April 29, 2009, 08:56 PM ET
Nonprofit Groups in 19 States Report Late Government Payments
Nonprofit social-services groups in 19 states said in a recent survey that payments from state or local governments have been received later than they were due, in some cases forcing charities to cut jobs or services.
“Agencies experiencing delayed payments all reported negative impacts on their organizational cash flow,” says a report on the survey, which was conducted by the Alliance for Children and Families and United Neighborhood Centers of America, two national social-services umbrella groups.
Ninety-six nonprofit groups from 30 states responded to the survey distributed this month, which asked whether they had received late payments from government agencies for work done under grants or contracts.
“Delayed payments have forced many of these nonprofit agencies to tap existing lines of credit,” the report says. “However, many report that these lines of credit have been cut ...
Read MoreApril 29, 2009, 01:20 PM ET
Foundation Seeks Words and Video About Obama's First 100 Days
It’s a gray, rainy Wednesday in Washington but for President Obama it’s a milestone: his 100th day in the White House.
As throngs of pundits, op-ed writers, and others in the media examine and analyze the 44th president’s early efforts and outcomes, the Annie E. Casey Foundation, in Baltimore, is giving citizen y a chance to chime in—particularly those with an interest in child welfare and poverty issues.
The foundation’s 100 Days 100 Voices project asks people to answer two questions: What is the most important thing that the Obama administration has done for children and families during this first 100 days? And what should be next on the agenda?
Responses can be written (100 words or less) or in the form of a video of no more than two minutes in length. Photos can also be included as well. The foundation will begin sharing some of the responses later today. Officials there hope...
Read MoreApril 29, 2009, 11:06 AM ET
New Report Shows Nonprofit Groups Where to Apply for Federal Stimulus Money
A report released this week by Giving USA and the Center on Philanthropy at Indiana University gives nonprofit leaders crucial information on how nonprofit organizations can apply for money in the new federal economic-stimulus law.
The report provides nonprofit groups with directions on how to seek different types of stimulus money, both to finance programs now in operation and start new ones.
The Center and Giving USA are urging nonprofit groups to act fast since the deadlines for applying for stimulus money are coming up quickly.
April 29, 2009, 11:01 AM ET
IRS Pledges to Continue to Step Up Oversight of Charities
The Internal Revenue Service has released an updated plan for the next several years that pledges a continuation of “focused oversight of the tax-exempt sector.”
“More than $15-trillion in assets are currently controlled by tax-exempt organizations or held in tax-exempt retirement programs and financial instruments,” the IRS said in its Strategic Plan 2009-2013. “The massive size of this sector requires us to provide more careful oversight and advisory support than ever before.”
The revenue service said that tax-exempt groups “often find it difficult to navigate the complicated, specialized, and changing tax rules that apply to them.” The government said it “will provide guidance and information” to help nonprofit organizations “understand their responsibilities and comply with the law.”
The IRS said it “will also discourage those who abuse tax-exempt status by actively seeking...
Read MoreApril 29, 2009, 10:55 AM ET
Bill to Overhaul Foreign Aid Proposed
Two members of the House — one Democrat and one Republican — introduced a bill last night that would revamp how the U.S. government provides assistance overseas, a change many charities have sought.
The legislation, proposed by Rep. Howard Berman, Democrat of California who chairs the House Foreign Affairs Committee, and Mark Kirk, Republican of Illinois, would focus on three areas: developing a U.S. strategy for providing overseas aid, changing how the U.S. government tracks and evaluates its work, and providing more information on how aid dollars are spent.
Many charities have been critical of how the United States delivers assistance abroad, saying it is poorly coordinated among many agencies and doesn’t always take into account the needs of people in poor countries.
David Beckmann, president of Bread for the World, a charity that has worked with the One Campaign,...
Read MoreApril 28, 2009, 04:12 PM ET
Congress Moves Toward a Vote to Keep Estate Tax at Current Levels
Members of a House and Senate negotiating committee have worked out a budget outline that would permanently keep the estate tax at levels that are already in effect this year. That’s the approach charities have been seeking, because they said that will help them appeal to donors.
Members of the full House and Senate are expected to vote on the budget blueprint on Wednesday.
In 2001, Congress passed the current estate-tax law, which gradually phases out the tax through 2009 and repeals it for 2010. In 2011, however, the current law is set to expire and estate-tax levels that applied years earlier go back into effect unless Congress takes action.
The House had passed a budget outline that would keep the estate tax at 2009 levels and do away with the 2010 repeal. Heirs could exempt $3.5-million from taxes ($7-million for couples), with amounts above that taxed at 45 percent.
But a ...
Read MoreApril 28, 2009, 10:28 AM ET
White House Calls Lobbying Rules "Tough But Fair"
The White House has told critics of its restrictions on contacts between lobbyists and federal officials on the economic-stimulus package — including two nonprofit groups — that it believes the rules are “tough but fair,” says Norm Eisen, the White House ethics adviser.
Writing on a White House blog, Mr. Eisen reported on a meeting he held with representatives of the American Civil Liberties Union, the Center for Responsibility and Ethics in Washington, and the American League of Lobbyists.
Mr. Eisen says he told them the rules — which say registered lobbyists may communicate with administration officials about specific stimulus projects only in writing — seek to “make sure that lobbyist communications are as transparent as possible, and that stimulus decisions are based on the merits.”
While the representatives agreed with the objectives, he said, “They took exception to some of ...
Read MoreApril 24, 2009, 04:41 PM ET
IRS Provides Tips for Filing Redesigned Informational Tax Return
The Internal Revenue Service has released the first in a series of filing tips to help nonprofit organizations prepare their Form 990 informational tax return, the primary tax document that groups file each year.
The first tips offer a “preparation checklist of important considerations” that nonprofit organizations should take into account.
The IRS redesigned the Form 990 for the 2008 tax year. The changes were the most significant made to the form in nearly 30 years.
April 24, 2009, 04:08 PM ET
IRS Co-Sponsors Conference to Examine Nonprofit Governance
The Internal Revenue Service will be a co-sponsor of a one-day meeting on “Issues in Nonprofit Governance” to be held June 23 in Washington, D.C.
Also sponsoring the event: Independent Sector, a national coalition of about 600 charities and foundations, and Georgetown University Law Center’s Continuing Legal Education program.
U.S. Rep. Xavier Becerra, a California Democrat, is scheduled to give the keynote speech. Mr. Becerra is a member of the House Ways and Means Committee, which oversees tax matters.
“Government stakeholders, including state charity officials, Congress, and the Internal Revenue Service, have made clear their expectations for better governance in the sector,” says a conference brochure.
Details are available on the Web site of Georgetown University Law Center.
Read MoreApril 24, 2009, 11:53 AM ET
Charitable-Deduction Plan Remains Under Discussion, But Faces Competition
Sen. Max Baucus, chairman of the Senate Finance Committee, said today that President Obama’s proposal to curb tax breaks for charitable deductions remains on the table as one way to pay for changes to the health-care system, but it will compete with other ideas for raising money.
“Everything’s on the table,” he told reporters at a breakfast briefing. That includes the president’s plan, he said. “But a lot of other revenue ideas are on the table, too.”
He added: “We’re going to have to work our way through it, talk to senators, the White House, and see what works here.”
The president has proposed limiting to 28 percent the tax break that the wealthiest Americans get on their itemized deductions, including donations to charity, to help finance a 10-year “down payment” on a plan to bring down health-care costs and extend health insurance to more people. It would take effect in 2011....
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