Audited Financial Statements
This is a financial statement that is completed by an independent certified public accountant (CPA) who provides an opinion that states whether the financial statements were prepared in accordance with generally accepted accounting principles (GAAP.)Combined or Consolidated Audited Financial Statements
To determine if the audit report is either a combined or consolidated audit, read the auditor's opinion which should specify this. In general, a combined audit report refers to an audit report in which the accounts of a group of related organizations are "combined" or added together. In general, a consolidated audit report refers to an audit that includes the accounts of a parent charity and its local affiliates. Whether it is combined or consolidated, the audit should be completed by an independent certified public accountant (CPA) who provides an opinion that states whether the financial statements were prepared in accordance with generally accepted accounting principles (GAAP.) IRS Form 990
This is the annual financial form that charities with are required to annually file with the Internal Revenue Service. Charities that are tax exempt as churches and charities with gross receipts less than $25,000 are not required to file this form with the IRS. Unaudited Financial Statements
In general, this is a financial statement that is internally produced by the organization and is neither audited nor reviewed by a certified public accountant. An unaudited financial statement will usually include the same elements (e.g., statement of financial position, statement of activities, statement of cash flows, notes, etc.) as the audited financial statements. Reviewed Financial Statements
If the financial statement falls under the following definition, please check the "unaudited financial statement" box for Question 2. This is a financial statement that is completed by an independent certified public accountant (CPA). A "review" (as opposed to an "audit') provides some level of assurance, but does not involve an examination in accordance with generally accepted auditing standards (GAAS). A review will usually include the same elements (e.g., statement of financial position, statement of activities, statement of cash flows, notes, etc.) as the audited financial statements. IRS Form 990 EZ
This is the annual financial form that charities filed with the Internal Revenue Service for charities with gross receipts less than $100,000 and total assets less than $250,000. Although this form identifies total program service expenses, it does not identify the total amounts spent on fund raising and administrative expenses. |
