National Association of Miniature

“Terms for not reporting assets per sfas 116 - collections of museum artifacts acquired through the purchase or contribution are not recognized as assets on the statements of financial position. Purchases, if any, of collection items are recorded as decreases in net assets in the year in which the items are acquired. Proceeds from deaccessions or insurance recoveries are reflected as increases in net assets.”

“The organization's endowment funds were established to provide support for the association's programs, services, and educational offerings. Contributions to the endowment funds are subject to donor restrictions stipulating the original principal of the gift is to be held and invested indefinitely and income from the funds is to be expended for defined purposes.”

“The association received a determination from the u.s. Treasury department stating it qualifies under the provisions of section 501(c)(3) of the internal revenue code as a tax-exempt organization; however, the association is subject to tax on income unrelated to its exempt purpose. For the years ended may 31, 2025 and 2024, no accounting for federal or state income taxes was required to be included in the accompanying financial statements. Professional accounting standards require the association to recognize a tax liability only if it is more likely than not the tax position would not be sustained in a tax examination, with a tax examination being presumed to occur. The amount recognized is the largest amount of tax liability greater than 50% likely of being realized on examination. For tax positions not meeting the more-likely-than-not test, no tax liability is recorded. The association examined this issue and determined there are no material contingent tax liabilities or questionable tax positions. Tax years ended after may 31, 2021 are open to audit for both federal and state purposes.”