If one was to combine every type of Not-For-Profit (NFP) organization in the U.S. Today, the result would probably constitute the largest economic operating segment of our economy. The NFP sector includes every conceivable type of activity from public charities (food, shelter, financial support) to membership organizations, heath and welfare, religious, cultural institutions, educational, private operating and non-operating foundations, economic development, political and the list goes on. Although most are exempt from federal, state and local income taxes, many cannot receive tax deductible contributions and others must pay an excise tax or are subject to unrelated business income taxes. In addition, NFPs differ significantly from a typical commercial enterprise in:
And even thought NFPs are not in business to make a profit, they must operate efficiently and effectively, conserve their resources and fulfill their mission while maintaining their reason for tax exemption.
Skody Scot & Company, CPAs understands the unique attributes of Not-For-Profit organizations because their partners and staff have been servicing this sector for over two decades. Their accumulated experience and industry-specific knowledge has allowed them to advise their clients on everything from tax and reporting compliance to avoiding lawsuits. They have helped their clients apply for tax exempt status and have an unparalleled success rate in getting those applications approved by the IRS. They have steered their clients away from doing things that could jeopardize their tax exempt status and have made countless suggestions to upper management for becoming more efficient and improving their internal controls. And, they have provided guidance on obtaining affordable insurance, setting up retirement plans, writing grant proposals, designing efficient accounting systems, hiring qualified CFOs and accounting staff, and advising board members on their fiduciary duties and responsibilities.
As the accounting firm servicing the largest number of Business Improvement Districts (BIDs) in New York City, Skody Scot & Company, CPAs is familiar with the numerous rules and requirements placed on their clients and have been instrumental in helping them deal with governmental agencies (DSBS, Comptroller, etc.). They understand the BID organizational structure and know how to provide them with the professional services needed to run their organizations successfully.
Whether it’s performing an audit or consulting on how to improve operations, NFP clients know Skody Scot & Company, CPAs is committed to helping them in any way they can. They can count on the firm’s many years of experience and the fact that they will always stand behind their work and advice.