Current Events

New Technologies and What the IRS Thinks

According to a field directive issued in July 2008, the IRS considers nonprofit organizations responsible for information contained on linked sites in the same manner the nonprofit organization is responsible for its own printed or published materials. This field directive (see at relates directly to political campaign activities. This is based largely on Rev. Rul. 2007-41 (see at which states that a Web page is the same as printed material, and the organization has control over which links are placed on the Web page. Therefore, the organization is responsible for the content of the linked material.

Giving USA 2009 Released

The Giving USA Foundation released its Giving USA 2009 report on June 10, 2009. Charitable giving in the United State estimated at $307.65 billion in 2008. It is the first decline in giving since 1987 and the second decline since Giving USA began publishing in 1956. For full details on the 2009 report, please check out

New Technologies infiltrate Churches and Ministries

Many of the popular social networking sites today such as Twitter and Facebook are being used by churches, ministries, and those that work with them more than ever to reach followers. This is one of the many new ways the younger generation communicates and churches and ministries have taken notice. Blogs have become popular over the last few years as well.

Economic Impact on Nonprofits

In a nationwide survey of over 1,300 member organizations, the Evangelical Council for Financial Accountability (ECFA) reported that a majority of respondents had better than expected financial results for the fourth quarter of 2008. Over 330 churches and nonprofit organizations responded to the survey, and 72% said that they met, exceeded or came within 10% of their fundraising goals. Only 28% reported that they were more than 10% below their goals.

Court Puts Halt to IRS Audit of Church

The Minnesota federal district court last month decided that current IRS procedures for opening tax investigations of churches does not comply with legal requirements for pre-approval by a high-level Treasury official. Currently, the head of the IRS exempt organizations exam division approves all church audits. But the court said that the law requires approval from a higher-level official.

Reverend Robert A. Schuller resigns as Senior Pastor of Crystal Cathedral

After being relieved from his duties as Preacher on the television show “Hour of Power” in October by his father and founder of the Crystal Cathedral, Reverend Robert A. Schuller has resigned. It is reported that he will start his own ministry. The Church is a member of the Reformed Church of America denomination, which oversees approximately 60 churches throughout California. According to reports, Rev. Schuller is still in good standing with the denomination.

Minnesota Mega Church Gets Small Victory in IRS Proceeding

Reverend James Hammond and his Church, Living Word Christian Center of Brooklyn Park, MN appears to have won a small victory in their most recent round with the Internal Revenue Service.

Earlier this year, the IRS asked Church to provide detailed financial information, focusing on compensation of the founder and senior pastor of the church James Hammond. The Church refused to comply, arguing that they did not have to because the request was not made by a “high ranking” IRS official, which is required by law.

FDIC Coverage Now $250,000

On October 3, 2008, FDIC deposit insurance temporarily increased from $100,000 to $250,000 per depositor through December 31, 2009.

See additional information at

Changes to the Draft Form 990

A redesigned Form 990, Return of Organization Exempt From Income Tax, will be filed beginning with 2008 tax years (2009 filing season). The IRS has completed its review of the public comments and made revisions to the draft instructions. The revised instructions should be posted at by August 15, 2008.

NACBA Regional Meeting - May 29 and 30

NACBA and S&O are partnering together to provide a regional training seminar in San Antonio. This seminar invites NACBA members and guests (Texas/Louisiana/New Mexico) to attend a 2- day seminar exploring ways that churches and ministries can "Create Accountability". The seminar begins on May 29th with a kick-off luncheon led by Eric Bryan, Executive Pastor of Fellowship Bible Church, Tulsa.

First Baptist Church on the Riverwalk is hosting the seminar and it begins at noon at May 29th.

The following will be covered during the 2-day sessions:

May 29th, (noon - 5:00 p.m.)