Title:Assurance and Advisory Partner Company: Frank, Rimerman + Co. LLP
| Dec 29, 2011
There is no federal audti requirement for an audit; the governance portion of the Form 990 is functioning as the fed's way of monitoring an NFP's internal controls.
However, you have to worry about your state's reporting requirements. In California, where I practice, the state's Non Profit Integrity Act requires NFPs with over $2M in revenue, as reflected on the Form 990 (non GAAP), to have an annual GAAP audit among other requirements. Please check with your state societry for assistance.
Answers
Company: Frank, Rimerman + Co. LLP
There is no federal audti requirement for an audit; the governance portion of the Form 990 is functioning as the fed's way of monitoring an NFP's internal controls.
However, you have to worry about your state's reporting requirements. In California, where I practice, the state's Non Profit Integrity Act requires NFPs with over $2M in revenue, as reflected on the Form 990 (non GAAP), to have an annual GAAP audit among other requirements. Please check with your state societry for assistance.
I hope this helps. Happy New Year!