Tips & Facts

Involve Your Financial Team: Talk with Arthur Gunn, your controller, and the finance committee of your board about the new Form. Share this web page with them as well as speaking with Arthur S. Gunn, CPA.

Involve Your Board: Provide your board with a full copy of the Form 990 prior to filing.

Know Your Dates: The new Form 990 is effective for fiscal years beginning on or after 1/1/08. Most new policies and procedures must be adopted by the end of the organization's tax year beginning in 2008 -- by December 31, 2008, for calendar year filers (June 30, 2009 for June 2009 FYE) -- in order to be reported on the 2008 Form 990. Your must file the form by the 15th day of the 5th month after the end of your accounting period -- by May 15, 2009 for calendar year 2008 organizations or November 15, 2009 for June 2009 filers.

Use the Form as a Communications Tool: The Form 990 may have more exposure than many of your other communications pieces, e.g., annual reports and brochures. Be sure to take advantage of every opportunity the Form offers (Part 1, Section 1 and Part III, Sections 1 and 4) to convey your organization's mission and impact. Involve your communications staff. Follow the steps and tips in this handout on communicating through the Form 990.

Use These Sample Governance Policies: Make sure your organization has the following policies in place, as mentioned in Part VI Governance, Management and Disclosure Section B, 12- 14 of the Form 990. If you have not been able to adopt the policies in time, be prepared to explain why or to explain that you are in the process of doing so. See the links below for sample policies:

1. Conflict of interest policy 

2. Whistleblower policy

3. Document retention and destruction policy 

4. Compensation determination process

5. Joint venture evaluation and monitoring policy (if applicable) 

Also consider putting these policies in place, as questioned in separate schedules:

Schedule J, Question 1B references an employee reimbursement policy

Schedule M, Question 31 references a gift acceptance policy

 Know Your Key People: Identify DOTKEYs (Directors, Officers, Trustees, and KEY employees) and disclose business and family relationships among them. Report your organization's five current highest compensated employees.

Follow Good Recordkeeping Practices:

Document proceedings from all governing body and committee meetings.

Train staff bookkeepers to track and provide new information such as contributions from a federated campaign of independent charitable organizations voluntarily raising and distributing funds, or information technology expenses including hardware, software, and support services.

Institute a procedure for monitoring the use of grant funds over $5,000.

Use the new Schedule L is to report not only loans, but any grants, assistances, and transactions, with an "interested person."

Track annually non-cash contributions in excess of $25,000.

Look at Schedule G in advance of special events and gaming activities.