Previously in “Changes to Financial Statements for Not-for-Profit Entities, Are You Ready?” we provided information on the changes to net asset presentation and underwater endowments under the new financial statement presentation standard. Now we will address the new presentation and disclosure items related to liquidity and availability disclosures, functional expenses, investment expenses, and the statement [...]
This week’s segment of the Performance Measurement video series, Dan Montgomery, CPA, provides an overview of Net Asset Composition.
When I was a kid, my dad said something that has stuck with me throughout my life. Considering I grew up to be a CPA, the irony of his statement isn’t lost on me... He said, “Son, there are only two definite things we must do in this world, pay taxes and die.” The takeaway [...]
The Tax Cuts and Jobs Act (TCJA) liberalized the eligibility rules for using the cash method of accounting, making this method, which is simpler than the accrual method, available to more businesses. Now the IRS has provided procedures a small business taxpayer can use to obtain automatic consent to change its method of accounting under [...]
Dan Montgomery, CPA and Senior Assurance Associate at TDT, explains why having an effective internal control system is important. With more than ten years of experience, Dan specializes in audits of nonprofits, governmental entities, and employee benefit plans. Required Financial Statements Under Generally Accepted Accounting Principles (GAAP), there are three basic financial statements that nonprofits [...]