OTTAWA - A left-leaning think-tank was targeted by the Canada Revenue Agency for a political-activities audit last fall partly because the research and education material on its website appears to be "biased" and "one-sided."

That partial rationale for launching the controversial audit appears on a newly released document that the think-tank, the Canadian Centre for Policy Alternatives, obtained under the Access to Information Act.

The one-page summary sheet, which has some material deleted to protect law enforcement, includes a section entitled "Screeners' comments" that outlines why the Ottawa-based group was selected to undergo an audit of its political activities.

The section refers to two previous audits, in 1989-1990 and 2002, where the tax agency says it first raised questions about the group's political activities, among other non-compliance issues.

"A review of the Organization's website, as well as the previous audit findings, suggests that the Organization may be carrying out prohibited partisan political activities, and that much of its research/educational materials may be biased/one-sided," says the document, a copy of which was provided to The Canadian Press.

The internal summary provides an unusual glimpse into the Canada Revenue Agency's audit-selection process, which the agency is normally bound to keep secret.

The Canadian Centre for Policy Alternatives is an avowedly left-leaning think-tank that first won charitable status in 1987, and has become a fixture on the federal scene, known in particular for its so-called Alternative Federal Budget each year. Its positions on social programs, taxes and the economy often conflict with Harper government policies.

The centre has become one of 52 charities to undergo audits of their political activities, in a new $13.4-million program launched in the 2012 federal budget.

Auditors are looking for any evidence of partisan activity, such as endorsements of political candidates, which is forbidden, as well as any violation of a rule that limits political activity to no more than 10 per cent of a charity's resources.

Initial targets were environmental groups, many of whom oppose the government's energy and pipeline policies. But the net was later widened to include international aid and social-justice groups, among others, many of whom have been vocal opponents of the Conservative government.

Some observers have said the new audit program has led to "advocacy chill," as charities fear speaking out lest they provoke auditors into de-registering them, potentially drying up donations. The time-consuming audits can also be costly, including legal expenses.

The Canada Revenue Agency, however, says it operates at arm's length from government and is simply holding charities accountable, ensuring they follow established rules.

A spokesman for the Canadian Centre for Policy Alternatives said the finding of bias is "absurd," since all think-tanks — whether on the left or right — work from a specific set of values.

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