Federally incorporated not-for-profit corporations are required to transition to the Canada Not-for-profit Corporations Act by October 17, 2014. It will be assumed that a federally incorporated not-for-profit corporation that fails to transition by this deadline is inactive and, as such, will be dissolved.

Failure to transition could have a significant consequence for a federal not-for-profit corporation that is a registered charity – that being the revocation of its registration as a charity.

If the federal not-for-profit corporation has charitable status, it will have obligations in addition to those required to transition successfully – namely, it will be required to provide Canada Revenue Agency with a copy of the Certificate of Continuance once received, along with a number of other documents.

If your organization is an Ontario not-for-profit corporation this transition does not apply to you as the Ontario Not-for-Profit Corporations Act has not yet come into force. (Currently, it is expected that this piece of provincial legislation will not come into force before 2016.)

For more information on what happens if your federally incorporated not-for-profit corporation does not transition by the October 17th deadline, visit Corporations Canada’s website by clicking here.

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