Tax time is over? Not for everyone.
Exempt Organization needs to file their tax return by May 15th, 2012. Non-Profit tax returns are complicated and very tedious. We strongly recommend that you consult with CPA for the filing for tax return. Our office can also help with your non-profit tax return.
Not-Ready to file your non-profit tax return?
No problem. Simply file for an extension. You may incur penalties if you file a tax return late without filing for an extension.
What do I need to file: There are many requirements for filing the tax return but the key is Form 990 and its related schedules. This form and schedules include a significant amount of financial reporting. Here are just some of the things you will need.
- Revenue and Income Statement: This should include categories (e.g. salaries, postage, rental revenue),
- Balance Sheet: Once again, this sheet should include categories (e.g. cash, accounts receivable),
- Statement of Functional Expenses: Tell how all expenses are allocated to either program services, fundraising, or operations.
- Expenses Report: This report should have all expenses divided into individual program services (e.g. mailings, a seminar program).
- Revenue Report: This report should include the details of sources of revenue, with categories. Basically, the IRS wants to know how money was raised.
As you can see IRS wants the detail of your operation including income and expenses. This can be quite tedious especially if this is your first time filing the return. Also, note that the IRS provides specific categories and classes for revenue and expenses. Your tax return can be quite complicated if are not using these categories.
Our firm can help you set up a proper bookkeeping practice for the non-profit and help you file your tax return.