TANGO Partners Perspective – December 2021
Before We Call 2021 A Wrap
Amber Tucker, CPA
Director, Assurance & Advisory Services
As we are close to calling 2021 a wrap, it is the perfect time to make sure your organization’s records are up to date and complete with a few housekeeping suggestions. These recommendations should be considered regardless of when your organization financial year-end is.
- Form 990 was updated just over 10 years ago, this update included disclosure if the Organization has adopted specific policies. These policies include whistleblower, document retention, process for determining compensation, and conflict of interest. Many organizations created these policies at that time if they didn’t already occur. Has your organization reviewed these policies lately? Now is a great time to review, update, and obtain board of directors’ approval for these and any other Organization-wide policies not covered by Form 990.
- When was the last time the by-laws of your organization were reviewed? It is best practice to review by-laws annually. As your organization evolves and changes, your by-laws should be updated to reflect that. Perhaps board or committee meetings are now virtual; is this discussed in the by-laws? How about voting via email? This should also be defined in by-laws. There are specific rules regarding virtual voting, and you may want to discuss this with your attorney.
- Apply or renew your charitable solicitation license. If you are soliciting contributions in Connecticut and have gross receipts greater than $25,000 annually, your organization is required to register as a public charity with the Department of Consumer Protection. This filing is then renewed on an annual basis. In addition, if your organization receives gross revenues greater than $500,000, an annual audit is required to be completed.
- What a year 2021 has been! Has your organization reacted to the changes caused by the COVID-19 pandemic? It may be time to look at employee handbooks, accounting policies, and update for the changes of the current environment you are working in.
As a partner of TANGO we are here to assist not-for-profits meet their compliance needs with ease so that the important mission work can be the main focus of your time.
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