Ask Experts Questions for FREE Help !
Ask
    Mary Martinez's Avatar
    Mary Martinez Posts: 1, Reputation: 1
    New Member
    		  
    #1

    Dec 19, 2013, 04:22 PM
    501c3 Rules and Regulations
    How often does a 501c3 have to be audited?
    AK lawyer's Avatar
    AK lawyer Posts: 12,592, Reputation: 977
    Expert
    		  
    #2

    Dec 19, 2013, 05:51 PM
    I don't think 26 USC Section 501 (c) (3), or the pursuant regulations, contain auditing rules. Check the non-profit corporation code for the state in which the organization is organized.
    ebaines's Avatar
    ebaines Posts: 12,131, Reputation: 1307
    Expert
    		  
    #3

    Dec 22, 2013, 11:21 AM
    According to this site:

    http://www.startnonprofitorganizatio...nts-nonprofits

    Any org receiving $500K/yr in federal funding must have an annual audit, and also depending on the state if the org exceeds a certain threshold of annual revenues it must have an annual audit. So those are the rules, but my advice is that any organization with an operating budget of $200K or more should have annual audits even if not required by law. There are too many opportunities for malfeasance, or the appearance of malfeasance, which can destroy the organization.
    AK lawyer's Avatar
    AK lawyer Posts: 12,592, Reputation: 977
    Expert
    		  
    #4

    Dec 23, 2013, 01:19 PM
    Quote Originally Posted by ebaines
    ... Any org receiving $500K/yr in federal funding must have an annual audit,...
    Of course not all 501 (c)(3) organizations receive funding from the federal government; probably most get all funding from private donors.
Not your question? Ask your question View similar questions
 

Question Tools Search this Question
Search this Question:

Advanced Search

Add your answer here.


Check out some similar questions!

501c3 Rules and Regulations [ 9 Answers ]

Since contributions to a volunteer fire dept. are a form of public funding, shouldn't the VFD have to account for those funds and their expenditures, as well as the status of all accounts they have when they turn in an annual budget request to the Emergency Service District that is their primary...

501c3 rules and regulations [ 1 Answers ]

Does a 051c3's board meetings need to be open to the public?

501C3 Rules and Regulations [ 1 Answers ]

I belong to a 501c3 organization (Model Railroad Museum). We often receive gifts of model railroad equipment of which we use some and sell some at Train Shows. Do we have to pay Minnesota Sales Tax on what we sell? Also do we pay sales tax on shirts, etc that we sell in our Train Museum Store?

501C3 rules and regulations [ 8 Answers ]

I have gone through pages upon pages of IRS docs and haven't found my answer so before my head explodes, I thought I would try here to hopefully get pointed in the right direction. I am the Captain of a 501C3 volunteer unit in our county that on occasion, assists law enforcement or fire as...

501c3 rules and regulations [ 2 Answers ]

Is it illegal or not in compliance of 501c3 for a Pastor to pay the bills of the church?

View more questions Search