Mastering Form 990 Schedule G: Reporting Fundraising and Gaming Activities for Nonprofits, UBTI Rules
Course Details
- smart_display Format
On-Demand
- signal_cellular_alt Difficulty Level
Intermediate
- work Practice Area
Accounting
- event Date
Wednesday, July 10, 2024
- schedule Time
1:00 p.m. ET./10:00 a.m. PT
- timer Program Length
110 minutes
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BARBRI is a NASBA CPE sponsor and this 110-minute webinar is accredited for 2.0 CPE credits.
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BARBRI is an IRS-approved continuing education provider offering certified courses for Enrolled Agents (EA) and Tax Return Preparers (RTRP).
This course will provide accounting and tax professionals advising tax-exempt organizations with the tools and understanding to properly report fundraising and gaming activities on Schedule G of Form 990 or Form 990-EZ. The panel will perform a deep dive into the accounting calculations and tax reporting rules for special events, including the dollar thresholds of professional fundraising costs, contributions, and gross gaming event income, as well as discuss the nuances of unrelated business taxable income (UBTI) and referencing Schedule G entries to other parts and schedules of Form 990.
Ms. Czerniawski is a member of the firm’s Nonprofit, Government & Healthcare Group. With over 15 years of nonprofit industry experience, she provides tax services to a wide array of nonprofits, including charitable organizations, schools, social welfare organizations, professional associations and private foundations.
Mr. Trimner brings a wide range of experience from more than 20 years in nonprofit tax consulting. He works with growing and established public charities, private foundations, trade associations, healthcare organizations, and higher education institutions. Devoted to a thorough comprehension of the rules and regulations critical to charitable and tax-exempt entities, he helps enhance an organization's image with contributors, the media, and the general public. His areas of concentration also include unrelated business income, intermediate sanctions, obtaining and maintaining exempt status, executive compensation & benefits disclosures, IRS examinations, and state solicitation requirements.
Ms. Espinosa, CPA is a Manager with the Not-For-Profit Practice & Government Group. She has over fifteen years of accountig experience. Ms. Espinosa began her carrier in a private industry and moved to public accounting. She worked in small accounting firm performing audit and tax preparation for non profit organizations. Ms. Espinosa has joined CBIZ Marks Paneth and gained extensive experience in tax area of nonprofit and government organizations, including public charities and private foundations. She has prepared and reviwed tax retuns of complex non profit organizations including social service agenicies, schools and private foundations. Ms. Espinosa is a member of the American Institute of CPAs and New York State Society of Public Accountants. She holds a Bachelor of Science in Accounting from William Paterson University, and is based in the NY/NJ CBIZ offices.
One of the more complex tasks for tax professionals advising nonprofit organizations is how to report net income from fundraising activities, special events, and gaming activities. Many tax-exempt organizations conduct fundraisers through raffles, bingo nights, and other types of gaming activities. Nonprofit reporting rules for gaming and fundraising income and expenses are complex, requiring separate accounting and reporting on a dedicated portion of Form 990, Schedule G.
There are three components to Schedule G; receipts and expenses from each activity class require separate reporting of income and expenses. Expenditures for fundraising activities over the statutory limit require a detailed schedule of the entities or persons the nonprofit paid. Fundraising events, reported on Part II of Schedule G, have separate reporting thresholds and requirements. Tax advisers must know the reporting thresholds and details of fundraising activities to report those activities on Schedule G.
Nonprofits who conduct gaming activities also have their own accounting and reporting requirements and come with the risk of entity-level taxes on UBTI. Nonprofits that earn UBTI over the stated threshold must pay tax (UBIT) on that income; excess UBTI can jeopardize an organization's tax-exempt status.
Listen as our experienced panel provides a comprehensive guide to completing Form 990 Schedule G and discusses the tax traps nonprofits must avoid in fundraising events and activities.
- What activities qualify as fundraising events that must be reported on Schedule G
- Fundraising activities
- Fundraising events
- Gaming
- Schedule G reporting by activity
- UBTI issues with fundraising and gaming activities
- Other information reporting obligations
The panel will discuss these and other critical questions:
- How to differentiate between fundraising activities, fundraising events, and gaming events
- Allocating expenses to fundraising events and activities
- Reporting the respective activities on Part I, Part II, and Part III of Schedule G
- Reconciling Schedule G information with other parts of Form 990
- How to determine whether receipts from gaming activities qualify as UBTI
- Advising exempt organizations on avoiding UBTI traps
Learning Objectives
After completing this course, you will be able to:
- Identify the reporting thresholds triggering filing requirements of Schedule G
- Determine how to apportion income and expenses related to fundraising activities
- Ascertain differences between fundraising events and gaming activities
- Decide when unrelated activities could jeopardize a nonprofit's tax-exempt status
- Field of Study: Taxes
- Level of Knowledge: Intermediate
- Advance Preparation: None
- Teaching Method: Seminar/Lecture
- Delivery Method: Group-Internet (via computer)
- Attendance Monitoring Method: Attendance is monitored electronically via a participant's PIN and through a series of attendance verification prompts displayed throughout the program
- Prerequisite: Three years+ business or public firm experience at mid-level within the organization, preparing complex tax forms and schedules; supervisory authority over other preparers/accountants. Specific knowledge and understanding of cost allocation principles; familiarity with government standards for nonprofit organizations receiving federal grant monies.
Strafford Publications, Inc. is registered with the National Association of State Boards of Accountancy (NASBA) as a sponsor of continuing professional education on the National Registry of CPE Sponsors. State boards of Accountancy have final authority on the acceptance of individual courses for CPE Credits. Complaints regarding registered sponsons may be submitted to NASBA through its website: www.nasbaregistry.org.
Strafford is an IRS-approved continuing education provider offering certified courses for Enrolled Agents (EA) and Tax Return Preparers (RTRP).
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