Firms claim redesigned form for nonprofits is time- and labor-intensive
Aside from the headaches of having to fundraise during a time when more donors are keeping their checkbooks closed, now not-for-profits have to contend with a new Form 990 - one that many say is tedious, time-intensive and generally more challenging.
CPAs who work with nonprofit clients have been doing some handholding and prep work with them - especially the larger organizations - on how to handle the revised version of the form, which was first issued in 2007. Smaller organizations - those with gross receipts of between $500,000 and $1 million - will be required to file the new 990 beginning next tax year.
According to the Internal Revenue Service, the form had not been revised since 1979, and was created to be consistent with their guiding principles of "transparency, compliance and burden minimization." The old form failed to recognize changes in tax law and the increasing size, diversity and complexity of the nonprofit sector.
See full Article.
Posts
