Form 990 Preparation Sequencing

By virtue of the hundreds of Forms 990 which we annually prepare, we have developed the following sequencing guide to optimally and most effectively prepare the Form 990 since we have found that preparing the Form 990 in the order of which it is presented (Part I, then Part II, then Part III, etc.) is neither effective nor efficient.

1. Heading

2. Part I, Line 1 / Line 6

3. Part III, Line 1

4. Part II – paid preparer information

5. Part XII, Line 1 – method of accounting

6. Part VII, Line 1a – listing of Insiders (voting Board members, Officers, key employees, highly-compensated employees, formers) of the filing exempt organization

7. Schedule R – reporting of all organizations, whether exempt or not, related to the filing organization

8. Schedule L – reporting of insider transactions

9. Part VI – governance + public disclosure

10. Remainder of Part VII – insider compensation

11. Schedule J (if applicable)

12. Part V – information reporting

13. Part VIII – statement of revenue

14. Schedule G, Part II / Part III

15. Schedule A – public support test

16. Schedule B – schedule of contributors

17. Schedule M – non-cash contributions (if applicable)

18. Part IX – statement of functional expenses

19. Schedule C – lobbying + political (if applicable)

20. Schedule G, Part I – professional fundraisers

21. Schedule I – domestic grants (if applicable)

22. Remainder of Part III – program service activities

23. Part X – Balance Sheet

24. Schedule D

25. Part XI – Reconciliation of Net Assets

26. Remainder of Part XII – Miscellaneous

27. Part IV – Schedules checklist

28. Other Schedules as applicable (Schedule E / F / H / K / N)

29. Schedule O

We know this sequencing does not look to be overly efficient, however, based upon our vast experiences with the Form 990 preparation, this ordering is certainly our preferred manner to prepare the Form 990. This ordering is admittedly quite different than what is set forth in the Form 990 Instructions (see General Instruction C of such), however, we are confident in what we set forth above since we certainly prepare far more Forms 990 than the Internal Revenue Service does !!!!