common problems auditors find. A receipt issued without the paperwork behind it to support it can create real compliance problems for the charity, even if the underlying donation itself was entirely genuine, because the charity can't demonstrate the receipt was properly issued in the first place.

Charities that rely heavily on non-cash donations — art, securities, real property, or in-kind goods — should be especially careful here, since valuation is often the weakest link in the file if it isn't documented clearly at the time of the gift. Keeping a consistent process for every receipt issued, rather than handling each donation informally as it comes in, is one of the more valuable governance habits a charity's finance team can build.