USA Paid accounting firm services for a non-profit organization


NJP

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I paid an accounting firm to handle the books and tax accounting for a 501c3 organization last year. Should the non-profit provide an acknowledgment letter to me for the amount I paid to the accounting firm?

Thanks
 
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BIG E

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Who are you in relation to the 501(c)(3)?
 

NJP

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Thanks for replying.

I'm on the board of directors
 

BIG E

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The proper way to handle this is for the 501(c)(3) to record the accounting fee as an expense and record a payable to you.
This would mean that a question or two needs to be answered on the 990 form regarding financial relationships with
officers of the entity.
I doubt the organization's attorney would approve of a letter acknowledging a debt the organization should have paid directly
but was paid personally by a board member. It could be an ethics breach of tax exempt purpose.
 
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