Non-profit organizations (NPOs) are a significant part of
our client base. We provide services to a broad variety of these entities
ranging from drug clinics to fraternal organizations. NPOs operate in a far
different environment than taxable entities. Besides differing accounting and
reporting requirements; management goals, financial objectives and funding
sources are vastly different as well.
We offer guidance on obtaining and maintaining tax exempt
status. We help to determine under which provisions of the Internal Revenue
Code an organization might qualify for exempt status.
Some NPOs are “more exempt” than others. Charities, for instance, are exempt in New
Jersey from sales tax, but business groups and social clubs are not. We help
the officers and directors of NPOs understand such distinctions to avoid
problems and penalties.
Frequently officers and directors have had no prior
experience in tax laws or accounting and bookkeeping. We understand that many
time clients need a lot of basic guidance in these areas.
NPOs which obtain government grants may be required to have
their financial reports audited under strict government auditing standards.
These standards require us to regularly attend courses on government accounting
and auditing.
