Question: Discussion 100 to 200 words
Contrast the tax-exempt status of public charities and private foundations with commercial organizations.
Nonprofits should not be restrained and as a result of the 1st amendment and the Citizens United decision, they have rights to free speech, even preachers from pulpits.
Anyone who makes profits (excess revenue over cost), no matter the source, from expected donations (tithing) or fees should pay taxes on that excess.
Do you think someone who pledges to make a contribution should be allowed to remove their pledge or should this serve as a liability that they now owe the entity?
Let's discuss some of the similarities and differences between not-for-profit organizations, public sector, and government financial statements.
Unlimited funds can go to those who hold a shared belief and the leaders can tell their followers who to vote for. Some would argue this actually violates the first amendment as it allows the richest to control what we read based on using their income.
What is the economic result of such a culture? What has happened to Aristocracies across time?
What are the tests for a public charity? What happens if a public charity fails these tests?
I have asked this question for several years. A concrete example may help in this area. There is a nonprofit that has 39 Billion in Net Assets, pays its chief executive more than $400,000, and gets more than 8 million per year in excess revenues without paying tax. It even had a religious background, but it is in the education space. Thoughts?
Describe financial reporting for public and private colleges and universities.
Describe financial reporting for not-for-profit and governmental health care organizations
Identify the financial statements that must be prepared by a private college or university and those that must be prepared by a public college or university.