Hey NH Nonprofits! Complying with the state’s financial reporting requirements may be getting easier for you.
In June 2022, Governor Sununu signed Senate Bill 375 which increased the audit threshold for NH charitable organizations with gross annual revenues from $1,000,000 to $2,000,000 effective August 6, 2022. Under this new law, the reporting requirement for generally accepted accounting principle (GAAP) financial statements are:
Things to Consider
While your organization may not require an audit now, growing organizations may benefit from having compiled or reviewed GAAP financial statements to help transition into an audit when the time comes. Additional requirements may be applicable depending on the type of industry your charitable organization operates in and its specific activities so contact a tax professional if you have questions about your organization’s filing requirements.
- Charitable organizations with revenue, gains, and other support between $500,000 and $1,999,999 must submit GAAP financial statements. These financial statements can be prepared internally and do not require a report from an independent certified public accountant.
- Charitable organizations with revenue, gain, and other support $2,000,000 or greater must submitted audited GAAP financial statements issued by an independent certified public accountant.
Things to Consider
While your organization may not require an audit now, growing organizations may benefit from having compiled or reviewed GAAP financial statements to help transition into an audit when the time comes. Additional requirements may be applicable depending on the type of industry your charitable organization operates in and its specific activities so contact a tax professional if you have questions about your organization’s filing requirements.
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