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Unrelated Business Income Tax: What Your Organization Should Know

Most organizations exempt from tax under Internal Revenue Code (“IRC”) Section 501(a), including charitable, religious, scientific, and other organizations described in IRC Section 501(c), may be subject to tax on unrelated business income (UBIT), depending on the nature of the activities producing that income. It is important for an organization to distinguish between its tax-exempt purpose and its business activities.


Nonprofit Finance Study Reveals Compliance, People, and Process Complexities

Nonprofit finance and accounting can be tricky business. First of all—serving as a responsible steward of money coming in from a multitude of sources with diverse demands is a huge challenge. Then, rules and regulations are in constant flux. Compliance is becoming increasingly complex and burdensome. Fraud is a potential risk lurking around every corner. And, oh yeah. There’s the seemingly never-ending stresses associated with audit planning and prep. 


FASB Modifies Not-for-Profit Accounting Rules

FASB [Financial Accounting Standards Board] issued a new accounting standard Thursday [August 18, 2016] that is designed to help not-for-profits tell their stories through their financial statements.

Not-for-profit financial statements have been prepared under FASB's current guidance since 1993. The new standard changes presentation and disclosure requirements with the intention of helping not-for-profits provide more relevant information about their resources—and the changes in those resources—to donors, grantors, creditors, and other financial statement users.