Notice to the Profession: Report of Prepaid Funds
As a courtesy reminder, you must submit your annual Report of Prepaid Funds (RPF) within three (3) months of your fiscal yearend. If you have already submitted your 2020 RPF, thank you.
Who has to submit an RPF?
- All Funeral Establishment Operators – Class 1 and 2
- All Transfer Service Operators – Class 1 and 2
- Cemetery, Crematorium and Alternative Disposition (Hydrolysis) Operators that accept prepaids
For funeral establishments and transfer services that do not accept any prepaid funds, including those not open to the public, please check off the box on the front page of the RPF form (see excerpt below), certifying that you have not entered into any prepaid contracts, and sign the back of the form.
Where do I find the RPF form?
The RPF form was recently revised and is on our website under For Professionals -> Forms. The form is now the same for ALL operator classes. Now a fillable PDF, it is also only two pages instead of five, and it reflects changes made to Review Engagement and Audit reporting requirements for licensed Ontario public accountants. If you have already submitted your RPF on the older form, we will accept it.
Funeral establishments and transfer service operators: In about mid-November 2020, you will receive a prepopulated 2021 RPF form along with your 2021 Annual Licensure Renewal (ALR) forms via email to the operator’s main email address. Alternatively, you can download the fillable PDF and refer to your previous year’s figures for your starting point. (Tip: Make sure you keep a copy of any documents you mail to the BAO office.)
Cemetery/crematorium/alternative disposition operators: Since the BAO has no historical data yet re. “New, Provided and Cancelled” contracts, simply download and use the blank RPF form from our website under For Professionals -> Forms. Cemeteries no longer need to separate out 1992 prepaid trust.
What must be included with my RPF?
When you submit your RPF, it must include the following three items:
- RPF form completed and signed by the person in charge of day-to-day operations
- Review Engagement Report or Audit (as applicable) prepared by your public accountant on the accounting firm’s letterhead
- Financial statements from each financial institution where prepaid funds are held (trust and insurance/annuity), for the month of your fiscal year end.
How do I submit my RPF?
You can submit your RPF by regular mail, fax to 647-748-2645 or email to firstname.lastname@example.org. Fax or email is preferred. Please submit all three items described above, together. It is your responsibility as the operator – not your accountant’s, to submit the RPF.
What happens if I don’t submit my RPF on time?
If you fail to submit your RPF on time, it raises compliance concerns and will likely result in an inspection by a BAO inspector. You could also be subjected to administrative action by the Registrar. It will also delay processing of your operator licence renewal, until such time that the RPF is received by the BAO. Failure to file your RPF on time will also render you ineligible for the licence renewal fee waiver for this renewal period.
You can email your inquiry to email@example.com or call our office and request to speak to one of our Trust Officers.
BAO Trust Team