Nonprofits and other tax exempt organizations manage compliance requirements set forth by a variety of entities—from federal and state governments to funders to regulatory bodies such as the Financial Accounting Standards Board (FASB). This requires nonprofit leaders and staff members to become “familiar with multiple sources of regulation,”2 creating additional layers of operational complexity for reporting organizations.
Additionally, radical advancements in technology have allowed for an unprecedented ability for people around the world to access and communicate information on virtually any topic, at anytime. This has led to a shift in what it means for today’s nonprofits to be truly transparent—which has become an increasingly commonplace expectation from supporters, constituents, and the general public.
Compliance practice should involve more than reporting the right information to the right regulatory agency at the right time. It should bolster a culture of trust through open communication and clear accountability.
So while this eBook provides an overview of key regulatory changes for nonprofit accounting and reporting in recent years, it also identifies best practices for deepening transparency through compliance practice.
2Chicago Lawyers’ Committee for Civil Rights Under Law, 2013