Exempt Organization Tax Services
For those with a tax-exempt organization, we’ll make sure you’re compliant.
And for those who are facing IRS scrutiny, we’ll step in as your defense.
Tax-exempt organizations constantly face challenges of needing to track regulatory developments and maintain constant IRS compliance. alliantNational offers a proactive consultancy to guide tax-exempt organizations through unique and complicated regulatory matters.
Our team of experts will help provide a watchful eye on the regulatory matters pertaining to your organization so you or your client can work with peace of mind.
Doing What's Best For You or Your Client
Doing What's Best For You
or Your Client
Whether You Are a CPA...
If your client has a tax-exempt organization, alliantNational can help you both keep up with the constant need to keep up with regulatory and agency requirements.
From an initial analysis of business activities to representation at the federal or state level, alliantNational can help keep your client’s entity compliant.
Or a Business Owner...
Owning and operating a business is time consuming already. Adding on the responsibility of making sure your tax-exempt organization is compliant shouldn’t be your responsibility.
Let alliantNational’s team of tax veterans review your business activities so that you can concentrate on taking your organization to the next level.
alliantNational helps tax-exempt organizations in the U.S. face the challenges in managing effective tax positions and interactions with the IRS and state tax authorities.
What Is a Tax-Exempt Organization?
Federal tax law allows some organizations to remain tax exempt if the entity’s purpose is not-for-profit and falls under specific IRS guidelines. For instance, under U.S. Tax Code Section 501(c), an organization can be tax-exempt if its primary activities are, for example, for public safety, charitable, educational or religious. According to the IRS, tax-exempt organizations cannot be organized or operated for the benefit of private interests and cannot be considered “action organizations” that attempt to influence legislation or participate in political campaign activities.
Tax-exempt organizations are entitled to several benefits, including the following:
- Exemptions from federal, state and local taxes
- Certain protections from legal actions
- Ability to provide tax deductions to individual donors
- Opportunity to receive grants from the government or foundations
While these benefits might be incredibly appealing to a taxpayer, tax-exempt organizations are required to follow strict guidelines outlined by the IRS in order to maintain their tax-exempt status.
The planning, structuring and review involved with tax-exempt organizations is certainly challenging, and the scrutiny the IRS places on these entities makes compliance that much more important. Our group of professionals knows from experience how tax-exempt organizations need to handle themselves so the IRS doesn’t come knocking.
– Ron Schultz, Senior Technical Advisor for the Commissioner of Tax Exempt and Government Entities
Forming a Tax-Exempt Organization
Organizations who are already tax-exempt, or are considering applying for tax-exempt status must take several things into account:
- Does the organization serve a public purpose designated by the U.S. Tax Code?
- Have the proper documents been filed with the IRS to maintain tax-exempt status?
- Is the organization remaining compliant with their day-to-day activities?
- Are the organization’s policies and procedures in line with the U.S. Tax Code’s requirements?
- Has restructuring impacted the tax-exempt status of an organization?
Tax-Exempt Organizations and the IRS
The IRS is currently reviewing tax-exempt organizations that the agency feels might be abusing the tax system. Based on a Congressional mandate, the IRS created the Exempt Organizations Division within the Tax Exempt and Government Entities Division in order to increase agency oversight of these organizations. The agency is on the lookout for tax-exempt organizations that are involved with abusive tax avoidance transactions, abusive credit counseling agencies and organizational strategies that allow for excessive compensation.
We’ll Keep You Compliant and Defend You Against IRS Scrutiny
alliantNational’s team of experts helps with:
- Reasonable compensation analysis
- Internal investigations and review of governance best practices
- Analysis of activities that may give rise to unrelated business income
- Representation in audit at the federal or state level
- Representation before Congress, Treasury or the IRS on any matter
- Assistance in transactional structuring and planning, including joint ventures
- Help with determining appropriate reporting positions and overall tax compliance
Have a Tax-Exempt Organization? Let’s Talk.
Take advantage of a free consultation to see how our team of experts can help.