Churches, ministries, charities and tax-exempt organizations face financial and reporting questions that differ from ordinary commercial businesses. Since the beginnings of Precepts, serving faith-based and nonprofit clients has been part of our professional mission.
We help leaders keep their attention on ministry and community service while improving financial organization, documenting charitable funds and meeting applicable tax and reporting responsibilities.
Nonprofit Formation & Exemption Support
- Nonprofit entity formation and EIN application assistance.
- Form 1023, 1023-EZ, 1024 and 1024-A preparation support as applicable.
- Recognition-of-exemption and reinstatement application support.
- Guidance on organizational reporting and recordkeeping obligations.
Annual Returns and Compliance
- Forms 990, 990-EZ, 990-N, 990-PF and 990-T.
- Applicable state charitable solicitation and annual reporting assistance.
- Unrelated business taxable income considerations.
- Related-party transactions, charitable donations and supporting documentation.
Church & Ministry Accounting
- Contribution tracking and donor records.
- Restricted and designated fund accounting support.
- Accounts payable, expense documentation and reconciliation.
- Management financial statements and budget reporting.
- Financial practices that promote accountability and transparency.
Ministers & Clergy Taxation
- Ministers’ individual tax returns.
- Housing allowance tax considerations.
- Self-employment and Social Security tax treatment of clergy income.
- Form 4361 exemption considerations, where applicable.
- Clergy compensation and accountable reimbursement arrangements.
- Church employee and independent contractor classification questions.
The reporting requirements for churches and other religious organizations can differ from those of other nonprofit entities. We assess filing obligations based on the organization's structure and activities, rather than assuming every church must file an annual Form 990.