A Las Vegas nonprofit needs three things from its accounting. It must track restricted and unrestricted funds separately, report to its board every month, and keep current with federal and Nevada filings. Southern Nevada has a large nonprofit community, and funders here expect clear, timely financial reporting from the organizations they support.
What makes nonprofit accounting different from business accounting?
A nonprofit answers to donors, grant makers, and a board. Money often arrives with conditions attached, so the books must show how each grant and restricted gift was used.
| Area | What a nonprofit tracks |
|---|---|
| Funds | Net assets with donor restrictions and without donor restrictions |
| Grants | Budget, spending to date, and reporting deadlines for each grant |
| Expenses | Program, management, and fundraising |
| Statements | Statement of Financial Position, Statement of Activities, Statement of Functional Expenses |
| Federal filing | Form 990 series return |
What do Nevada nonprofits file?
| Filing | Where | When |
|---|---|---|
| Annual list of officers and directors | Nevada Secretary of State | Each year, by the end of the anniversary month of formation |
| Charitable solicitation registration or exemption statement | Nevada Secretary of State | Each year, with the annual list |
| Form 990, 990-EZ, or 990-N | Internal Revenue Service | The 15th day of the 5th month after the fiscal year ends |
| Payroll returns and Forms W-2 | IRS and Nevada | Quarterly and annually, if the organization has employees |
| Sales tax exemption | Nevada Department of Taxation | By application, for organizations that qualify |
Tax-exempt status with the IRS does not automatically exempt a nonprofit from Nevada sales tax on its purchases. Organizations that qualify apply to the Nevada Department of Taxation for an exemption letter.
What should a nonprofit board see each month?
- Statement of Financial Position and Statement of Activities
- Budget compared with actual results, with notes on large differences
- Cash on hand, shown as months of operating expenses
- Spending on each grant compared with its budget
- Restricted and unrestricted balances
How should a Las Vegas nonprofit track grants?
- Set up each grant as its own class or fund in the accounting system.
- Record staff time charged to each grant every pay period.
- Keep documentation for every grant expense.
- Compare spending with the grant budget monthly.
- Keep a calendar of every funder report and deadline.
What are the most common accounting problems for local nonprofits?
- Restricted gifts spent on general operations
- Grant reports that cannot be tied to the books
- Board reports that arrive late or not at all
- One person handling deposits, payments, and reconciliation with no review
- A lapsed state filing or a missed Form 990
How does a nonprofit prepare for an audit?
- Reconcile every account monthly.
- Close the books on a set schedule.
- Keep board minutes, grant agreements, and donor letters organized.
- Separate financial duties among staff or volunteers.
- Prepare schedules of grants, fixed assets, and restricted funds before the auditors arrive.
Common questions
Nevada nonprofit corporations file a charitable solicitation registration statement, or a statement of exemption, with the Nevada Secretary of State each year along with the annual list.
Form 990 is due on the 15th day of the 5th month after the end of the organization’s fiscal year. For a calendar-year nonprofit, that is May 15.
An organization that fails to file its required Form 990 series return for three consecutive years automatically loses its federal tax-exempt status.
Not automatically. A nonprofit must apply to the Nevada Department of Taxation, and only certain types of organizations qualify for an exemption on purchases.
Sunderland Valley Enterprises provides nonprofit accounting and bookkeeping in Las Vegas, including fund and grant tracking, board reports, and audit preparation.
Learn more about our nonprofit accounting and bookkeeping services.
This article is general information for Nevada business owners. Filing rules and deadlines change, so confirm the requirements for your business with the agency involved or with your CPA.
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