This section sets the stage for future sections by introducing key terms to be used later. Experienced fundraisers may need only to scan certain sections in order to understand how certain terms and concepts are used in this website. Beginners in the field of planned giving should more thoroughly review this material to ensure that they clearly understand the concepts from which the balance of the website is based upon.

This section is important for another reason: it is an area that few external people understand well. External people include allied professionals AND donors, both of whom are vital to the proper execution of a planned giving program. By understanding in detail the activities and limitations of their charity's operations, representatives from the charitable sector can (and must) add value to the relationship between the charity and the financial community (accountants, lawyers, and financial planners) involved with the gift.

This section uses material presented in the Canada Revenue Agency's documents entitled "Registered Charities and the Income Tax Act" and materials found on the Canada Revenue Agency's website. These resources should be considered mandatory reading for all gift planners working for any charity in the field today.