Filing Fiscal Year-End Reports
| February 28, 2023
Let’s face it, filing your brokerage’s fiscal year-end taxes is a lot of work. And then, on top of your tax obligations, there are also fiscal year-end reports that must be filed with RECA within 90 days of your fiscal year end.
Your time is precious—we get it! RECA’s Practice Review team is here to work with you and/or your accountant to ensure your forms are filed on time and in the most efficient way possible. We have found that filing your forms online, through your myRECA account, is both easy and timesaving as it avoids the need to print, fill out, and return the forms manually to RECA.
Brokerages have had the ability to file fiscal year-end forms with RECA using the myRECA system since 2015, but many brokerages and accountants continue to do so manually!
Not sure what forms to file?
The fiscal year-end forms your brokerage is required to file are dependent on whether it held money in trust during the reported period.
For those who held money in trust, you must complete Forms 1, 2, and 3. Form 1 is an engagement letter between your brokerage and a licensed accountant. You do not need to submit Form 1 to RECA, but you must retain it for your records. Form 2 is filled out and submitted by the brokerage, outlining your trust activity. Form 3 is the accountant’s report, completed and submitted by your accountant. You and your accountant can file forms 2 and 3 online, or manually, by downloading and printing the pdf.
Find more information on how to file these forms:
If your brokerage did not hold money in trust during your fiscal year, you must submit Form 4—Declaration of Absence of Trust Transactions. You can file this form online through your myRECA account.
We’re Here to Help!
Book an appointment with RECA’s Practice Review Administrator!
These appointments help explain RECA’s fiscal reporting process in detail to brokers or accountants. Book an appointment through our online booking portal.
Need more time to complete the fiscal year-end forms? Submit the extension request form.
Need to request a change to your brokerage fiscal year-end registered with RECA? Submit the change fiscal year end request form.
Please note that condominium brokerages can no longer file one report for multiple brokerages. RECA requires separate reports for entities with separate real estate and condominium brokerage licenses as of December 1, 2022.