Preface ix Acknowledgments xiii About the Authors xv Chapter 1: Redesigned Form 990 1 § 1.1 History of Redesign Project 3 § 1.2 Highlights of Revised Form 990 5 § 1.3 Filing of New Form Delayed for Many 9 § 1.4 Find Out Why Organization Qualifies for Tax Exemption 10 § 1.5 Who Is Required to File What 11 § 1.6 Filing for New Organizations 12 § 1.7 Who Is Not Required to File 12 § 1.
8 Filing Deadline and Fiscal Year 13 § 1.9 New Form 990-N (e-Postcard) 13 § 1.10 Electronic Filing of Returns 14 § 1.11 Group Returns and Annual Affidavit 15 § 1.12 Public Inspection of Forms 990 and 1023/1024 16 Notes 17 Appendix 1A: 6/14/07 Draft of Core Form 19 Appendix 1B: BV Suggested Revisions 29 Appendix 1C: Form 990-EZ 30 Chapter 2: Good Accounting Makes a Good 990 35 § 2.1 Tax Accounting Methods 37 § 2.2 Professional Accounting Standards 38 § 2.3 Chart of Differences Between GAAP and IRS Rules 42 Notes 45 Chapter 3: The Core 47 § 3.
1 2008 Form 990 Core 47 § 3.2 Part I Summary 48 § 3.3 Part II Signature Block 50 § 3.4 Part III Statement of Program Service Accomplishments 50 § 3.5 Part IV Checklist of Required Schedules 53 § 3.6 Part V Statements Regarding Other IRS Filings and Tax Compliance 56 § 3.7 Part VI Governance, Management, and Disclosure 64 § 3.8 Part VII Compensation of Officers, Directors, Trustees,Key Employees, Highest Compensated Employees, and Independent Contractors 73 § 3.
9 Part VIII Statement of Revenue 81 § 3.10 Part IX Statement of Functional Expenses 88 § 3.11 Part X Balance Sheet 95 § 3.12 Part XI Financial Statements and Reporting 97 Notes 97 Appendix 3A: Transactions with Interested Parties Questionaire 100 Chapter 4: Form 990, Schedules A through R 103 § 4.1 Schedule A 103 § 4.2 Schedule B 120 § 4.3 Schedule C 125 § 4.4 Schedule D 132 § 4.
5 Schedule E 146 § 4.6 Schedule F 149 § 4.7 Schedule G 155 § 4.8 Schedule H 160 § 4.9 Schedule I 165 § 4.10 Schedule J 170 § 4.11 Schedule K 173 § 4.12 Schedule L 174 § 4.
13 Schedule M 182 § 4.14 Schedule N 188 § 4.15 Schedule O 192 § 4.16 Schedule R 195 Notes 200 Appendix 4A: State Unified Registration Statement 204 Appendix 4B: Interested Party by Part and Type 223 Chapter 5: Form 990-T: Exempt Organization Business Income Tax Return 225 § 5.1 What Is Unrelated Business Income? 226 § 5.2 Exceptions and Modifications from Tax 228 § 5.3 Unrelated Debt-Financed Income 231 § 5.4 Who Files Form 990-T? 233 § 5.
5 Due Dates, Tax Rates, and Other Filing Issues 234 § 5.6 Normal Income Tax Rules Apply 236 § 5.7 The Unique Design of the 990-T 238 § 5.8 Categories of Deductions 243 § 5.9 Cost Allocations 246 § 5.10 In-Kind Donations 248 Notes 248 Appendix 5A: Analysis of Corporation versus Trust 990-T Issues 252 Chapter 6: The Private Foundation Return 253 § 6.1 Successful Completion of Form 990-PF 253 § 6.2 The Part I Columns 255 § 6.
3 Line-by-Line Instructions for Revenues 257 § 6.4 Line-by-Line Instructions for Expenditures 261 § 6.5 Part II: Balance Sheets 265 § 6.6 Part III: Analysis of Changes in Net Worth or Fund Balances 266 § 6.7 Part IV: Capital Gains and Losses for Tax on Investment Income 267 § 6.8 Reports Unique to Private Foundations 268 § 6.9 Part V: Reducing the Tax Rate 268 § 6.10 Part VI: Calculating the Excise Tax 269 § 6.
11 Part VII-A: Proof of Ongoing Qualification for Exemption 270 § 6.12 Part VII-B: Questions Seeking Evidence That No Sanctions Apply 275 § 6.13 Part VIII: Information About Officers, Directors, Trustees, Foundation Managers, Highly Paid Employees, and Contractors 276 § 6.14 Part IX-A and B: Summary of Direct Charitable Activities and Program-Related Investments 278 § 6.15 Part X: Minimum Investment Return 279 § 6.16 Part XI: Distributable Amount 279 § 6.17 Part XII: Qualifying Distributions 280 § 6.18 Part XIII: Undistributed Income 280 § 6.
19 Part XIV: Private Operating Foundations 282 § 6.20 Part XV: Supplementary Information (Lines 1-2) 282 § 6.21 Part XV: Grants and Contributions Paid During the Year or Approved for Future Payment (Line 3) 283 § 6.22 Part XVI-A: Analysis of Income-Producing Activity 285 § 6.23 Part XVII: Information Regarding Transfers to and Transactions and Relationships with Noncharitable Exempt Organizations 286 Notes 287 Index 289.