Charity & Nonprofit Audit / Type III orgs

This web page will explain the IRS audit process for charities and other nonprofit organizations. IRS Exempt Organizations is continuously exploring how to improve our service to charities and other nonprofit organizations, and hopes you will find the information on this page useful.

Recent changes affecting Type III Supporting Organizations

On February 4, 2012, the Director of Exempt Organizations, Ruling and Agreements, issued a memorandum instructing EO Determinations specialists to cease issuing determinations based on the 2009 proposed regulations.
Effective immediately, EO Determinations may issue determination letters classifying organizations as either functionally integrated or non-functionally integrated Type III supporting organizations if they satisfy the criteria set forth in the final and temporary regulations.

Revised IRS Publication on Charitable Contributions

The IRS has released revised Publication 526, which explains how to claim a charitable contributions deduction, discusses the types of organizations to which you can make deductible charitable contributions, and the types of contributions you can deduct. It also discusses how much you can deduct, what records you must keep, and how to report charitable contributions. See Publication

What Does the Fiscal Cliff Deal Mean for Nonprofits?

This fact sheet examines the effects of the American Taxpayer Relief Act of 2012 (ATRA) on charitable giving. The major individual income tax provisions are estimated to increase giving by $3.3 billion or 1.3 percent, relative to 2012 law, mainly because of the increase in the top marginal tax rate. Numerous other smaller provisions will also affect charitable giving. Read more....

Seminars on Establishing and Running a Nonprofit

Establishing and Running a Non-Profit: Part I

This popular seminar provides an overview of the legal basics for establishing and running a non-profit organization. Presented by Amy Hereford, an attorney and entrepreneur who speaks from her experience in working with non-profit start-ups. It includes practical tips, useful resources including the Non-profit, Tax-exempt Corporation Workbook (2012), an e-book (PDF) that presents the process of establishing a non- profit in a step-by-step format with ample space for notes, charts for gathering necessary information and tables for developing time-lines and assigning responsibilities. An excellent tool for assisting in non-profit formation, orienting new board members and non-profit directors.

NPAD:703 | $25

680 # 10am-12pm Saturday April 6, 2013

Meramec-Bus. Admin., Rm TBA (Meramec - 802 Couch Ave. Meramec Campus )

Establishing and Running a Non-Profit: Part II

This seminar builds on the previous session and provides more information. It will explore the legal requirements of operating a non- profit business organization, board responsibilities, business law for non- profits and legal compliance. It will also explore newer business models for non-profits, including fiscal sponsorship, nonprofit alliances, non- profit/for profit joint ventures and other collaborative structures.

NPAD:703 | $25

681 # 1pm-3pm Saturday April 6, 2013

Meramec-Bus. Admin., Rm TBA (Meramec - 802 Couch Ave. Meramec Campus )

Additional Information

Call: (314) 984-7777

Visit: www.stlcc.edu/Continuing_Education

Search Charities Online: Select Check

Learn how to search for charities and other nonprofits using the IRS online tool called Select Check in this new YouTube video.
Watch this and other videos on the IRS YouTube Channel.

Year End Tax Tips from the IRS

Development and fundraising offices will want to get these tips to potential donors. December is traditionally a month for giving generously to charities, friends and family. But it’s also a time that can have a major impact on the tax return filed in the New Year.  The IRS Special Edition Tax Tips offers tips about charity donations before year end. Click here.

Covenant Project Workshops

Announcing:
Covenant Project Workshop
February 4, 2013, 9am-5pm
2311 S. Lindbergh, St. Louis, MO

This workshop is part of the Covenant Project which provides comprehensive service to religious institutes that wish to explore their options in an uncertain and changing future. In this difficult but grace-filled time, a community can live today's challenges with the same courage, fidelity and creativity that have marked its entire history. We assist communities exploring options, in identifying the covenant(s) and/or partnership(s) that will be helpful along the way, and in developing a timeline and putting the necessary documents in place regarding:

Sponsorship
Health-care and retirement resources
Administration, Temporal Goods and Finance
Pastoral Care of Members, Communities, Ministries
Governance and Legal Matters

More Information - Registration - Printable Flyer

New Mileage Rates

The Internal Revenue Service today issued the 2013 optional standard mileage rates used to calculate the deductible costs of operating an automobile for business, charitable, medical or moving purposes.
Beginning on Jan. 1, 2013, the standard mileage rates for the use of a car (also vans, pickups or panel trucks) will be:
• 56.5 cents per mile for business miles driven
• 24 cents per mile driven for medical or moving purposes
• 14 cents per mile driven in service of charitable
organizations
The rate for business miles driven during 2013 increases 1 cent from the 2012 rate. The medical and moving rate is also up 1 cent per mile from the 2012 rate.

8 Nonprofit Tasks before Year's End

1. Make sure you've had your Annual Meeting.

2. File Annual Report with state if required.

3. Ensure you're on target to file federal Form 990 and any similar state filings.

4. Confirm that charitable solicitation registrations are up to date (if required).

5. Review grant agreements to ensure terms and restrictions are being honored.

6. Review insurance policies for adequate coverage and conformity to current operation.

7. Private Foundation must make grants to public charities sufficient to avoid excise tax penalties.

8. Thank Your Donors with Proper Gift Receipts.

From Daily Dose of Nonprofit Law

Pope issues norms on charitable agencies.

The Pope issued new norms giving the local bishop sweeping powers over charitable agencies operating in his diocese. It remains to be seen whether and how this will be implemented, given the widespread financial abuse and mismanagement in the Vatican and in various dioceses. The document may be found here.