Squam Lakes Conservation Society

“Conservation easements are recorded at cost if purchased. Once the easement has been acquired the value of the asset is written down to a value of 1 on the Statement of Financial Position with a corresponding entry to Program Service costs. Donated easements are not recorded as an asset, revenue or expense but a record of the transaction is maintained and the details of the transaction are reported in a footnote to the financial statements.”

“The organization is acting as an Intermediary on behalf of the White Oak Pond Watershed Association WOPWA. Funds have been contributed to the organization with donor specification that these funds be distributed to WOPWA. The organization has no variance power over the funds specifically identified as contributions to WOPWA. Funds contributed to the Organization specifically for distribution to WOPWA are recorded as a liability in the accompanying statement of financial position in accordance with FASB ASC 958-605-25. The Organization also acted as the an intermediary on behalf of Betsys Park. The funds will be distributed to Betsys Park in their entirety when the other organization receives its 501c3 status.”

“The Organization has been notified by the Internal Revenue Service that it is exempt from federal income taxes under Section 501c3 of the Internal Revenue Code. The Organization is further classified as an organization that is not a private foundation under Section 509a3 of the Code. The most significant tax positions of the Organization are its assertion that it is exempt from income taxes and its determination of whether any amounts are subject to unrelated business tax UBIT. The Organization follows the guidance of Accounting Standards Codification ASC 740, Accounting for Income Taxes, related to uncertain income taxes, which prescribes a threshold of more likely than not for recognition and recognition of tax positions taken or expected to be taken in a tax return. All significant tax positions have been considered by management. It has been determined that it is more likely than not that all tax positions would be sustained upon examination by taxing authorities. Accordingly, no provision for income taxes has been recorded.”