Nov 2018 Charity & NFP Law Update
Peel and Stick Bar Code Labels No Longer Provided with T3010 Package
The Canada Revenue Agency (“CRA”) has announced that, as of November 14, 2018, it has stopped providing charities with peel and stick bar code labels with their T3010 annual information return packages. The CRA will, however, continue to provide charities with Form TF725, Registered Charity Basic Information Sheet. Charities will continue to be able to make changes to their information through Form TF725. This form should be submitted along with the T3010, even where charities have not made any changes.
Changing Your Fiscal Year-End Infographic
On November 15, the CRA released a graphic educational tool (“infographic”), Changing Your Fiscal Year-End: What a registered charity needs to do. The infographic indicates that the T3010 must be filed no more than 12 months apart, even when a charity changes its fiscal year-end. When a charity changes its fiscal year-end, it will therefore need to file a transitional return for the brief period between its old and new fiscal year-ends before filing full-year returns thereafter. To change a fiscal year-end, the infographic states that charities must first determine their new fiscal year-end and then send a letter to the CRA (separate from the T3010), asking for permission to make the fiscal year change. The letter must contain the following information: the proposed new fiscal year-end, the proposed effective year of the change, and must be signed by an authorized representative currently on file. Upon receipt of confirmation of permission to change the fiscal year-end from the CRA, the charity must then file its transition return before filing its regular return with the new fiscal year-end.