Mcdowell Lfac

“A preliminary copy of the return is provided to each member of the board via email prior to filing.”

“Before engaging in any activity, transaction, or relationship that might give rise to a conflict of interest, employees must seek review from their supervisor.”

“Compensation was determined by the grant making agency agreement based on their scale.”

“At our community monthly meetings the financial records are shared and any other documents upon request.”

“Disclosed contractor that earned over $100,000 that was unintentionally not disclosed on the original return”

“The government grants were inadvertently not separated from other contributions, gifts and grants. The amended return reports $46,188 of government grants on line 1e and $694,108 for all other contributions, gifts and grants on line 1f. The result is that total contributions on line 1h is unchanged and reported at $740,296.”

“No change to oversight or selection process from prior year. Compiled financial statements are emailed and reviewed on a monthly basis by the board of directors.”

“During the preparation of the 2021 form 990, it was discovered that the taxpayer had erroneously capitalized an asset and depreciated it on the 2020 tax return. Upon discovery, the taxpayer began the process of amending the 2020 tax return to correct this error. Due to the timing of discovery, the amend the 2020 tax return was not filed before filing the 2021 form 990. An asset valued at $18,350 was erroneously reported in service and depreciated during the year 8/1/2020-7/31/2021. During fiscal year 7/31/2021, a $9,175 deposit was made on the asset, but the remaining purchase price of $9,175 was not paid until the asset was received during the 8/1/2021-7/31/2022 year. An expense was erroneously reduced for the amount paid in fiscal year 7/31/2022. The erroneously capitalized asset affects the statement of functional expense (page 10, part ix) the following way: ** column a, line 11(g) will show an increase of 9,175, from 1,918 to 11,093, and column b, line 11(g) will show an increase of 9,175, from 1,818 to 10,993. ** column a and c, line 22 will show a decrease of 153, from 2,516 to 2,363. ** column a, line 25 increases 9,022, from 413,693 to 422,715. ** column b, line 25 increases 9,175, from 329,192 to 338,367. ** column c, line 25 decreases 153, from 84,501 to 84,348. The erroneously capitalized asset also affects the balance sheet. The following changes are made to page 11, part x, column b: ** line 10a - a decrease of 18,350, from 642,403 to 624,053 ** line 10b - a decrease of 153, from 3,082 to 2,929. ** line 10c - a decrease of 18,197, from 639,321 to 621,124. ** line 15 - an increase of 9,175, from 1,000 to 10,175. ** line 16 - a decrease of 9,022, from 842,553 to 833,531. ** lines 27 & 32 - a decrease of 9,022, from 840,828 to 831,806. ** line 33 - a decrease of 9,022, from 842,553 to 833,531.”