Tag Archives: Not-for-profit

NEW BILL IS A BIG WIN FOR NEW JERSEY NON-PROFITS

This week New Jersey non-profits received some welcome financial relief.  On January 18, 2022, Governor Phil Murphy signed legislation raising the State’s audit threshold for non-profits from $500,0000 to $1,000,000 in gross revenues. In addition, the new legislation allows non-profits to exclude from gross revenues the value of in-kind donations that are directly related to Read More…

CARES ACT EMPLOYEE RETENTION CREDITS FOR NONPROFIT EMPLOYERS

Many nonprofit organizations were forced to shutter or temporarily close their operations under a governmental order as a result of the coronavirus pandemic, while others were forced to severely limit their offerings.  One way to continue to pursue your organization’s objectives is to ensure that you are still able to function, even if only in a limited Read More…

MANAGING COMPENSATION FOR NONPROFITS

By Michael Conover   The novel coronavirus (COVID-19) crisis has affected all sizes and types of organizations including the nonprofit sector. Regardless of the type of nonprofit, they have been impacted by: forced office closures, dramatic swings (upward or downward) in demand for their services, actual or threatened loss of revenue, budgetary and staff cuts, Read More…

STRENGTHENING INTERNAL CONTROL IN THE COVID-19 ENVIRONMENT

By Carla DeMartini, CPA Due to its mission-driven purpose, a nonprofit organization’s financial and operational sustainability is significantly impacted by its environment. Natural disasters, economic slowdowns and unforeseen events are just a few factors that can adversely affect nonprofit organizations. That is why a strong internal control system has always been a priority for audit Read More…

TRANSPARENCY IN NON-PROFIT ORGANIZATIONS

Transparency, in the non-profit sense, is defined as the widespread availability of relevant, reliable information about the performance, financial position, and governance of an organization.  Transparency is a trust building tool; the more transparent your organization becomes, the more trustworthy you will be viewed by the public, donors, and regulators.  It is important for non-profit Read More…

WHAT’S THE DIFFERENCE BETWEEN NONPROFIT AND FOR-PROFIT ACCOUNTING, AND HOW DOES IT IMPACT THE FIDUCIARY DUTIES OF BOARD MEMBERS?

By Lee Klumpp, CPA, CGMA There are many opinions on what the fiduciary responsibilities of nonprofit board members are. The National Council for Nonprofits discusses that boards should: a) Take care of the nonprofit by ensuring prudent use of all assets, including facility, people and goodwill; and provide oversight for all activities that advance the nonprofit’s Read More…

CHARITABLE CONTRIBUTIONS – SUBSTANTIATION & DISCLOSURE REQUIREMENTS

There are various requirements for both donors and charitable organizations as to substantiating charitable contributions.  The donor must have either a bank record or written communication from a charity for any amount of a charitable contribution before the donor can properly claim a charitable contribution deduction.  In addition, the donor is responsible for obtaining a Read More…

NEW DEFERRED COMPENSATION REGULATIONS: WHAT NONPROFITS NEED TO KNOW

By Joan Vines, CPA The Internal Revenue Service (IRS) released proposed regulations that provide guidance for the nonqualified deferred compensation arrangements of tax-exempt organizations in June. The regulations, which have been anticipated by the industry since 2007, address the interplay between Internal Revenue Code Section 457 and Section 409A, which govern the nonqualified deferred compensation Read More…