Re: 3 tax questions
golden cliff (c60clg1@CORN.CSO.NIU.EDU)
Tue, 27 Apr 1999 16:17:17 -0500
On Tue, 27 Apr 1999, Kevin Woods wrote:
> 1. Our Treasurer has been told by HR Block, that if our checking account
> has over $$$ in DEPOSITS (I'm sorry, I cannot remember the figure although
> it was rather large) than even as a non-profit, with a correct tax exempt
> id, we would be required to file form ######????(you don't expect me to
> remember this number do you?) It is supposed to be a federal, not state form.
>
> Does anyone have experience with this?
We have our troop's money in a non-interest bearing account. According to
my treasurer (he is a professional accountant) you must report the
interest earned to the government on #### form. Since the bank reports to
the government all interest paid, there must be a reciprocal report from
the account holder. By avoiding interest income, we avoid the form.
We also always provide a financial summary of our troop activities to
include with our chartering organizations annual report. That way we
provide a public document regarding our finances each year.
I know nothing of financial matters, I'm just a Scoutmaster. This is the
best simple explanation I can give from my childlike understanding of
troop finances and accounting.
YIS, Cliff Golden
Scoutmaster Troop 33
DeKalb, Illinois
