Charitable nonprofit organizations generally aren’t required to conduct independent audits. Certain circumstance, however, could trigger an independent audit. Many groups, such as the following, rate nonprofits and offer guidelines on when audits should be obtained: These groups are not regulating
Form 990, Return of Organization Exempt From Income Tax, is the IRS’ method of evaluation to make sure your nonprofit is financially honest and legitimate. The form is required for tax-exempt organizations to file each year to remain compliant with
Requests for transparency and accountability keep growing with the demands that contributions be used as intended. You need to track and report on segregated accounts, treating funds as separate entities with their own general ledgers. More than 20 years ago,
Nonprofit accounting may seem overwhelming at times, but it becomes easier once you begin to understand how finances function and move within your organization. By using this info, you can implement best practices for effective accounting decisions. With the right
At many nonprofits, managers may be spending much time trying to decide if it’s worth the money to engage a CPA firm to help the organization with its finances. After all, resources are often very limited at nonprofits. However, managers