Nonprofit Updates

by Keith Jennings, CPA

Change in Maryland Nonprofit Audit and Review Thresholds

From Maryland’s Charitable Organization website (www.sos.maryland.gov) – “Effective October 1, 2016, organizations that receive at least $300,000 but less than $750,000 in charitable contributions must submit a financial review with their registration. Organizations that receive at least $750,000 in charitable contributions must submit an audit with their registration. The old levels were $200,000 for a financial review and $500,000 for an audit.”

This change will hopefully ease the burden for small nonprofits that receive most of their funds from contributions in the State of Maryland. Each state has their own audit requirements for nonprofits that solicit for contributions in each state, so please be mindful of those requirements before assuming that your Organization no longer needs an audit if you have under $750,000 in contributions for your fiscal year. Here is a good resource for those requirements: https://www.councilofnonprofits.org/nonprofit-audit-guide/state-law-audit-requirements (last updated before the MD change).

What Nonprofits Can Expect with a Trump Presidency

Regardless of your political leanings, it’s fair to say that there is a lot of uncertainty regarding 2017, including how Trump’s presidency will affect the nonprofit sector. Here are some links to articles discussing what may happen:

  1. http://www.thenonprofittimes.com/news-articles/nonprofits-president-trumps-first-100-days – focuses on talk about the Affordable Care Act repeal.
  2. https://www.councilofnonprofits.org/trends-policy-issues/the-2016-elections-impact-the-work-of-charitable-nonprofits – from November, but still informative about Trump’s tax plan and comments about nonprofits. Also includes a discussion about states attempting to cap charitable giving incentives.