Trust Income Tax Return
Non-profit organizations (regardless of whether or not they are corporations) whose main purpose is to provide dining, recreational or sports facilities to their members must file form TP-646-V, Trust Income Tax Return, within 90 days after the end of their taxation year. At that moment, Revenu Québec considers that an inter vivos trust has been created.
The following must be reported in the return:
- taxable capital gains and losses
- property income (such as interest, rentals, royalties and dividends)
In the calculation of taxable income, such a trust is entitled to an additional deduction of $2,000.
If the trust has neither taxable capital gains nor property income, it will not have any income tax payable; it is nonetheless required to file the return.
Note
Non-profit corporations that must file form TP-646-V are still required to file form CO-17,Déclaration de revenus des sociétés (see courtesy translation CO-17-T). However, if they are claiming a tax credit or are subject to a tax other than income tax, they must file form CO-17.SP,Déclaration de revenus et de renseignements des sociétés sans but lucratif (see courtesy translation CO-17.SP-T).
For more information, click Trusts.