Don’t Lose your Tax Exempt Status!
At Icon Systems we are always looking out for our clients and wanted to pass this information on to you. Does your current software provide the right financial reports for the IRS? Ask the 3,000 organizations in Orange County, CA that lost their tax exempt status and it came down to not filing their financial records with the IRS. Some are trying to get it back as that information shows. Small organizations are not exempt from this reporting requirement anymore as many believe. The IRS has revoked approximately 275,000 non profit tax exempt organizations this year alone. It will only get worst when nonprofit organizations use sub-standard accounting packages that do not provide accurate reports based on the fund accounting standards. These standards are provided by the FASB organization and specifically written in the FAS 95, 116, and 117 regulations. Please see a more in depth discussion with the church accounting software guide about these guidelines. Or read our ebook on accounting standards for churches.
