The IRS may be faced with a declining workforce and budget, but it’s still active in monitoring compliance for not-for-profit organizations. In its 2018 work plan, the IRS stressed its data-driven approach to selecting Form 990s to examine. Each filed return is scanned and analyzed on 200 data points. Those meeting certain criteria are flagged for potential exam. Some of those data points include:
Topics: tax-exempt, not-for-profit, IRS, Form 990, Form 990-EZ, NFP, tax effect, Lisa Burke
With the May 15th due date for calendar year not-for-profits just around the corner and provisions inthe Tax Cuts and Jobs Act increasing scrutiny on not-for-profits’ executive compensation, employee benefits, and unrelated business income, it’s a good time to take a look at the message your organization’s tax return is sending. In years past, the IRS Form 990 was no more than a compliance task; an annual filing requirement to keep the IRS at bay. After all, there is no tax due, so what’s the big deal?
Topics: tax-exempt, not-for-profit, IRS, Form 990, Form 990-EZ, NFP, Charity Navigator, GuideStar, tax effect, Amazon Web Services, Lisa Burke
The IRS recently released the final 2013 Forms 990, 990-EZ and instructions. Although titled “Significant Changes,” it is a misnomer as the changes are not major. There were no changes to the form itself, though the IRS did make a number of revisions and clarifications to the instructions. We have entered the period of “IRS Fine Tuning.”
Since the major redesign to Form 990 in 2008, the IRS has made revisions to the Form each year to address changes made in the laws affecting tax-exempt organizations. While there were a number of changes to this year’s filing instructions, most involve fine-tuning and clarifying existing requirements rather than any large-scale changes or additions to the types of information required of 990 filers.
Topics: IRS, IRS Updates, Form 990, Form 990-EZ, Amy O’Loughlin