Nonprofit finance, accounting, and tax news. Other tidbits of interest to the charity community.
Congressional law says that any NPO not filing required 990 returns with the IRS for three consecutive years will automatically lose tax-exempt status. This is called automatic revocation. The first time the three-year rolling requirement came into play was for years ending December 31, 2009 with the filing deadline of May 15, 2010.
On June 8, 2011, the IRS published the first list of organizations subject to automatic revocation.
Verne Hargrave has a great, short explanation at Faith Based Accounting on how to handle expense reimbursements.
Question #1 – What is the best way to handle expense reimbursements?
Extremely short summary: (more…)
Some short scenes have been combined into a 9 minute cartoon along with an intro and extro. The first of several feature-length cartoons is available on my other blog, Once Upon Internal Control. This one discusses some creative internal controls over cash and a few ideas on how to maintain security over the offering until it is counted by the count team. More to follow!
Cartoon can be found at:
Once Upon Internal Control – part 1
Storage costs are about zero.
Got to thinking about the cost of storing data on external hard drives. Did a few calculations to look at the radical change in costs over the last few years. Used my actual purchases and listings today at Amazon. Wow.
Here are the costs per gigabyte of storage for the newer portable hard drive (2 of ‘em are about the size of a paperback book) and for the larger externally powered ones (more the size of a thick hardback): (more…)
Posted at Once Upon Internal Control: The exit interview with the reporter who was investigating reports of extravagant spending. Final cartoon in the tale of the church that did internal controls well can be found here.
All four cartoons plus the intro will be rolled into a feature cartoon.