Many Canadian registered charities will be receiving funds from the Federal government relating to the Canada Emergency Wage Subsidy (CEWS), Canada Emergency Rent Subsidy (CERS) and other programs. Some of these charities will have never received funding from the Federal government before.
The revenue received from the Federal wage subsidy and rent subsidy should probably be reported as follows on the T3010:
For charities with less than $100,000 in revenue, you would in Section D say yes to line 4565 and report the amount received or receivable (cash or accrual) along with funds from other levels of government on line 4570
For charities with revenue over $100,000 and completing Schedule 6, you would add the revenue to line 4540 “Total revenue received from federal government” as received or receivable depending on the accounting method along with any other funds from the Federal government.
Remember that there is a new form T3010 for 2020.
Original title of blog post: Registered charities reporting the Canada Emergency Wage Subsidy (CEWS), and other Federal subsidies, on their T3010
By Mark Blumberg, Toronto Lawyer | Blumberg Segal LLP