How Does New Income Tax Accounting Apply to Not-For Profit Entities?

If you’re a non-profit organization you may have heard about FASB Interpretation No. 48, Accounting for Uncertainty in Income Taxes (FIN 48) and just brushed it aside. But pay attention, as FIN 48 now applies to not-for-profit entities. The effective date for nonpublic entities, including not-for-profit entities to adopt FIN 48 is for fiscal years beginning after December 15, 2008. That means for entities that have a 12/31 year end, FIN 48 is applicable for 2009. The IRS will require a copy of the FIN 48 accrual footnote that is presented in the audited financial statements with the entity’s Form 990. Read more