What Are Our Tax Requirements?

Is our non-profit organization required to file an NPO Information Return?

Under subsection 149(12) of the Income Tax Act, an organization may have to file a Form T1044, Non-Profit Organization (NPO) Information Return for a fiscal period ending after December 31, 1992, if it is:

• a non-profit organization described in paragraph 149(1)(l); or
  
• an agricultural organization, a board of trade or a chamber of commerce described in paragraph 149(1)(e).
  

However, the organization will only have to file an NPO Information Return if:

• it received or was entitled to receive taxable dividends, interest, rentals, or royalties totalling more than $10,000 in the fiscal period;
• the total assets of the organization were more than $200,000 at the end of the immediately preceding fiscal period (the amount of the organization’s total assets is the book value of these assets calculated using generally accepted accounting principles); or
• an NPO Information Return had to be filed for a previous fiscal period.
  

When do we have to file?

An organization has to file its NPO Information Return no later than six months after the end of its fiscal period.

Do we need to register?

You have to register for GST/HST if:

• you provide taxable supplies in Canada; and
• you are not a small supplier.

If you are a GST/HST registrant, you have to collect GST/HST on your taxable supplies of goods and services, and you may claim ITCs for the GST/HST you paid or owe on expenses to make these taxable supplies of goods and services.

You do not have to register if:

• your only commercial activity is the sale of real property, other than in the course of a business; or
• you are a non-resident who does not carry on business in Canada.

Are there exemptions?

GST/HST applies to most goods and services that non-profit organizations supply. However, taxable supplies may be exempt when they are made under specific conditions.