September 1st, 2010 | Posted by Rob Eby
Many nonprofit organizations have experienced a decline in individual and foundation contributions. In an effort to overcome this decline, nonprofit organizations are renewing their focus on charitable gift planning. Scott Testa, in his article, Charitable Planning: CRT’s, CLT’s and the Increasing Payment CLAT, did a good job outlining the different types of charitable trusts and the benefits to both the giver and the receiving organization. To learn more about charitable trusts read Testa’s article at the Journal of Accountancy.
Tags: charitable trusts, Contributions, gift planning
Posted in Consulting | No Comments »
August 31st, 2010 | Posted by Carol Barnard
Why Should You Attend this Workshop?
Understand your duties as a fiduciary and the major challenges you face.
Avoid regulatory audits or litigation with proactive identification and correction of problems.
Prevent issues by implementing a sound fiduciary risk management process and documentation.
Protect your personal wealth and organizational assets with fiduciary liability insurance.
Who Should Attend?
Fiduciaries
CEOs
CFOs
CHROs/HR Directors
General Counsel
|
When:
Thursday, September 9
8:00 a.m. – 10:30 a.m.
8:00 a.m. – Registration
8:30 a.m. – Program Begins
|
|
|
Where:
The Ritz-Carlton,
Tysons Corner
The Old Dominion Room
1700 Tysons Boulevard
McLean, VA 22102
Tags: Fiduciary, retirement plan, Workshop
Posted in Consulting | No Comments »
August 31st, 2010 | Posted by Kathy Cuddapah
If your nonprofit organization is considering any gaming activities, or is already engaged in gaming activities, there are some important things you need to be aware of for both reporting purposes and maintaining tax exempt status. Read the rest of this entry »
Tags: Fundraising, Gaming, IRS, Raffle, UBIT, unrelated business income
Posted in Consulting, Tax | No Comments »
August 27th, 2010 | Posted by Rob Eby
Guide Star USA, an organization that tracks finances of nonprofit groups recently reported a decline in individuals contributing to nonprofits. The report is based upon a survey of executives at 6,800 nonprofit organizations. 67% of the surveyed organizations said fewer individuals made contributions and 66% said individual donations were smaller than in the past. To learn more about this survey read Jonathan O’Connell’s article at the Washington Post.
Tags: Contributions, Donations, guidestar
Posted in Consulting | No Comments »
August 18th, 2010 | Posted by Rob Eby
A joint proposal from the Financial Accounting Standards Board and the International Accounting Standards Board to overhaul lease accounting would result in a single “right-of-use” approach applied to lessees and lessors. Read more of the details at Journal of Accountancy.
Tags: FASB, Lease accounting, right-of-use
Posted in Assurance | No Comments »
August 17th, 2010 | Posted by Mark Brenner
The income tax cuts that were enacted in 2001 and 2003 under President Bush expire on December 31, 2010. Unless Congress acts now, which means the Democrats and Republicans have to agree on what should be extended and what can expire, everything resets to the tax law in effect as of January 1, 2001. The following is a summary of some of those changes and actions you may want to take to avoid the changes; any actions should be discussed with your tax advisor. Note that both sides want some or all of these expiring provisions extended but no one knows what the future (of tax) holds.
Higher tax rates: Highest tax brackets increase with a maximum rate of 39.6% instead of current 35%. Planning – If you think you will be affected by the return of higher rates, consider accelerating income into 2010 or deferring deductions.
The Marriage Penalty returns: Tax brackets change, affecting married returns with taxable income around $125,000. The reason for this change is that the current brackets eliminate the Marriage Penalty by making them 200% of a single person’s tax bracket. The old law was approximately a 67% increase.
Capital gains tax increases: The current 15% rate for long-term gains increases to 20% – a 1/3rd increase in the tax rate. Planning – Now may be a good time to recognize some of those gains in stocks you have been holding. If you want to maintain your investments, you can sell for a gain and repurchase the same stock; the “wash sale” rule only applies to losses.
Dividends: Most dividends on stock have been taxed at capital gains rates (15%) since 2003 but will be taxed as ordinary income in 2011 – with a maximum rate of 39.6%. Planning – If you own a privately-held taxable corporation (not an S corporation), consider paying a dividend by year end. If the company still needs those funds, you can lend back the net-of-tax dividend.
Alternative Minimum Tax (AMT): Every year for the past number of years, Congress has passed a one-year patch so that AMT does not affect a large number of “middle-class” taxpayers. This will have to be addressed in 2010 and again in 2011 or millions of taxpayers will find they are subject to additional taxes.
“When will we know the answers so that we can plan efficiently for income taxes?” That is an excellent question. Some pundits believe that the lame-duck Congress will address this after the November elections. Others believe that it won’t be addressed until a new Congress
Tags: alternative minimum tax, capital gains, Income tax, IRS
Posted in Tax | No Comments »
August 4th, 2010 | Posted by Rob Eby
The DC Office of Tax and Revenue, on Monday August 2nd 2010, announced the start of the long anticipated Tax Amnesty program. Under this program, delinquent taxpayers will: (a) get a rare opportunity to pay outstanding taxes and interest to the District; (b) have their penalties and fees waived; and, (c) avoid criminal prosecution. The Amnesty program will run from August 2, 2010, through September 30, 2010. A public awareness program is underway to reach the residents of the District, adjacent suburbs and across the country and the District has set a special website: http://www.dctaxamnesty.com/, to assist affected taxpayers.
Aronson and Company’s team of state and local tax experts is ready to assist effected taxpayers with issues such as: (a) eligibility requirements; (b) required documents including application forms; and, (c) expedite payments and liability resolution. Affected taxpayers should contact either Jack Koniszewski at 301-231-6205 or Henry Chiwaya at 301-222-8217.
Tags: DC tax, penalties, tax amnesty
Posted in Tax | No Comments »
July 27th, 2010 | Posted by Mark Brenner
IRS has announced that under a one-time relief program small tax-exempt organizations that failed to file returns for 2007, 2008 and 2009 can avoid losing their tax-exempt status by filing a return by Oct. 15, 2010. Two types of relief are available: (1) a filing extension for the smallest organizations (eligible to file Form 990-N); and (2) a voluntary compliance program for small organizations (eligible to file Form 990-EZ). IR 2010-87
See http://www.irs.gov/charities/article/0,,id=225702,00.html for more information.
Tags: 990-N, extension, Form 990
Posted in Tax | No Comments »
July 26th, 2010 | Posted by Amber Hawkins
Some of you have probably noticed there have been a few changes to the management letter you have received this year. Statement of Auditing Standard (SAS) 115 recently replaced SAS 112, and was effective for engagements ending after December 15, 2009 with early adoption acceptable. The changes were to adjust the language to agree with FASB 5. The biggest change between SAS 112 and SAS 115 is the addition to the definition of a control, stating that the control must be designed to allow management to correct the misstatement found, not just to detect and prevent. Below are the SAS 112 versions of the definitions for control deficiency, significant deficiency, and material weakness along with the SAS 115 definitions so that you can see the changes. Read the rest of this entry »
Tags: Control Deficiency, internal controls, Material Weakness, SAS115, Significant Deficiency
Posted in Assurance | No Comments »
July 26th, 2010 | Posted by Alexander Ruygrok
Please be aware that a failure to file information returns with respect to certain foreign transactions (specifically Forms 8865, 926, 8621, 5471, 5472, 3520, and TD F 90.22.1) not only can result in significant penalties but also that the statute of limitations with respect to the entire tax return (not just items related to the missing information or forms) does not begin to run until the required information has been provided (See IRC 6501(c)(8)). There is no “reasonable cause exception” with respect to the statute of limitations issue at this time although such a provision is included in pending tax legislation. Please note that this can have significant FIN 48 implications as well.
Tags: Fin 48, foreign bank accounts, foreign transactions, Form 8865, IRS filing
Posted in Tax | No Comments »
Loading ...
Follow us on: