Tax Tips for Higher Education
ISSUE: Has your institution considered the TWO “Statements of Functional Expenses” required for this year’s financial statements and Form 990? SITUATION: Saltwater Christian College (SCC) is a private college exempt under Internal Revenue Code section 501(c)(3) and 170(b)(1)(A)(ii). They are required to file Form 990 annually.
SCC’s CFO calls us to ask about the changes to be wrought by the requirement to follow ASU 2016-14 – for their fiscal year ended June 30, 2019 – with respect to functional expense presentations and disclosures. “Can we just follow the same methodology we’ve been using on Form 990 and write up a narrative about how we made those allocations?”
ISSUE: Throwing a Super Bowl party for fellowship, outreach, and (possibly) fundraising can be a great idea for your school – but watch out for some stringent NFL trademark rules that could get you penalized. SITUATION:
Marathon Bible College (MBC) is a private college exempt under Internal Revenue Code section 501(c)(3) and 170(b)(1)(A)(ii). They are required to file Form 990 annually. The MBC Accounting Team gets us on a video call to talk about their upcoming Super Bowl party…
There is a lot going on in the higher education tax and accounting arena! How can you stay up-to-date and be ready for all that 2019 is bringing your way?read more
There is an interesting provision in the 2017 “Tax Cuts and Jobs Act” that could provide a funding source for those institutions who are looking at Revenue Enhancement Opportunities (alternative business income activities).read more
I.R.C. Section 4960 is pretty technical and institutions should especially be aware of the issue with severance situations that might contain “excess parachute payments.”read more