You're Invited! Annual Not-For-Profit Accounting Update
Thursday, September 26, 2019
Hosted at Detroit Historical Museum
Section 4960 of the Tax Cuts and Jobs Act of 2017 enacted a 21 percent excise tax on excessive employee compensation for tax-exempt organizations.
Accounting Standards Update (ASU) 2018-08 Not-For-Profit Entities (Topic 958), Clarifying the Scope and the Accounting Guidance for Contributions Received and Contributions Made will introduce changes in the way not-for-profit (NFP) entities record revenue.
The Tax Cuts and Jobs Act (Tax Act) which was signed into law in late 2017 includes the controversial treatment of qualified transportation fringes (QTF). The Tax Act disallows the deduction of QTFs provided by taxpayers to their employees. The tax treatment of QTFs for nonprofit employers will mirror those of for profit employers as an effort to “level the playing field” between for profit and nonprofit organizations. What has been coined the “parking tax” has stirred up some confusion. To help clear up some of the confusion, let’s break it down.
The stakes are high for all exempt organizations to be transparent, accountable and leverage technology. Those entities that are proactive with their mission, their resources and their message will continue to thrive and be leaders in their fields. The research shows that nonprofit transparency matters. UHY looks forward to continuing our role of sharing knowledge with those involved in the tax exempt area.