IRS Adjusts Disclosure Requirements for 990’s

from The NonProfit Times:

IRS Adjusts Disclosure Requirements

As we creep ever closer to tax season, the IRS has announced some changes to its disclosure requirements in an effort to make them easier to understand.

The North Bay Business Journal reported today that, in a recently released Jan. 11 memo, the IRS outlined changes to Form 990 for the 2011 tax year. While the changes are relatively small, they are designed to help reduce some of the headaches that come with disclosure requirements. Among the changes is a clarification of what could be considered income for executives and other highly compensated employees, including information from their W-2 forms. This change should make it easier for nonprofits to know what they need to report when it comes to executive compensation.