SKR+Co Nonprofit Newsletter
8 tips for running a valid accountable plan
If you’re like many nonprofits, you probably have an accountable plan for employee business expense reimbursements. If you don’t, you’re at risk for having to add reimbursements to your employees’ wages for income tax and Social Security tax purposes. But do you have the necessary policies and procedures in place to comply with IRS requirements? Here are eight tips for making sure that your plan is beyond reproach.
When is income taxable?
Your 501(c)(3) organization generally is required to pay tax on income that isn’t related to its main purpose — even if that income keeps the not-for-profit afloat. This unrelated business income (UBI) is something to watch closely, because if your nonprofit is ever audited, the IRS will likely scrutinize your records to see whether you’ve accurately reported UBI.
The ins and outs of obtaining financing
If your nonprofit needs to finance a project or program, you may be discouraged by reports that credit is still tight. But if you understand the choices available to you, your chances of securing financing will grow.
Newsbit: Executive directors in transit
About two-thirds (67%) of the not-for-profit executive directors who participated in the Daring to Lead 2011 study, sponsored by the Meyer Foundation and CompassPoint Nonprofit Services, said they plan to leave their current jobs within five years. The percentage was somewhat lower than in the prerecession 2006 study, in which 75% of participating executive directors said they’d leave their position within that five-year period.
Meet our Nonprofit Specialists
Steve Hochstetter, CPA, CVA, Audit Partner
Jeff Talus, CPA, Tax Partner
Our Nonprofit Services
Stockman Kast Ryan + CO Not-for-Profit services include:
• Tax preparation
• Audits and reviews of
• Compliance audits with
OMB Circular A-133
• Cash flow projections
and other consulting
• UBIT (Unrelated
Business Income Tax)
• Internal control reviews
For more information about any of our nonprofit services, please contact us at (719) 630-1186 or through our Secure Email: