Ordering of Document - What is in core vs. what is in a schedule
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Another change is to move up and expand the list of highly compensated individuals (new Part II) and add Part III on governance and financial reporting moving back the financial statements. By making the managerial compensation Part II it is suggesting to the reader that this issue takes precedence over governance and financial health.
- I would recommend that Parts III to VI be made Parts II to V and Part II be moved to Part VI.
- By moving up Part III to Part II then it essentially means that lines (3 to 9) from the front page are only moved back one page.
- One could add Lines 25 and 26 on gaming and fundraising on this page.
Elizabeth Keating CPA 23 June 2007
[edit] Overall Reaction to Revisions
The proposed form will collect new and potentially useful information. As a researcher, I will be delighted to have access to some of this information. However, the information important to me as a donor seems to be rather scattered. I suggest that the first page concentrate on the information that the casual user would most like to know. There have been some good efforts made including the addition of mission and number of employees. I also like having abbreviated revenue and expense information including percentages. I think form would be more user friendly if it also included at least some of the narrative discussion currently placed on the page 10 (and after all those rather boring lists of questions). The ordering also implies that compensation is more important than accomplishments!
I am well aware that the IRS is the intended “primary” user but this is the only publicly available information donors have about charities. Therefore, it would be lovely to have at least the front page devoted to “key” information for the general public. Things like cash versus accrual, gaming revenues, number of board members, etc. could be requested somewhere else.
From the preparer point of view, this expanded set of additional schedules will certainly seem intimidating! I did not spend time on an EZ version but that would certainly be important for the smaller tax-exempt organizations.
Submitted by Teresa Gordon, CPA --Tgordon 15:15, 27 June 2007 (MDT)
[edit] E-Filing and the Ordering of the Form
The IRS will probably use the new form as the basis for ramping up its efiling program. If one thinks of the new form and efiling as going hand in hand, then some of the potential problems with the form disappear:
- The efiling schemas currently provide a number of options for adding additional explanations for the compensation section and other unspecified sections. This could easily be expanded to permit a more systematic approach so that the increased in details in some areas (eg, program performance, functional expenses) can be explained by orgs in greater detail if needed.
- If efiling truly becomes widespread, the order of data for presentation purposes can be independent from the order of the form. Thus, full program descriptions might be displayed by GuideStar even though the section remains several pages back on the form.
Tom Pollak 14:33, 8 August 2007 (MDT)
