Non-Profit Organizations (NPO's)
Each blue circle in the left column below links to useful information for Non Profit Organizations

NPO's should be concerned about compliance including GST/HST, payroll and income tax reporting. NPO's are required by law to keep proper books and records. They also must report on their activities, and if they are in excess of certain limits, are required to file a T2 Corporate return to disclose their taxable activities. They must also be registered for GST/HST if they exceed the thresholds, and are required to register for payroll and remit if they hire employees.

QuickBooks® software has the ability to track classes for the balance sheet, making NPO accounting that much easier! 

Create receipts at year end using the Sales Order non posting form type. Create a template and use it over and over to generate the receipts you need to issue with your logo and the right words to satisfy CRA.

It's politically correct is to refer to this industry sector as Non-Profit or NPO. Sometimes government is in accord, and other times, the sector is referred to Not-For-Profit (see the new Industry Canada Act). We'll go with the popular sentiment and call them NPO's.

Accounting for non profit organizations! What you need to know to stay out of trouble panel discussion is relevant to all non profit organizations concerned about accounting and tax compliance.

Click the Blue circle in the left column to review the PowerPoint summary of the panel discussion!

Non-Profit Organizations and Compliance - Final report Dec 6, 2008 from the Richmond/South Delta CGA Chapter - Eileen Reppenhagen, CGA, Moderator -

Thanks to: CGA Richmond/South Delta Chapter Board and Chapter Members for hosting this event and to the representatives from Canada Revenue Agency, Worksafe BC, Industry Canada and a Crown Prosecutor from the Attorney General for BC and the University of the Fraser Valley, BC Centre for Non-Profit Development  for participating in this panel discussion

 

 

Each of these resources is useful for non profit organizations, mark this page as a favorite and return here to read more. If you are an accountant, the time you spend on this page is non verifiable reading good for PD points...

  2012 Accounting Standards for Non profits change
 

Effective January 1, 2012, new financial reporting framework...

Accounting rules and tax rules are not the same thing! Just because you've complied with accounting doesn't mean you've complied with tax. The Accounitng Standards Board has released information on new private sector standards for NFP's

Find more information at www.ACSBCCANADA.org

FAQ on Accounting for Private Sector NFP organizations

CRA considers non-profit organizations to be a type of trust

Federal

Income Tax Act S. 149(1)(l)

Non-profit organizations

(l) a club, society or association that, in the opinion of the Minister, was not a charity within the meaning assigned by subsection 149.1(1) and that was organized and operated exclusively for social welfare, civic improvement, pleasure or recreation or for any other purpose except profit, no part of the income of which was payable to, or was otherwise available for the personal benefit of, any proprietor, member or shareholder thereof unless the proprietor, member or shareholder was a club, society or association the primary purpose and function of which was the promotion of amateur athletics in Canada;

  Industry Canada
June 24, 2009 Not-for-Profit Corporations Act receives Royal Assent
 

December 3, 2008 - Not-for-Profit Corporations Act introduced

 OTTAWA, December 3, 2008 -- The Honourable Diane Ablonczy, Minister of State (Small Business and Tourism), today introduced the Canada Not-for-Profit Corporations Act.

"Our government is committed to continue modernizing and streamlining the way it works with business," said Minister Ablonczy. "We are putting into place innovative reforms to the administration of programs and services for both the private and not-for-profit sectors. This new Act would promote accountability, transparency and good corporate governance for the not for profit sector and is the first significant modernization of Canada's not-for-profit legislation since 1917."
The proposed Canada Not-for-Profit Corporations Act will enable organizations to incorporate faster. In addition, it would improve their financial accountability, clarify the roles and responsibilities of directors and officers, and enhance the protection of members' rights.
CIPO Bank of Speakers on intellectual property - basics of IP and strategic value
Statistics Canada reports on non-profit Institutions and Volunteering

Primer for Directors of Not-for-Profit Corporations (Rights, Duties and Practices) Industry Canada, 2002

   
  Charities and giving - Charities are one form of non profit organization, specificially one that also meets the test of charitable purposes for Income Tax, allowing for a donation receipt for eligible donations

CRA Checklists - find 10 checklists including a Terrorism checklist

Care must be taken with these checklists.  They provide an indication of what's involved in managing a charity but are by no means all that you should consider important.  Other countries have additional checklists you may wish to review for additional guidance. 

   
  Non-Profit Organizations without charitable status must also report on their activities

T4117     Income Tax Guide to the Non-Profit Organization (NPO) Information Return 

T1044     Non-Profit Organization (NPO) Information Return  

IT83R3    Non-profit organizations - Taxation of income from property 

IT-496R   Non-Profit Organizations

   
  Other federal information of interest 

Directors' Liability -Section 227.1 of the Income Tax Act and Section 323 of the Excise Tax Act No.: 89-2R2

Consultation on Proposed Guidelines for Registering a Charity: Meeting the Public Benefit Test  (Nov. 2005)
Housing allowances paid by a registered charity or non-profit organization to players
T5007 social assistance T slip production - article about liability for non profits
   
  Courts - landmark cases -  I've got the numbers, but no time... if you find the link to any of these cases on www.canlii.org, send me the link so I can add them here:
  Canadian Bar TCC 99-DTC-653
  Gatineau Golf Association TCC 67-DTC-435
  Gull Bay Development Corp TCC 84-DTC-6040
  Sutton Lumber & Trading SCC 53-DTC-1158
  Tourbec 1979 Inc. TCC 88-DTC-1442
  Woodwards Pension Society SCC 62-DTC-1002
  Liuna Loc 527 TCC 92-DTC-2365
   
  Provincial
BC Registration of Societies: Charities and NPO's
BC Societies Act
Clubs, Thrift Stores, Societies and Charities - Social Service Tax / PST
Refunds on Charity-Funded Purchases of Medical Equipment
BC Centre for Non-Profit Development (located at the University of the Fraser Valley)
WCB Assessment - 10 top issues for CGA practitioners
Resource Centre for Voluntary Organizations (RCVO) - Alberta
   
GST
GST523-1 Non-profit organizations - Government Funding report form
  GST reduction to 5% effective Jan 1, 2008
RC 4081(E) Revised 2010 GST/HST Information for Non-Profit Organizations Includes Form GST523-1
General Information for GST/HST Registrants RC4022(E) Rev. 03 Quick Method of Accounting
Non-Profit Organization (GST 500-4-8) Administration and Enforcement Rebates Non-Profit Organizations 
P-215 Determination of Whether an Entity is a Non-Profit Organization in the Excise Tax Act ('ETA')
 

The Point of Sale Rebate on Books

GI-065 HST for Ontario & BC POS rebate on books,

Notice 252 Notice of Change GST/HST TIB B-094 revised in 2010

See also 13-4 Rebates for printed books, audio recordings of printed books, and printed versions of religious scriptures

13.4 Rebates for Printed Books, Audio Recordings of Printed Books, and Printed Versions of Religious Scriptures  
   
  Other
  In the Loop - Standards in Transition announcement October 19 2010
Financial Reporrting by Non-Profit Organizations - ASB and PSAB joint invitation to comment on the future of financial reporting by non-profit organizations - Comments requested by June 30, 2009
Open the books on non-profits, by Eileen Reppenhagen, CGA
Non-Profit Organizations - Public Safety
Membee - comprehensive web-based membership management software
Real Life Scam of Non-Profit
Volunteers and the Law, A guide for volunteers, organizations and boards  (People’s Law School)
Workshops and Help for Non-Profit Boards  John Noonan, PRP, ASP, CGA www.registeredparliamentarian.com
BoardSource - Building Effective Non-Profit Boards
Quicken / QuickBooks - (almost) Free to Canadian Registered Charities
TechSoup.org - The technology place for Non-Profits
Gifts in Kind International - products available to Non-Profits
Google for Non-Profits (TaxDetective says this is very cool... check it out)

Carters.ca Charity Law Update

Email info@carter.ca (Subscribe) on subject line

Chartered Accountants of British Columbia E-library on NPO's
Imagine Canada / Research & Public Policy

"Not-for-Profit PolicyPro"  First Reference / Jeffrey D. Sherman, CA

http://www.firstreference.com/Not-For-Profit-PolicyPro.asp 

Building Blocks for Strong Communities Key Findings and Recommendations 2006
Canadian Council of Christian Charities - Webinars and Charities Handbook
 
RECRUITMENT:
Non-profit organizations can post volunteer and civic engagement positions free of charge at the Simon Fraser University Volunteer Services website

 

 

     

 

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