Understanding the Uniform Guidance Suspension and Debarment Regulations

Suspension and debarment is another of the 12 compliance requirements included in the Compliance Supplement, published by the Office of Management and Budget. The Uniform Guidance regulations for suspension and debarment originate from 2 CFR Part 180, Executive Orders 12549 and 12689. While 2 CFR Part 180 is directed towards federal agencies, the regulations still… Read more »

Nonprofit Parking Tax Repealed

Tax exempt organizations received good news prior to the end of 2019 with a provision included in the Consolidated Appropriations Act, 2020 that was signed into law on December 20, 2019.  The provision repeals the requirement in Internal Revenue Code Section 512(a)(7) for not-for-profits to treat as unrelated business taxable income (UBTI), amounts paid for… Read more »

Charitable Contributions – The Effects of the Tax Cuts and Jobs Act of 2017

Almost a year ago, I wrote an article discussing the changes the Tax Cuts and Jobs Act of 2017 made to the deduction for charitable contributions starting for tax year 2018. In early 2019, while giving a brief presentation to a local fundraising professional’s organization on the charitable contribution changes, I was asked what changes… Read more »

Engage supporters with your nonprofit’s annual report

Some of your not-for-profit’s communications are of interest only to a select group of your supporters. But your organization’s annual report is for all stakeholders — donors, grantmakers, clients, volunteers, watchdog groups and the government. Some report elements are nonnegotiable, such as financial statements. But you also have plenty of creative license to make your… Read more »

Not-For-Profit Parking Tax

The nonprofit parking tax is a tax on the amount paid or incurred for providing parking benefits to employees. Not‐for‐profits will need to file the 990‐T to report the unrelated business income that is not really income; it is an expense. Although there has been an effort to repeal the tax, it has not happened… Read more »

Key Review Points of Form 990

A not-for-profit organization’s Form 990 is more than just an annual filing requirement; it can be used as an informative document to external users, as a year-to-year comparative document for management, or even as a marketing reference for potential donors. As a best practice recommendation, all not-for-profit organizations should establish a committee to be responsible… Read more »

Monitoring Subrecipients in Compliance with the Uniform Guidance

The Compliance Supplement, published by the Office of Management and Budget, identifies 12 types of compliance requirements that may or may not applicable to a federal award(s) provided to a non-Federal entity. One of the requirements that may be applicable to a non-Federal entity is that of subrecipient monitoring. In order to understand the compliance… Read more »

Associations: Avoid certain activities to preserve tax-exempt status

Nonprofit trade associations, or 501(c)(6) organizations, exist to promote their members’ common interests and improve business conditions or “one or more lines of interest.” Whether the association is a local chamber of commerce, a real estate board or a large professional group, associations’ tax-exempt status is contingent on their sponsoring certain types of activities —… Read more »

Fiduciary duties: What your board members need to know

Not-for-profit board members — whether compensated or not — have a fiduciary duty to the organization. Some states have laws governing the activities of nonprofit boards and other fiduciaries. But not all board members are aware of their responsibilities. To protect your nonprofit’s financial health and integrity, it’s important that you help them understand. Primary… Read more »

What To Do If Your Nonprofit Receives an IRS Audit Letter

The IRS’s staffing shortages have been well publicized and audits of individuals have decreased in the past several years. But it’s a mistake to assume that the agency has stopped scrutinizing not-for-profits and conducting audits when it deems necessary. If your organization receives an audit letter, you need to know what the process involves and… Read more »