Berks County Conservancy

“Conservation easements are either recorded as a donated easement or purchased easement based on the appraisal value on the balance sheet. They are reported as separate line items. Revenues are reported on the income statement as a permanently restricted asset for conservation easements. Expenses are commingled under the expense section for the easements depending on what the epxnese is for such as travel, postage, salaries, etc.”

“The Board designated fund is used for operating costs if the Organization needs to pull funds to cover costs. The permanent endowment is used to maintain the property owned by the Organization. A new permanent endowment was established in the current year in which the income only can be used for environmental education.”

“As a not-for-profit organization, the Organization is generally exempt from federal and state income taxes. The Organization is subject to federal and state income taxes on unrelated business income. The Organization recognizes penalties and interest accrued related to income tax liabilities in the provision benefit for income taxes in its consolidated statement of activities. At December 31, 2016 and 2015, there was no accrual for the payment of penalties and interest. When returns are filed, it is highly certain that some positions taken would be sustained upon examination by the taxing authorities, while others are subject to uncertainty about the merits of the position taken or the amount of the position that would ultimately be sustained. The benefit of a tax position is recognized in the consolidated financial statements in the period during which, based on all available evidence, management believes it is more likely than not that the position will be sustained upon examination, including the resolution of appeals or litigation processes, if any. Tax positions that meet the more-likely-than-not recognition threshold are measured as the largest amount of tax benefit that is more than 50 likely of being realized upon settlement with that applicable taxing authority. The portion of benefits associated with tax positions taken that exceeds the amouint measured as described above is reflected as a liablity for unrecognized tax benefits in the consolidated statement of financial position, along with any associated interest and penalties that would be payable to the taxing authorities upon examination. The Organization files informational returns IRS Form 990 in the US Federal jurisdiction. The Organizations returns are not subject to examination through the year ended December 31, 2013.”

“Cost of Goods Sold net with inventory sales 100.”

“Cost of Goods Sold net with inventory sales 100.”