Annual Tax Compliance Checklist -- §501(c)(3)s
Exhibit 19-1
ANNUAL Tax Compliance Checklist for §501(c)(3) ORGANIZATION
PUBLIC CHARITY
Organization __________
Prepared by Reviewed with Date________
A. Federal tax exemption matters
1. New organization: Has Form 1023 been filed within 15 (or 27) months after organizational date? ____________
2. Young organization (1-5 yrs): If advanced ruling received, when does form 8734 need to be filed? ____________
3. All organizations: Review Form 1023, IRS correspondence, and determi nation letter for exempt purposes
originally represented to IRS to verify category of exemption. Do current activities match original purposes? ____________
4. Has IRS examined or contacted the organization? If so, please forward any correspondence. ____________
5. Does the EO want to change its fiscal year or its accounting method for tax purposes? ____________
B. State and local taxes
1. Is the organization doing business or soliciting donations in any other states? ____________
2. Does organization need to file for exemption with any State? ____________
3. Does organization use proper form to claim exemptions it is entitled to? ____________
4. Must the EO collect sales tax on goods or services sold? Are timely returns filed? Is tax deposited on time? ____________
5. Does the organization pay real or personal property tax? ____________
a. Would use of property qualify it for exemption? ____________
b. For property classed as exempt, is it devoted to exempt use or has it been converted to commercial use? ____________
C. Charter and bylaws
1. Were there any changes to the charter or bylaws this year? If so, forward us a signed copy. ____________
2. Were there substantial changes in exempt activities or mission to report? If so, send description. ____________
3. Review the minutes of director's meetings to see if they reflect exempt purpose of the EO's activities? ____________
D. Private Inurement or Benefit
1. Does the EO make any payments or provide benefits to persons that control, manage, or fund it? ____________
2. Is compensation paid to personnel (both employees and independent contractors) reasonable? ____________
If total comp of >$90,000 per individual is paid, contact us to compete Intermediate Sanction Checklist. ____________
3. Are loans made to or from officers or directors? If so, gather details and consider reasonableness. ____________
4. Does the organization benefit a broad charitable class or a limited number of persons? ____________
E. Exempt Activities
1. Do activities further the purposes for which EO was determined to be exempt? See Form 1023. ____________
2. Are files maintained to document or provide an archive of the nature of activities? ____________
3. Does the EO have a record retention policy? ____________
4. Does the organization lobby? If so, provide report including expenditures. ____________
5. Has the organization participated in any political campaigns? Review newsletters for mention of candidates/issues.___________
6. Does EO have unrelated business income? If so, please contact us to complete UBI Checklist. ____________
7. Does the EO make payments for personal services it receives? If so,
a. Does the EO have a policy for distinguishing between employees and contractors? ____________
b. Are Forms W-9 on file for persons not treated as employees? Are Forms 1099 filed? ____________
c. Must TWC reports and tax be paid (EO has 4 or more employees)? (No Federal tax is due!) ____________
d. Are payroll tax reports filed and taxes deposited in a timely fashion? ____________
8. Must Forms 5500 be filed for employee benefit plans? Are limitations on maximum employee
contributions adhered to? ____________
9. Does your organization have a website? If so, please contact us to complete Website Checklist. ____________
G. Property Contributions
1. Has the organization received gifts of property (other than listed securities)? ____________
2. Were there any sales of $5,000+ donated property made within two years from date of gift? ____________
H. Validity of Financial Information
1. Has a compilation, review, or audit checklist been completed to insure proper financial reporting and
adherence to accounting principles? ____________
2. Should an amended return be filed to reflect re-statement of prior year(s)? ____________
K. Publicly Supported Organizations
1. If financial statements are accrual, prepare revenue report on cash basis. ____________
2. Does EO maintain a cumulative database of substantial contributors (donate >2% of annual gifts)? ____________
3. Is fund raising conducted in a state that requires reports or regitration? ____________
4. Do fundraising solicitations reflect fair market value (FMV) of benefits offered to donors in return for gifts? ____________
5. For +$75 payments, is value of goods & services provided on solicitation or receipts? ____________
6. Do donor thank-you letters reflect statement of goods & services were(or were not) provided for >$250 donors? ____________
7. Is the method for calculation for FMV of benefits provided to donors reasonable and documented? ____________
8. Has EO furnished copies of Forms 990 and 1023 to members of public requesting to see or buy them? ____________
9. Are expense allocations and shared expenses with related §501(c)(4), (c)(5), or (c)(6)s documented? ____________
................
................
In order to avoid copyright disputes, this page is only a partial summary.
To fulfill the demand for quickly locating and searching documents.
It is intelligent file search solution for home and business.
Related download
Related searches
- 501 c 3 grants available
- export compliance checklist template
- 501 c 3 application
- 501 c 3 organization lookup
- 501 c 3 organization
- irs 501 c 3 search page
- 501 c 3 nonprofit organization lookup
- applying for 501 c 6 status
- 501 c 3 status lookup
- 501 c 3 online application
- 501 c 3 public charity
- types of 501 c organizations