Name: Maribeth Wright, CPA
Posts by Maribeth Wright, CPA:
Could your nonprofit use some “extra cash”? I’m sure most of you answered “yes” to that question. And the timing couldn’t be better. A few months back I wrote a blog post about Ohio’s Honor Project Trust. The Honor Project Trust was created as a result of a lawsuit settlement. Excess settlement proceeds from the lawsuit totaling approximately $9 million were earmarked for Ohio nonprofits. The trust’s mission is to identify and providing funding to not-for-profit charitable organizations that have a societal impact in the State of Ohio. Read the rest of this entry “
Nonprofit organizations in Ohio may soon have “free money” coming to them. Who’s giving out the money? The State of Ohio. The Honor Project Trust was created as a result of a recent lawsuit settlement. Excess settlement proceeds from the lawsuit totaling approximately $9 million were earmarked for Ohio nonprofits. The trust’s mission is to identify and providing funding to not-for-profit charitable organizations that have a societal impact in the State of Ohio. So how do you know if you qualify for this grant and get a piece of the pie? Read the rest of this entry “
You may employ hundreds, if not thousands of employees. Or maybe you only employ three to five. Regardless of the number of employees you have, the way you classify your workers is important to the federal government. Worker status is a hot button issue at the Internal Revenue Service (IRS), and Ohio Job and Family Services, Ohio Bureau of Workers’ Compensation and the U.S. Department of Labor are also challenging the way businesses report their payments to “independent contractors.” Read the rest of this entry “
“Interested in credit card theft? There’s an app for that.”
Those were the recent words of Gunter Ollmann, a technology security consultant. To Mr. Ollmann’s point, identity theft is getting easier and easier to perpetrate. Identity thieves are using the internet to find victims and steal their private data. But, the use of technology swings both ways; consumers are increasingly using it to protect themselves and their identities. Here are some on- and offline steps you can take to protect yourself from those trying to gain access to your data: Read the rest of this entry “
It’s been 4 years since the IRS redesigned the 990 Form. Part of the change was the addition of a list of questions on various policies your organization may have adopted. Since that time, the IRS has conducted a study to determine which policies organizations have and how the existence of those policies correlates to both good governance and IRS compliance. The study found that those organizations that have polices – and follow them – generally have better tax compliance and governance. Read the rest of this entry “
Understanding Tax-Exempt Reporting
The IRS Form 990 is an annual reporting return that certain federally tax-exempt organizations must file with the IRS. It provides information on the filing organization’s mission, programs, and finances.
Form 990 has been around for more than 50 years. The first 990 was filed for tax years ending in 1941. This comparatively simple two-page form included only three yes/no questions, an income statement, and a balance sheet (although some line items required attached schedules). For example, individuals paid a salary of $4,000 or more were required to be listed on a schedule showing their name, address and amount paid. Similarly, contributions exceeding $4,000 received from any one person were required to be itemized. Read the rest of this entry “
A new study by Identity Finder shows that 18% of non-profit organizations have published social security numbers on their Form 990 tax returns.
But, we all put our social security numbers on our tax returns. So, what’s the big deal? Unlike personal income tax returns, 990s are available to the public. They’re regularly published by the IRS and shared with various grant-making organizations and the public. Non-profits use 990s for a lot more than just filing taxes – often they submit copies of 990s with grant applications and make them available to donors. A 990 can tell you a lot about the financial health of an organization; they’re considered the industry standard financial snapshot for non-profit organizations. Read the rest of this entry “
Farming is a pleasure activity for some individuals, and for others, it’s how they support themselves. If you farm for profit, how do you prove it to the IRS? Read the rest of this entry “
Anyone can access your organization’s website – even the IRS. Not only can anyone easily find it through an Internet search, it is now prominently displayed on the first page of your Form 990. As the IRS begins to scrutinize tax-exempt organizations more closely, it is likely examine your organization’s Web advertising and merchandising. Read the rest of this entry “
The IRS recently announced an extension until March 30, 2012, for tax-exempt organizations that normally have a January or February return filing deadline. Read the rest of this entry “
Wouldn’t your not-for-profit organization love to find an additional $500 to $5000? Nonprofit groups are often surprised to find that they may qualify for the small business healthcare tax credit, which began in 2010. The credit, which applies to both for-profit and nonprofit entities, has already netted several of our clients between $500 and $5000 in refunds for the 2010 tax year. Read the rest of this entry “
The IRS has announced it will help thousands of small charities keep their tax-exempt status who missed the May 17 deadline for filing the new online return, called the Form 990-N or “e-postcard.” Read the rest of this entry “
Arranging summer day care for your children can be challenging, but knowing those expenses may be tax deductible may help. The IRS recently shared some tips regarding the tax credit available for child care of children under age 13. Read the rest of this entry “
Just as they did when earthquakes ravaged Haiti, many fast-acting organizations have mobilized to help rescue animals caught in the massive Gulf oil spill. But as was also the case with Haiti, not all groups have the best interests of the animals, or the donors, in mind. If you want to help, how do you know which ones are responsible, versus inefficient, ineffective or outright scams? Read the rest of this entry “
Hundreds of thousands of not-for-profit organizations are in danger of losing their tax-exempt status because they missed a critical May 17 filing deadline, however smaller nonprofits are being thrown a lifeline by the IRS. The IRS is working to help organizations with annual receipts under $25,000 maintain their tax-exempt status and encourages these groups to go ahead and file the document even though the deadline has passed. Read the rest of this entry “
IRS auditors know what good governance practices are, and they’re not afraid to test them on your not-for-profit organization.
Tax-exempt organizations represent a significant and growing industry. There are more than 1.9 million exempt organizations, not including those with religious exempts, and more than 200 new applications are approved each day. With such large numbers, it’s not surprising the agency is placing increased focus on this area. Read the rest of this entry “
In recent years, the IRS has made several revisions to its Form 990, the tax return for tax-exempt organizations. These changes focus on obtaining additional information that help organizations become more transparent to both the IRS and the general public. However, these changes also mean increased responsibilities for the trustees of these organizations. Read the rest of this entry “