Nonprofit Accounting Basics

Tax and Information Filings

Independent Voting Members of the Board

The definition of an independent voting member of the Board of Directors includes four criteria that must be met for independence:

IRS Code Sections Relating to Exempt Organizations

The IRS maintains a listing of the code sections that apply to exempt organizations.

Lobbying and Political Activities Chart

Nonprofits are allowed to lobby, but the type of nonprofit determines the level of lobbying allowed.  Some nonprofits can engage in political activity, but not all are allowed that flexibility

Meet the New Form 1099-NEC

The PATH Act (Protecting Americans from Tax Hikes Act) required that payments for services in 2017 be reported on Form 1099-MISC by January 31 of the following year.  However, if a payor was o

Mission Trips and the IRS

An important part of outreach for many religious organizations are mission trips.  It is an exciting opportunity for missioners to live into their faith by working in partnership with those th

Navigating compliance as a 501(c)(4) tax-exempt organization

Here’s a helpful guide for these organizations, especially when it comes to political activity and lobbying.

Public Support Tests: Does Your Public Charity Pass the Section 509(a)(1) Test?

To be a public charity, an organization must meet one of the Internal Revenue Code (Code) Section 509(a) tests.

Public Support Tests: How a Public Charity is Defined Under Sec. 509(a)(2)

The IRS has four categories under Sec. 509 that allow an organization to be a public charity, but the two most common are 509(a)(1) and 509(a)(2).

Public Support Tests: Why You Might Prefer Public Charity to Private Foundation

While the Internal Revenue Code Section 501(c) lists 29 different types of nonprofit organizations, most tax-exempt organizations are those described in Section 501(c)(3) and have a charitable, rel

Reporting the Total Number of Volunteers on the Form 990

Nonprofits have only a few touchpoints where a lasting impression can be made in the blink of an eye.

Security Act 2.0: What you need to know

On December 29, 2022, President Biden signed the Consolidated Appropriations Act, 2023, which includes the provisions of the Securing a Strong Retirement Act, commonly called SECURE 2.0.

Special Events—Tax Considerations and Reporting

Special events, in this context, are synonymous with fundraising events such as galas (most typical), luncheons, golf tournaments, shows and auctions.  They are unrelated to the exempt purpose

The Dos and Don’ts for Charity Auctions

Whether or not this is the first time you are doing an auction or the auction is a regular event for your 501(c)(3) organization, this article will provide a variety of pointers which apply to live

The Tax Consequences of Fee-for-Service (Part 1 of 2): The Exempt Purpose Test

The past decade has been marked by the increasing commercialization of the non-profit sector.

The Tax Consequences of Fee-for-Service (Part 2 of 2): The Unrelated Business Income Tax

In the first part of this two-part series, we discussed the growing commercialization of the non-profit sector, and examined how and when heavy reliance on “fee-for-service” revenue may be inconsis

UBIT Basics

UBIT Special Rules

Updates on Excess Tax-Exempt Organization Executive Compensation

The Tax Cuts and Jobs Act of 2017 added a 21 percent excise tax on tax-exempt organizations, including associations, that pay what the law defines as “excess tax-exempt organization executive compe

Volunteer Protection Act

The Volunteer Protection Act of 1997 provides personal immunity to individuals who act on behalf of an organization in a volunteer capacity.

When Does Your Activity Become Lobbying?

What Your Nonprofit Needs to Know

Which 990 Form to File

There are threshold rules to consider when choosing the informational form an exempt organization should file. It should be noted that there are exceptions to each of these thresholds.


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