RLB Blog

Most condominium corporations in Ontario have an audit completed annually and the resulting financial statements are provided to owners, typically, in the Notice of Annual General Meeting.

Finally done! I filled out that year-end checklist, and the auditor should have everything they need. Ugh, there is another email from them.

As accountants who specialize in condominium audits, we are asked to present audited financial statements at hundreds of Annual General Meetings each year.  Before the pandemic, these AGM were typically held in person. With restrictions on gatherings, the industry was required to find a new way to have AGM meetings… the solution was virtual!  We have found these virtual meetings to be quite successful as they have resulted in higher attendance, and unit owners can attend the meeting from the comfort of their own homes.

Jane woke up early on a Sunday morning and decided she was going to get as many errands done as possible to prepare for the upcoming vacation. She decides to look for the forms to renew her passport. She starts her coffee brewing and sleepily googles “passport renewal” and clicks on the first link. It looks like a government website (It has the mini Canadian flag in the corner and appears professional) and it indicates that she can apply online. She types her personal information into the form. It asks for banking information so they can charge her directly from the website. Submit.

Over the last several weeks, the Federal government has made several announcements regarding financial assistance programs that have been made available to corporations and individuals. You are probably wondering whether your condominium corporation is eligible for any of these. The answer is – maybe.

The COVID-19 pandemic is something no one could have predicted or budgeted for, and we are all struggling in one way or another.  Information and our country’s understanding of the impact of this virus on the economy changes daily, and the government is regularly enacting new legislation to support Canadians during this time of uncertainty.  It is unknown if the Condominium Act will change as a result of the pandemic, but until then, the existing Condominium Act still needs to be followed.

The basic activity of a condominium, collecting monthly common element fees, qualifies it as a not-for-profit organization. A corporate tax return is filed annually but no taxes are assessed. In addition, the corporation may have to file a Non-Profit Organization (NPO) Information Return. This return must be filed if combined interest and rental income exceed $10,000 in the current fiscal year, if the corporation owned assets valued at more than $200,000 at the end of the previous fiscal year or if the corporation has ever filed an NPO Information Return in the past. It is important to file this return within six months of the fiscal year end to avoid penalties. This return does not assess tax but can impose penalties, if filed late, of $25 per day up to a maximum of $2,500.

All condo corporations in Ontario are legally required to file annual returns with the Condominium Authority of Ontario (CAO). Make sure you are prepared to file your return. Read our blog post about frequently asked questions regarding CAO returns: