Revised Form 990for Fundraising Activities

Fundraising Requirements for Schedule G

• Schedule G Reporting if the Organization had the following:

Greater than $15,000 in:

1. Professional Fundraising Fees

2. Contributions Received from Fundraising Events

3. Gross income from Gaming Activities

990 Fundraising Reporting

1. Greater than $15,000 in Professional Fundraising Fees-Includes solicitation campaigns and advice or other

consulting services supporting in-house fundraising campaigns

-Distinguish between fees paid for professional fundraising fees and for fundraising expenses (such as printing and postage) which should be classified as other expenses

if unable to distinguish, all expenses should be included as professional fundraising expenses

-This amount is reported on Part IX (Statement of Functional Expenses), Line 11e

-Schedule G, Part I-Fundraising Activities

Schedule G, Part I-Fundraising Activities

• Schedule G, Part I Requirements• List 10 highest paid professional fundraisers paid

at least $5,000 for professional fundraising services

• Items Required: -Report gross receipts connected to the services

provided and, -Dollar amount in fees paid to the fundraiser for

its professional fundraising services• List all states in which the organization is

registered/licensed to solicit funds

990 Fundraising Reporting

2. Greater than $15,000 in Contributions Received from Fundraising Events-includes but not limited to gaming events, dinners, auctions, or any other event conducted for the sole purpose of raising funds for the organization’s exempt activities-Example: Organization holds a dinner event and charges $500 per person. Dinner has a retail value of $100. Therefore, $400, the amount of the contribution would be reported as contributions received from Fundraising Events -This amount is reported on Part VIII, Statement of Revenue, Line 1c and Line 8a (contributions received from fundraising events)-Schedule G, Part II, Fundraising Events

Schedule G, Part II-Fundraising Events

• Schedule G, Part II Requirements– List the two largest fundraising events with gross receipts greater

than $5,000 and report the total number of all other events with gross receipts greater than $5,000

– For each event, report:– Revenue

o Gross Receipts and Charitable Contributions

– Direct Expenseso Amount paid for cash prizeso FMV of noncash prizes paid or given out for each evento Expenses paid or incurred for the rent of lease of property/facilitieso Other direct expenses, such as catering, entertainment, labor, etc..

Schedule G, Part II (continued)

• Fundraising Events Include:– Dinners/Dances– Door-to-door sales of merchandise– Concerts– Carnivals– Sports Events– Auctions

• Fundraising Events Do Not Include:– Sales or gifts of goods or services of only nominal value– Raffles or lotteries in which prizes have only nominal value– Solicitation campaigns that generate only contributions

o Proceeds from these activities are considered contributions (reported on Line 1f (all other contributions)

Form 990 – Schedule G, Part III Gaming

3. Greater than $15,000 of Gross Income from Gaming ActivitiesSchedule G-Part III Gaming Required

• Three categories of Gaming ActivitiesBingo, Pull Tabs, and Other

• Items to Report (for each category of gaming activities) Gross Revenue (Gross Receipts less Contributions) Direct Expenses

Cash Prizes Noncash Prizes Compensation to workers Rental of Gaming Equipment Cost of supplies

Types of Gaming

• Include-but not limited to…– Bingo– Pull Tabs– Instant Bingo– Raffles– Scratch-offs– Charitable Gaming Tickets– Break-opens– Hard Cards– Banded Tickets– Jar Tickets– Pickle Cards– Casino Nights

**Remember-Many games of chance are taxable (unrelated business income)

“The material contained in this presentation is for general information and should not be acted

upon without prior professional consultation.”