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FOR IMMEDIATE RELEASE
IRS Issues Revised Tax Return Form 990 for
Non-Profits and
Tax Exempt Organizations;
Changes Effective for 2008 Tax Year
 (New Orleans, LA) The Internal Revenue Service (IRS) has released a new version of Tax Return Form 990 for public charities and other tax exempt organizations that must be used in tax filings, beginning in the 2008 tax year, advises Bonnie M. Wyllie, JD/ LLM, Vice President of Tax Consulting Services at LaPorte Sehrt Romig Hand (LSRH) CPAs.
“Form 990 has not had a major revision since 1979 and has failed to keep pace with the changes in the law and the size, diversity of the tax exempt sector,” states Wyllie who is a member of the LSRH nonprofit group. “As a result,” she notes, “the current form doesn’t meet the IRS tax compliance standards or the transparency needs of the states, public, and communities served by these organizations.”
The new form requires detailed information about executive compensation, related group organizations filing together and foreign activities as well as modified schedules for hospitals, non-cash contributions, tax exempt bonds and financial statements. The return itself contains an 11-page core form with 16 supplemental schedules.
“Because of the transparency now required of all tax exempt organizations,” Wyllie cautions, “some groups may need to modify their organizations in order to meet the enhanced compliance standards.”
The IRS is allowing some phase-in filing for small organizations over the next three years (2008-2010) to ease the transition to the new, Wyllie notes. In addition, the IRS is allowing a one-year phase in for organizations filing Schedule H (hospitals) and Schedule K (tax exempt bonds) as long as certain information about hospitals facilities and bond issues are included in the 2008 tax return.
With the complexity of the new Form 990 and its accompanying schedules, Wyllie advises non-profits and tax exempt organizations to prepare now to meet the new reporting requirements. “Our non-profit group professionals are already working with tax exempt organizations to help them make the necessary modifications,” she notes.
For more information about the Form 990 redesign, contact Bonnie M. Wyllie, JD/LLM at 504.835.5522 or visit the LSRH website, www.laporte.com.
LaPorte Sehrt Romig Hand, one of the largest accounting, tax, and business consulting firms in Louisiana, was founded in New Orleans in 1946.
In addition to traditional accounting and tax services, the firm’s specialty services and industry expertise include among others: financial services, law firm management services, healthcare, government, non profits, construction, hospitality, family owned businesses, business valuation, estate planning, benefits and compensation plans, internal controls, forensic accounting and litigation support services.
LaPorte Sehrt Romig Hand has the added advantage of being an independently owned member of the RSM McGladrey Network. RSM McGladrey, Inc is one of the nation’s largest accounting, tax and consulting firms worldwide.
LSRH has three offices located in New Orleans, Baton Rouge and on the Northshore, at 110 Veterans Boulevard, Suite 200, in Metairie; 5153 Bluebonnet Blvd., Suite B in Baton Rouge; and at 5100 Village Walk, Suite 202, in Covington.
CONTACT:
Bonnie M. Wyllie, JD LLM, LaPorte Sehrt Romig Hand
Vice President, Tax Consulting Services
W 504.835.5535 | bwyllie@laporte.com
Shelley Elliott, AEGIS Ltd. Marketing
W 504.525.9090 | selliot1@ix.netcom.com
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