Political Financing Handbook for Candidates and Official Agents (EC 20155) – June 2017 – DRAFT guideline OGI 2017-01
5. Other Cash Inflows
This chapter explains how to report cash inflows to the campaign bank account other than contributions, loans and transfers. It covers the following topics:
- Non-contribution portion of ticketed fundraising revenues
- Bank interest
- Refunds from suppliers
- Returned portion of advances
- Proceeds from the sale of assets
- Initial reimbursement of paid expenses
Note: All monies flowing through the campaign bank account have to be reported.
|Non-contribution portion of ticketed fundraising revenues||The inflows for fundraising activities consist of two parts:
||John Smith holds a ticketed fundraiser in support of his campaign. The ticket price for the fundraiser is $200, and the fair market value of the benefit received is $75. The contribution made by each ticket purchaser is $125.
The amount to be recorded as other inflow is the fair market value of the benefit received—that is, $75.
|Bank interest||Interest earned on the campaign bank account is other inflow, along with the date received.||At the end of the month, the bank deposits $1.50 of interest into the campaign bank account. The official agent has to record this amount as other inflow.|
|Refunds from suppliers||If a refund is received from suppliers, the refunded amount is other inflow.
The refunded amount may also need to be offset from the original election expense or candidate's personal expense, and classified as an amount not included in election expenses since it is not an expense subject to the election expenses limit.
|The official agent purchases 20 reams of paper for use in the campaign office, at a total cost of $60. Near the end of the campaign, the official agent returns 5 unused reams of paper and receives a $15 refund from the supplier. The official agent has to record this amount as other inflow.
The $15 is also offset from the original expense in the expenses section and classified as an amount not included in election expenses.
|Returned portion of advances||If the campaign advanced funds for petty cash, travel or other expenses, the unused returned portions are other inflows.||The official agent gives $200 to an authorized person for travel expenses. At the end of the campaign, there is $50 left over and the official agent deposits this amount into the campaign bank account. The official agent records the $50 as other inflow.|
|Proceeds from the sale of assets||If the campaign sells any of its assets, the amount received is other inflow.
The sale proceeds do not reduce the commercial value of the asset, which is the lower of the purchase price or the cost to rent a similar asset.
|At the beginning of the campaign, the official agent purchases two brand new computers, at a cost of $2,000. After election day, the official agent sells the two computers for the amount of $1,500. This amount is recorded as other inflow.|
|Initial reimbursement of paid expenses||If applicable, the initial reimbursement of paid election expenses and candidate's personal expenses received from Elections Canada is other inflow.||The candidate received more than 10% of the valid votes cast. Later, the campaign receives the first installment of the reimbursement, which is 15% of the election expenses limit. The official agent has to record the reimbursement as other inflow.|