Fiscal or Calendar Year end, what’s the Difference and why should I Care?

Christian Shaeffer Exempt Non-Profit Organizations Leave a Comment

Organizations define a 12-month period on which they will consistently report financial statements and tax and other information returns to various federal and state regulatory agencies including the IRS and Department of Revenue. A calendar year is January 1 through December 31. A fiscal year is some other 12-month period. Any combination will do as long as it’s a full …

Why maintain an Asset List and what is Capitalization anyway?

Christian Shaeffer Exempt Non-Profit Organizations Leave a Comment

It’s true that a nonprofit organization’s (NPO) tax exempt status usually means there are no tax consequences to expensing or capitalizing new purchases. But it’s important to track major assets and know when to expense or capitalize. When a new item (furniture, equipment, buildings, etc) is purchased the NPO must either expense the item in the current period/year or capitalize …