Does the IRS hold the right to audit your church? That answer lies in the halls of Congress. According to the IRS: “Congress has enacted special tax laws that apply to churches and religious organizations in recognition of their unique status in American society and of their right guaranteed by the First Amendment of the […]
Filed under: General, Tax by OSA&C Tuesday, June 6th, 2017
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In keeping with his promise to protect and “vigorously promote religious freedom,” President Trump issued an executive order May 4th in part mandating the Treasury Department not to pursue “adverse action against any house of worship or other religious organization for speaking out about moral or political issues from a religious perspective.” The main purpose […]
Filed under: General, Tax by OSA&C Monday, May 22nd, 2017
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You’ve heard about the IRS’ ongoing battle to combat fraud committed by people filing income tax returns and claiming refunds belonging to honest taxpayers. In its effort to limit these occurrences, the IRS changed all employers’ payroll return due dates for W2’s and some 1099’s. Beginning in 2017, with 2016 forms, employers, including nonprofits, must […]
Filed under: General, Tax by OSA&C Tuesday, November 15th, 2016
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Time is dwindling before the new overtime change discussed in last month’s blog takes effect. In less than a month, the minimum salary for employees to be exempt from receiving overtime pay doubles for those who work more than 40 hours a week. The basics regarding this change were discussed in our last blog. Now […]
Filed under: General, Tax by OSA&C Tuesday, November 1st, 2016
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If you’re starting a small nonprofit organization, you may qualify for some good news: the IRS reduced its application fee. Some background: Previously, all groups experienced the same process—regardless of size, creating needlessly long delays. All organizations seeking tax exempt status from the IRS must file Form 1023, Application for Recognition of Exemption. Most tax-exempt […]
Filed under: General, Tax by OSA&C Wednesday, June 15th, 2016
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Does your non-profit need to report health care coverage? Depending on your size, yes. The IRS requires all applicable large employers (ALE’s) to file health coverage information returns each year. In addition, ALE’s must provide all employees who worked full time for at least one month of the year with a statement about the health […]
Filed under: General, Tax by OSA&C Tuesday, January 12th, 2016
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You likely know that charitable organizations must provide a letter of acknowledgement of gifts to its donors that contribute $250 or more in a calendar year. This letter should also state whether the donor received any goods or services in exchange for the gifts. The IRS proposed a designated form for organizations to report these […]
Filed under: General, Tax by OSA&C Tuesday, December 15th, 2015
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You’re likely aware when your donors provide financial gifts or goods to your charity they’re entitled to a tax deduction…but did you know their traveling in the service of your group or other nonprofits may qualify as deductible travel expenses? Some stipulations include: Volunteers must perform genuine work for your charity for most of the […]
Filed under: General, Tax by OSA&C Tuesday, August 4th, 2015
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The Affordable Care Act (ACA) brought many changes for employers, including nonprofits, and insurers. Imposed by the ACA, the IRS now requires reporting employer-sponsored health coverage on Form W-2. Most employers, including tax-exempt organizations, must report aggregate costs of “applicable employer-sponsored coverage” under the group plan on employee W-2s. By requiring employers to report this […]
Filed under: Tax by OSA&C Tuesday, June 23rd, 2015
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The IRS mandated new reporting requirements to enforce the Affordable Care Act (ACA) that affect nonprofits and churches. These new forms will enable the IRS to verify that taxpayers held insurance with minimum essential coverage and were enrolled for all 12 months. Reporting is early in the year: you must submit your forms (Forms 1094-B […]
Filed under: General, Tax by OSA&C Tuesday, June 9th, 2015
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