DKS's picture

DKS

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HST Recovery - Ontario

Our church treasurer is diligent about recovering GST (50%) and now the Ontario provincial portion of the HST (82%). The first cheque arrived this week for the last half of 2010 and it totalled $3300. Our usual GST recovery alone is about $1500 every six months, so the increase was great to see. we do PST recovery every three years, but we pay a commission to an accountant for that, so our return is reduced. This is a great systrem. It's the equivalent, for us, of an extra Sunday offering every six months!

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Mendalla's picture

Mendalla

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This is the hidden gem of the transition from GST+PST to HST. Many credits that previously applied only to the GST portion of the sales tax now apply to the whole thing. It benefits businesses as well since the input tax credits for GST now apply to the whole 13% (although it's being phased in for some business expenses so we're not getting the full benefit yet). It's one reason why businesses and business associations largely supported the change (along with the benefits of paying only one amount to one level of government under one set of rules if you're collecting it).

 

Mendalla

 

GordW's picture

GordW

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But how many organizations know about these things?  I only learned about the Ontario PST recovery program last year when information abotut he HST program was posted on CLN.  AS far as I know nobody in the congregation had ever heard about it.

DKS's picture

DKS

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GordW wrote:

But how many organizations know about these things?  I only learned about the Ontario PST recovery program last year when information abotut he HST program was posted on CLN.  AS far as I know nobody in the congregation had ever heard about it.

 

It's in the Church Treasurer's Handbook, which has been issued for how many years? And any competent accountant knows all about it. There were even accounting firms who specialized in PST recovery. The one we used came around every three years and did many of the chuches in the city.

GordW's picture

GordW

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We had a former treasurer who was an accountant.  Our taxes (Charitable REturn) were dopne by a firm in town the last 4 years I was there.  Nobody ever mentioned it.  And why is a provincial program in a national handbook?  (Admittedly I never would have thought about looking there--like many perople I use things like that when I want to find an answer, and so had never read it fully--and I doubt our treasurer had either)

DKS's picture

DKS

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GordW wrote:

We had a former treasurer who was an accountant.  Our taxes (Charitable REturn) were dopne by a firm in town the last 4 years I was there.  Nobody ever mentioned it.  And why is a provincial program in a national handbook?  (Admittedly I never would have thought about looking there--like many perople I use things like that when I want to find an answer, and so had never read it fully--and I doubt our treasurer had either)

 

Because it's a national handbook and has to cover all bases? I didn't come across it until we did some renovations in a previous congregation and we applied to recover the PST, which was significant. I know it was done in a previous congregation in New Brunswick, after a fire. It's a case where knowing the local tax laws can make a difference.

seeler's picture

seeler

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The little church I previous attended got a rebate on HST for many years (in NB we wonder about the fuss other provinces are making about something we have lived with so long its hard to remember a time without it).   I took it for granted that every church was aware of it.  I hope the big church I attend now is applying for and receiving it.  

 

I think that there is also a rebate available for books.   I'm not an accountant, a bookkeeper, or a treasurer, so don't take my word for it - find out if you think it might apply to you.

 

 

cjms's picture

cjms

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GordW wrote:

We had a former treasurer who was an accountant.  Our taxes (Charitable REturn) were dopne by a firm in town the last 4 years I was there.  Nobody ever mentioned it.  And why is a provincial program in a national handbook?  (Admittedly I never would have thought about looking there--like many perople I use things like that when I want to find an answer, and so had never read it fully--and I doubt our treasurer had either)

I was a church treasurer for many years and ALWAYS read the financial handbook plus yearly updates.  Why have a resource if you aren't going to use it?

 

I always applied for every cent we could get back.  I also applied for and received extra rebates for library materials as we made them available to the public.  You also might want to look at the rate at which you pay the EI premiums for clergy.  I had that reduced as well...cms

martha's picture

martha

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cjms~I know that there are many more of you out there!! Treasurers who are diligently doing a great job :)

I was informed by an self-declaired --loudly and inpatiently to me over the phone--CA (also a treasurer) that it wasn't his job to fill in medical premium amounts on T4s, nor was it his role to inform the ministry personnel and lay employees at the charge they could claim those amounts.

It was MY job and MY fault that this wasn't being properly claimed.(This was after 2 years of my writing the Connex, specifically including this information, which I told him about).

That pastoral charge "didn't need ADP", either, since a CA was the treasurer. Nice.

DKS's picture

DKS

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martha wrote:

 

That pastoral charge "didn't need ADP", either, since a CA was the treasurer. Nice.

 

There is a fair bit of that out there. And given some of the horror stories I heard today at a presbytery committee meeting, there are still mistakes being made by everyone.

martha's picture

martha

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There are no perfect systems.  Approaching a task with an open mind and heart, and accepting that you can't know it all, but there are people you can ask for guidance or help...that's all one needs!

With that in mind: ADP's service line for United Church is 1-877-377-4784 (only for authorized contacts: treasurers or payroll administrators); the General Council Office Pastoral Charge Payroll Service Infomation Line is 1-800-268-3781 (ask for it, or press "1" when prompted); or Ministry and Employment at ext. 3161.

 

GordW's picture

GordW

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martha wrote:

cjms~I know that there are many more of you out there!! Treasurers who are diligently doing a great job :)

I was informed by an self-declaired --loudly and inpatiently to me over the phone--CA (also a treasurer) that it wasn't his job to fill in medical premium amounts on T4s, nor was it his role to inform the ministry personnel and lay employees at the charge they could claim those amounts.

It was MY job and MY fault that this wasn't being properly claimed.(This was after 2 years of my writing the Connex, specifically including this information, which I told him about).

That pastoral charge "didn't need ADP", either, since a CA was the treasurer. Nice.

Actually anyone who does not properly fill out their taxes has only the person who filled out those taxes to blame.  Not the treasurer, not someon at a different office.  And whether the information is on the T4 or not is kind of irrelevant.

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