Insights

Publications


As a follow up to our May 2018 Bulletin, due to various issues with the online filing of New Jersey Charity Renewal Registration Forms and Extension Requests, effective today June 29, 2018 all organizations with a Fiscal Year End 12/31/2017 (due date of 6/30/2018) will be given an additional 30 days to file an extension.

With the implementation of Accounting Standards Update (ASU) 2016-14 — Not-for-Profit Entities (Topic 958): Presentation of Financial Statements of Not-for-Profit Entities on the horizon, many private colleges and universities are assessing its impact on their financial statements as they go through their current year-end audit cycle.

Quill was killed. As of last week, Wayfair is in charge. The United States Supreme Court made clear, in its highly anticipated South Dakota v. Wayfair decision, that the nexus standard has changed in the sales tax arena. Online and remote retailers now must collect sales tax from customers in states even when they have no physical presence in those states.

Calendar year employee benefit plans are generally required to file the 2017 Form 5500 and Form 8955-SSA by July 31, 2018 unless an extension Form 5558 is timely filed with the Internal Revenue Service Center in Ogden, Utah.

The Tax Cuts and Jobs Act of 2017 (TCJA) has provided additional tax benefits that are just recently coming to light as investors and advisors are getting their hands around the benefits of “Qualified Opportunity Funds.” These funds create a new tax incentive program designed to stimulate an influx of new investment capital into certain low-income and distressed communities throughout the country.

The Auditing Standards Board (ASB) last year released Statement on Auditing Standards (SAS) No. 133, Auditor Involvement with Exempt Offering Documents. This SAS addresses the auditor’s responsibilities when the auditor’s report on the financial statements is included, or incorporated by reference, in an exempt offering document, such as for municipal bond offerings, AND the auditor is considered “involved” in such exempt offering document.

The European Union (EU)’s General Data Protection Regulation (GDPR) has awakened us to the importance of securing our data and to be mindful of an individual’s privacy. For organizations that must adhere to GDPR, not only will they be subject to specific technical, administrative and legal requirements but also potential liability. Whether or not a specific organization must comply with the regulation, it has a responsibility to properly secure and control the use of personal data. Internal auditors should take this opportunity to assess the risks related to personal and other sensitive data (i.e., intellectual property).

There’s little doubt that the electronic revolution that we experienced, and continue to experience, is a force for tremendous good. Time-savings, accuracy, widening our personal knowledge and experience, medical breakthroughs, on and on cannot be fathomed without information technology. Eventually, the genius of IT will solve resultant cyber criminality – or, at the very least, ensure that it is minimal – so that we can reap the benefits without the fear. In the meantime, vigilance is the best practice … so that now brings us to this issue of Cyber Roundup.

Private foundations looking for an upgrade over EO Select Check should look no further as the Internal Revenue Service (IRS) launched a new online tool called Tax-Exempt Organization Search (TEOS). Its objective is to help users find information on the federal tax status of grantees and potential grantees. The new online tool replaces EO Select Check, the federal search engine that has been in service since 2012.