Tax Exempt Organizations-Basic Issues for Operating, Organizing, and Preparing Forms

Description

For tax exempt organizations, it is not about calculating income tax. It is about showing to the IRS at inception and annually that the organization is entitled to be classified as a tax exempt organization because of its purpose as reflected in its management and activities. Exempt organizations have unique tax rules and special forms. The IRS is especially sensitive to abuses of exempt status. From fundamentals needed to obtain exemption and to prepare Form 990, this program teaches what the informed accounting and finance professionals in public practice and inside a tax-exempt organization must know.

Highlights

What is an exempt organization?
The importance of knowing the organization's purpose
Special status of charitable organizations
When and how to apply for exempt status
Notice requirement for new 501(c)(4) organizations
Which organizations are required to file a Form 990?
Unrelated business taxable income-the fundamentals
Statutory exclusions under IRC Secs 512, 513, and 514
In-depth analysis of Form 990, Form 990-EZ, and 990-N, and public disclosure requirements
Fund raising disclosure requirements of non-charitable exempt organizations
IRS's expectation for management of the organization
Introductions to private inurement and intermediate sanctions

Objectives

Participants will be able to:
Understand special filing requirements of exempt entities
Distinguish between charitable and other not-for-profit entities
Recognize unrelated business income
Prepare Form 1023, 1023-EZ, or 1024 and related schedules
Prepare Form 990, 990-EZ, and 990-N and related schedules
Be aware of traps and pitfalls that can lead to penalties or loss of exempt status

Designed For

Accounting and financial professionals that have any involvement with tax-exempt organizations and preparation of Forms 1023, 1023-EZ, 1024, 990, 990-EZ, and 990-N. May also be suitable for public practice.