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Pro Forma Instructions

Pro Forma Instructions. For the 2010, 2011 and 2012 IRS Form 990. Charities not require to file the IRS Form 990 (long form) must complete and submit a pro forma IRS Form 990.

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Pro Forma Instructions

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  1. Pro Forma Instructions For the 2010, 2011 and 2012 IRS Form 990

  2. Charities not require to file the IRS Form 990 (long form) must complete and submit a pro forma IRS Form 990. IRS Forms 990EZ, 990PF, and comparable forms will not be accepted. Organizations that file these forms must submit a pro forma(informal information presented in advance of the actual or formal information) IRS Form 990. The Pro Forma IRS Form 990 does not need to be filed with the IRS. The information provided on the Pro Forma IRS Form 990 will see if your organization meets the eligibility requirements. To download a copy of the IRS Form 990, visit www.irs.gov and search for IRS Form 990. IRS Form 990 ending date must be on June 30, 2011 or after. are required sections to be completed. Red box

  3. REQUIRED: Items A - M Complete Items A – M with your organization’s information. Item A: If your organization’s uses a calendar year, this section is left blank. Since the 2011 form is used, the committee will recognize it is for the calendar year 2011. If you go by a fiscal year, ensure both dates are completed. Ending date must be on or after June 30, 2011.

  4. REQUIRED: Part I (Summary) Lines 1-4 only Part I, Line 3 of the form requires organizations to note the number of voting members of the governing body.  This information specifies the number of independent voting members as of the end of the organization’s tax year. The CFC will compare the number of voting members disclosed in Part I, Line 3 with the number of individuals that have the “Individual trustee or director” and “Institutional trustee” position selected in Part VII, Column C.  If the number in Part I, Line 3 is more than the number in Part VII, the organization must provide an explanation for the difference.

  5. REQUIRED: Part II (Signature Block) This section is required to be complete by an signature of officer. The paid preparer’s signature is not acceptable in lieu of the signature of an officer. A signed copy of the IRS Form 8879-EO or IRS Form 8453-EO in lieu of a signature on the IRS Form 990 is acceptable.

  6. REQUIRED: Part VII (Compensation of Officers, Directors, Trustees, Key Employees, Highest Compensated Employees, and Independent Contractors) Section A Only If no one on the board was compensated check box. Must identify all individuals who have served on the governing body during the course of the tax year.  This includes individuals who may have left such positions prior to the end of the organization’s tax year.  Please note that the IRS Form 990 instructions define voting members of the governing body as a “Individual trustees or director” or “Institutional trustee”. Therefore, all individuals who were voting members of the governing body must be identified as such in Column C of Part VII. Continued on next page

  7. REQUIRED: Part VII (Compensation of Officers, Directors, Trustees, Key Employees, Highest Compensated Employees, and Independent Contractors) Section A Only The CFC will compare the number of voting members disclosed in Part I, Line 3 with the number of individuals that have the “Individual trustee or director” and “Institutional trustee” position selected in Part VII, Column C.  If the number in Part I is more than the number in Part VII, the organization must provide an explanation for the difference. Note: All governing body information in the IRS Form 990 must be presented in either Part VII or Schedule J-2 of the form.   The CFC will not accept information submitted in other statements or schedules.

  8. REQUIRED: PART VIII (Statement of Revenue) All required information must be submitted.

  9. REQUIRED: PART IX (Statement of Functional Expenses) Part IX of the IRS Form 990 contains four columns for each of the line items.  This information must be complete and accurate in order to accurately calculate an organization’s administrative and fundraising rate.  The figure entered in Column A (Total Expenses) must equal the sum of the figures entered in Columns B (Program service expenses), C (Management and general expenses) and/or D (Fundraising expenses).  Failure to categorize each expense in Columns B, C and D may result in the denial of the application.

  10. REQUIRED: PART XII (Financial Statements and Reporting) Item I: CFC only accepts accrual method for accounting for organizations with total revenue of $100,000 or more. The total revenue of the organization is under $100,000 can be done in cash. Pro forma IRS Form 990 Instructions:The following sections of the long form must be completed: Items A-M, Part I (Summary), Part II (Signature Block), Part VII (Compensation sections A), Part VIII (Statement of Revenues), Part IX (Statement of Functional Expenses), and Part XII (Financial Statements and Reporting).

  11. How to calculate the AFR percentage for CFC Charity Application Item #&7 Formula: Part IX (pg.10) Line 25, Column C (Management and general expenses) PLUS Part IX (Pg. 10) Line 25, Column D (Fundraising expenses) DIVIDED by Part VIII (Pg. 9) Line 12, Column A (Total Revenue) MULTIPLIED by 100.

  12. To calculate the AFR% for Application Items #7 : Formula: Part IX (pg.10) Line 25, Column C (Management and general expenses) PLUS Part IX (Pg. 10) Line 25, Column D (Fundraising expenses) DIVIDED by Part VIII (Pg. 9) Line 12, Column A (Total Revenue) MULTIPLIED by 100. Management/General expenses and Fundraising expenses- Used in the AFR% formula.

  13. Application Items #7 – AFR % Formula: Part IX (pg.10) Line 25, Column C (Management and general expenses) PLUS Part IX (Pg. 10) Line 25, Column D (Fundraising expenses) DIVIDED by Part VIII (Pg. 9) Line 12, Column A (Total Revenue) MULTIPLIED by 100. TOTAL REVENUE - Used in the AFR% formula.

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