Annual Report & Personal Property Tax Return Filing Deadline: Thursday, April 15, 2021
Every Maryland entity is required to file this return annually by April 15th. Nonprofit entities such as churches have the $300 filing fee automatically waived. Additionally, nonprofits are exempt from taxes on personal property.
Failure to file this report will cause an entity status of “not in good standing.” Entities that remain not in good standing for too long are in danger of being administratively forfeited by the State. While not in good standing status, an entity can file all missing returns. There is no penalty for a late filing for nonprofits. Once forfeit, an entity must file all missing returns and file Articles of Reinstatement. [Cost is currently $100].
However, more importantly, once forfeit, the corporation (or other entity) is defunct and thus provides no protections to individuals who act as agents for that entity. If someone is harmed by the negligence, the liability will fall directly on the governing board members and other leaders personally because there is no legal entity to shield them. Please be aware.
Each Church is required to file their individual statements, but if you have any questions, feel free to contact us or call the Presbytery offices at (410) 433-2012.
Meanwhile, have a blessed Easter week!