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[Free] Introduction To Not-For-Profit Entities

Not For Profit Entities Overview Entity, Accounting and Tax – Free Course

Added on May 6, 2024 Finance & Accounting 2 min read

What you’ll learn

• Identify the unique aspects of NFPs.
• Understand the differences between for-profit entities and NFPs
• Recognize the various types of NFPs.
• Identify NFP-specific terminology.
• Identify the basic financial statement presentation differences between for-profit entities and NFPs.

Requirements

• Basic understanding of business environment

Description

Course Objectives: Upon successful completion of this course, participants will be able to:

1. Understand and apply the accounting principles and financial reporting practices specific to NFPs.

2. Recognize the tax considerations and compliance requirements affecting tax-exempt NFPs.

3. Identify the governance structures typical to NFPs and understand their impact on organizational practices.

4. Distinguish the significant operational and financial differences between for-profit entities and NFPs.

5. Master the specialized terminology used within the NFP sector.

Course Content:

• Module 1: Introduction to Not-for-Profit Entities

  • Explore the role and importance of NFPs in society.

  • Understand the definitions and characteristics of NFPs as outlined by the Financial Accounting Standards Board (FASB).

• Module 2: Accounting for NFPs

  • Learn about the accounting standards and practices specific to NFPs, including revenue recognition, fund accounting, and reporting of donations and grants.

  • Hands-on exercises in preparing financial statements and handling unique accounting scenarios encountered by NFPs.

• Module 3: Financial Reporting and Compliance

  • Detailed analysis of the financial reporting requirements for NFPs.

  • Study of compliance issues and how to maintain tax-exempt status.

• Module 4: Taxation of Not-for-Profit Organizations

  • Overview of federal and state tax regulations applicable to NFPs.

  • Case studies on handling taxable activities and understanding unrelated business income tax (UBIT).

• Module 5: Governance in NFPs

  • Examination of governance models and best practices in board management and operational oversight.

  • Strategies to enhance transparency and accountability to stakeholders.

• Module 6: Differences Between For-Profit and Not-for-Profit Entities

  • Comparative analysis of financial practices between for-profit and NFP sectors.

  • Discussion on the strategic implications of these differences in terms of management and operational focus.

Target Audience: This course is ideal for CPAs, financial officers, board members, and managers within the NFP sector, as well as professionals from the for-profit sector looking to transition into non-profit roles.