Not For Profit Taxes Toronto

CRA Guidelines for NPOs

The CRA doesn’t require not for profit organizations to pay any income tax. At the same time, these organizations are not allowed to use the income they receive to benefit their members. Their purpose is to operate for the benefit of society. The revenues obtained from the organization can be put into paying employees, directors and some of the cash or assets may be held within the company for some years. A qualified accountant who has experience working with NPOs can help put things into perspective. At the end of the year, the CRA requires most not for profit organizations to file an information return and T2 form. Our tax experts can help you streamline this process and give your NPO one less thing to worry about.

Get Help Setting up an NPO

If you are thinking of coming up with a not for profit organization, partner with our tax advisors to ensure you meet all the requirements. Remember that each province or territory has its own unique set of requirements that must be met when establishing a not for profit organization. For instance, you must fill out and submit important documents such as the Form 4001, Form 4002, first board of directors and articles of incorporation when incorporating an NPO. The NPO will need to create bylaws which should also address important matters like record-keeping processes. Our team can help you create bylaws involving financial record keeping so you don’t have to lose any money due to poor structures and processes. We’ll help you navigate this process and ensure all tax regulations are met.

Register Today To Be Eligible For 25% Discount Your Next Tax Return

There are numerous groups, societies and clubs operating not for profit, that come to us for accounting and taxation services. At GTA Accounting Professional Corporation, we have just the expertise and skill to deal with not for profit organizations (NPO). Just like any other business, NPOs have expenses like rent, utilities and payroll. They also collect money from clients and donations. Understanding how NPOs treat their profits and revenues is important to providing effective accounting and taxation solutions. With not for profit companies, any revenue that is generated by the business must be put back into the organization. This is unlike other businesses that may decide to reinvest the money, pay stocks or award themselves bonuses. NPOs are run differently and an experienced accounting firm in Toronto will ensure that everything is done according to the applicable rules.

Help in Filing Taxes for your NPO

Although you may not be required to pay taxes as an NPO, you may need to submit form T1044 to the CRA. The process of filing an information return can be complex that’s why our tax accountants provide all the guidance needed. We’ll ensure all the submissions are done in good time.

Get Help Maintaining Finances

The Canada Not for Profit Corporations Act has a set of guidelines on how financial records for NPOs must be kept. NPOs need financial statements to be prepared annually and submitted to members for review. All financial statements must be prepared according to the accounting principles accepted in Canada. Audits and reviews must also be done in good time. GTA Accounting Professional Corporation has all the expertise needed to prepare financial statements, perform audits and reviews as required by law.

We are not your typical auditing firm that only performs the usual procedures without offering you solutions. We view audits as an opportunity to offer our clients great recommendations that are practical and efficient for the business. Our auditors understand that tax regulations are constantly changing and are ready to offer you the best solutions to resolve even the most complex issues. We offer free consultation to discuss your options and ensure we are in a position to offer you high quality work. Talk to us today if you need to find out more about out tax audit services.

Are You Struggling With Your Personal or Corporate Taxes?

Are You Struggling With Your Personal or Corporate Taxes?