What are the differences between a non-profit (NPO) and registered charity return?

The CRA outlines the differences between a registered charity and a non-profit organization. For more detailed information, refer to the bottom of the FAQ page linked above.

The differences between returns for a Not-for-Profit Organization and a registered charity

A registered charity must complete a T3010 form. The T3010 form is available in the FX module.

The CRA provides information related to Charities and giving, as well as T4033 guide to help complete the Registered Charity Information return.

The CRA provides information related to

A non-profit may have to complete a T2 return and may have to complete a T1044 form. The T1044 form is available in both the T2 and FX modules.

The CRA provides a T4177 income tax guide to help complete the NPO information return.

A not-for-profit may also be exempt from federal income tax as a NPO or registered charity within the means of section 149.

Completing a T2 return for a Not-for-Profit Organization

1. Open the T2 return.
2. Navigate to the Info page of the T2 return.
3. Select the applicable option from the drop-down menu for the question Corporation exempt from tax?

The tax payable is set to nil.

Note: If selecting option 149(1) (t), indicate on T2 line 370 how much income is exempt.

Review more information on 149 options at the Ministry of Justice page.