Benevolent and Protective Order of Elks

“The grand lodge is recognized by the internal revenue service as an exempt organization under section 501(c)(8) of the internal revenue code, which extends to all subordinate lodges of the order. The organization adopted the provisions of (fasb asc) 740, "income taxes". As required by the uncertain tax position guidance of fasb asc 740, the organization recognizes the financial statement benefit of a tax position only after determining that the relevant tax authority would more likely than not sustain the position after an audit. For tax positions meeting the more-likely-than-not threshold, the amount recognized in the financial statements is the largest benefit that has a greater than 50 percent likelihood of being realized upon ultimate settlement with the relevant tax authority. Any interest or penalties related to unrecognized tax benefits are classified as lodge expenses. At the adoption date, the organization applied the uncertain tax position guidance in fasb asc 740 to all tax positions for which the statute of limitations had remained open and had not recognized any additional liability. The organization is not subject to income taxes in the u.s. Federal jurisdiction and the state of hawaii. However, income from certain activities not directly related to the organization's tax-exempt purpose is subject to taxation as unrelated business income. Tax regulations within each jurisdiction are subject to interpretation of the related tax laws and regulations and require significant judgment to apply. With few exceptions, the organization is no longer subject to u.s. Federal and state examinations by tax authority for the fiscal years ended march 31, 2012 and prior.”

“Reclass of restricted assets released 1,039,754.”

“Reclass of restricted assets released 1,039,754.”

“The organization restated its 2015 financial statements to properly report amounts previously classified as unrestricted and permanently restricted to temporarily restricted. The impact related to this restatement was a decrease in permanently restricted funds of $24,652 and an increase in temporarily restricted funds of $5,046,468. These amounts have been included under contributions. Decrease in permanently restricted funds (24,652). Reclassed temporarily restricted funds 5,046,468. Cy contributions 73,603. Total to schedule d, part v, line 1b 5,095,419.”

“Prior to march 31, 2015, the organization accounted for its investments at cost. For the year ended march 31, 2015, the accounting policy prescribed by the "grand lodge auditing and accounting manual" was changed and required the organization to report investments at fair value. This change in accounting policy was not originally reflected in the march 31, 2015 financial statements. Accordingly, management restated its financial statements as of and for the year ended march 31, 2015, to reflect the impact of adopting this policy which resulted in an increase in investments of $ 353,680. This unrealized gain has been included under net investment earnings. Unrealized gain 353,680. Cy net investment earnings, gains, losses 1,195,376. Total to schedule d, part v, line 1c 1,549,056.”