Compliance

Almost all of the exempt organization returns which are prepared and filed with the IRS are subject to the public disclosure rules, and as such, it is essential that such be prepared accurately, completely and in a manner which sheds the best light on the organization’s activities and operations. One of the most important things that an exempt organization can do to ensure that their tax-exemption is not unduly jeopardized is to be proactive about all of their many compliance obligations with the Internal Revenue Service and the various state authorities. Additionally, since the Form 990 (for the past three years) is publicly available on Guidestar for all exempt organizations, it is essential that the preparer of the Form 990 have the requisite experience and knowledge regarding the Form 990.

The consequences of filing an inaccurate, incomplete, tardy, or hastily prepared return can include any of the following:

  • IRS penalties of up to $100 per day for a late filed return
  • Increased attention and scrutiny from media outlets and charity watchdogs regarding compensation, governance, insider transactions
  • Loss of tax-exemption related to tax-exempt bond issuance
  • Loss of contributions, grants or awards
  • Increased risk of attention from the the IRS, state taxing authority or state Attorney General
  • Loss of tax-exemption

As a no additional cost value-added service for our clients, we are more than happy and willing to present a draft of the Form 990 to the exempt organization’s Audit Committee and/or Board in order to help satisfy one of the IRS’s corporate governance best practices.

All members of the YH Advisors team possess experience in exclusively addressing the tax compliance requirements of all different types of exempt organizations. Accordingly, our exempt organization clients can have the utmost confidence that they have engaged a firm where our one and only expertise from a compliance perspective is in the exempt organizations area.

We take a very proactive approach to our exempt organization compliance engagements. Not only do we prepare complete and accurate exempt organization returns, we almost always proactively provide our clients with “red flag” alerts and recommendations regarding how they can utilize their Form 990 better as a “marketing” tool for the organization.
In the exempt organizations compliance area, YH Advisors possesses just as much, if not more, expertise preparing the necessary and required exempt organization returns, however we are able to do so at significantly less cost to our exempt organization clients.

From a compliance perspective, because we only prepare exempt organization returns, and as such, are not constrained by having to deal with a traditional busy season, we are far more responsive and timely than all other CPA firms that generally do not have the capacity or focus to prepare exempt organization returns during the traditional busy seasons (January 15 – April 15 / August 1 – October 15 / December 1 – December 31).

For start-up and smaller exempt organizations, which generally tend to be more cost conscious, we are able to keep their compliance costs to a minimum as a result of our distinctive expertise which allows us to complete exempt organization returns in the most efficient and effective manner possible. Additionally, we offer the alternative for the exempt organization to prepare a draft of their exempt organization returns and then forward such to YH Advisors for us to conduct a top-level review, thus allowing the exempt organization to access our distinctive expertise at a minimal cost.

We are experts at preparing forms other than just tax forms; for example, information returns such as Form 1099, Form W-2G, Form 1098-C, Form 8282, state raffle registrations and reports

We have an extensive amount of experience dealing and negotiating with the IRS and state taxing authorities regarding their imposition of late filing penalties which we request be abated.