Public companies are required to have an audit committee (due to the Sarbanes-Oxley Act of 2002), and while not required, many not-for-profit organizations have also started their own committees as well. In order for an audit committee to be successful, both the organization and committee members must develop and fully understand the committee’s role and responsibilities.
Real estate investors interested in enjoying the tax benefits of a like-kind exchange may consider a “reverse exchange.” In a reverse exchange, the replacement property is acquired before the investor transfers the relinquished property. While the tax code does not allow an exchanger to exchange into a property already owned, a reverse exchange allows an exchanger to secure the replacement property prior to the sale of the original property. These transactions are more complex than a standard 1031 exchange and come with certain advantages and disadvantages.
As economic markets, and more specifically real property values, continue to escalate, it may be prudent to add real estate ownership to your personal portfolio. However, the responsibility of being a landlord can lead to extensive time commitments, operational headaches and significant expenses. To obtain the income and diversification benefits of real estate without the challenges of direct ownership, many investors are turning to a more convenient alternative – real estate investment trusts (REITs). This article explains how REITs work and the potential advantages and disadvantages they provide to investors.
The Environmental Protection Agency (EPA) has moved to reduce sulfur levels in the air by increasing emissions and gasoline standards. But the American Petroleum Institute and other trade associations argue that the regulators are vastly underestimating how expensive the new rules will be for businesses and consumers, while doing little to help the environment. This short article notes the different cost estimates.
There are distinct tax advantages to having a plan for employee expense reimbursements and allowances that is “accountable” in the eyes of the IRS. But it is still a decision every practice must make for itself. This blog describes the kinds of expenses that are reimbursable and how to document them.
All industries have their own unique challenges and quirks. For a restaurant or bar, one unique aspect is payroll. Bars and restaurants need to deal with tips and gratuities, service charges and meals to employees every time they run payroll. This is a quick crash course on what you need to know before your run your next payroll.
The redesign of Form 990 a few years back ushered in a wave of new reporting, most of which focused on transparency, governance and recordkeeping. One of the new schedules created from the redesign was Schedule L, Transactions with Interested Persons. The purpose of this schedule was to allow the IRS and the public to gain visibility into the dealings that organizations have with those close to the organization.
One of the most vexing concerns investors have when buying real estate is whether they will end up being saddled with unexpected liabilities or obligations related to the property. When it comes to commercial lease obligations, though, there is very little a real estate investor can do without the tenant’s consent, and the resulting costs… Continue reading »
With football season in full swing, the best teams are the ones that work together. A team may have the best coach, but without a good offense to contribute to the mix, they will get nowhere. A team with a great defense, but poor special teams, will also lose in the long run. In order to be successful, a team must have participation and contributions from all areas within their organization. Similarly, the best not-for-profits cannot rely solely on one area of the organization to prepare, update and review the budget. Rather, everyone must pitch in.
Three key players in the success of a not-for-profit are non-accounting personnel.
“Big data” is a marketing buzzword used to describe any large set of electronic information that can be analyzed by businesses to increase efficiency. This article explains how, using these latest customer-behavior analytics applications, manufacturers and distributors can crunch their internal databases to see how their conclusions compare to those of their competitors, as well as more effectively analyze, track and predict their customers’, employees’ and inventory’s behavior.