By: Marti Asher
NCACPA’s Not-for-Profit Committee’s goal is to keep all NCACPA members working with nonprofits informed of current issues affecting nonprofits! We’re committed to provide monthly blogs related to accounting pronouncements, tax updates, legislative issues, governmental audit issues and general information. Take a look at this month’s updates.
By David Marty
The Not for Profit Advisory Committee held a regularly scheduled meeting February 28-March 1, 2013. While the minutes are not currently available, the agenda and handouts are posted on the FASB website. Included in the topics were:
- Use of operating measures in Not for Profit (NFP) reporting
- Accounting for government assistance
- Implication of 2 broad proposals recently issued by FASB related to (1) recognition and measurement of financial assets and financial liabilities and (2) accounting for credit losses.
- Recognizing and measuring services received from personnel of an affiliate.
The handouts on the FASB site for this session are worth a look by everyone in the non-for-profit area.
The FASB site is at https://www.fasb.org/jsp/FASB/Page/SectionPage&cid=1176157957254&pid=1176156543050
OMB and Yellow Book Updates
By Marci Thomas
Regulators have issues with single audits. That is not new news. In fact I have been hearing this since 1986 when I started practicing in public accounting. What IS NEW, however, is that our own State Auditor- Beth Wood is very unhappy about the state of single audits. She along with the state board of accountancy are making this an issue now. In response the NCACPA held a government auditing workshop.
NFP Tax Updates
By Susan C. Martin
Per the IRS’s EO update, the EO will begin providing more current information about automatic revocation by including organizations on the Automatic Revocation List within a month of their effective date of revocation. The list may be viewed and searched on Exempt Organizations Select Check.
By Marti Asher
Our North Carolina State Legislature is working on several initiatives which may affect the funding and/or the needs of those served by our State’s Nonprofit Organizations. Current legislation under consideration includes:
- Elimination of the North Carolina deduction for businesses to donate to nonprofits as part of the corporate tax restructuring project
- Utilization of performance-based contracts with nonprofits
- Limiting salaries that can be paid to nonprofit organizations through state grants and contracts
- NC State Budget for 2013-2014
- Elimination of property tax exemption for 57 nonprofit continuing care retirement communities throughout North Carolina
You can stay up-to-date on current North Carolina legislation through this link: https://www.ncga.state.nc.us/
Federal budget legislation and sequestration are top of mind for all involved with nonprofits.
The budget includes the expansion of 990 e-filing to all tax-exempt organizations:
Marti specializes in not-for-profit and employee benefit plan auditing and consulting. She works closely with clients to provide information and assistance throughout the year. A CPA Marti started her career with Gilliam Coble & Moser in 1997, after experience as a cost accountant and an actuarial consultant.