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UHY Advisors Mid-Atlantic, Inc.
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Charitable Registrations
Consider These Tips to Avoid Rejection
By Carol Shepherd, Senior Staff
D o you work at a nonprofit that
solicits charitable contributions?
Is your nonprofit registered as a char-
itable organization with one, or all, of
the 50 states? If so, take note of the
following list when you spend valu-
able time filling out charitable regis-
tration forms because the last thing
you want is for them to be rejected.
Some points to consider:
1. Make sure it’s signed! This point
applies to the audit report, the
990, the registration form and/or
Unified Registration Statement
(URS.) This is a simple step to for-
get and yet so easy to include.
2. Do you need a registered agent?
Some states require a registered
agent for process serving. Some
states that require registered
agents include California, Michi-
gan, North Dakota, Utah and
Washington D.C. Check in each
year with the state with which you
are registering for updates, as this
information can change.
3. Send the proper form at the
proper time. Sounds simple,
right? There are states that require
multiple filings at different times
of the year. Sending in the wrong
form at the wrong time is a sure
way to get rejected.
UHY Advisors brings specialists in nonprofit solutions in accounting and tax.
Columbia, MD 21045 410-720-5220
4. Don’t register too early. Although
timely filing is good, there are a few
states that don’t want to receive
your registration too early. An
example of this situation is Arizona,
which requires charitable filings to
be sent in September. If it arrives
too early, they’ll send it right back.
5. Use the URS ... but not always. The
URS is a great way to file; it’s quick,
and it’s easy. Even if the state you
are filing with is listed on this web-
site: www.multistatefiling.org, you
still want to double check to make
sure the state accepts the URS. A
few states are listed on this website
but still prefer their own forms.
6. Do you need an addendum to the
URS? Don’t forget to check online
to see if your state requires one. You
can check by going to this website:
http://www.multistatefiling.org/e_tpfo
rms.htm. West Virginia is an exam-
ple of a state that requires supple-
mentary information and will,
indeed, send the URS back to you if
the supplementary information is
not included in your filing.
7. Send in the appropriate attach-
ments. There are states, such as
Missouri, that require obscure
attachments such as examples of
solicitation materials (e.g. tele-
continued on page 2
September 2008
Vol. 1 • No. 6
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Fax 410-381-2524 www.uhy-us.com
403(b) Plans
Why you need to start
preparing now
By Robert M. Gonzales, Principal
I n the June 2008 edition of this
newsletter, we told you that if
your organization sponsors a retire-
ment plan under Internal Revenue
Code section 403(b), and the plan is
covered under the Employee
Retirement Income Security Act of
1974 (ERISA), you must comply
with new rules soon.
In case you missed that article, on
Nov. 16, 2007, the U.S. Department
of Labor (DOL) issued new regula-
tions on 403(b) plans that eliminate
their exemption from the annual
Form 5500 reporting, disclosure and
audit requirements under ERISA.
ERISA-covered 403(b) plans are now
subject to the same reporting and
audit requirements as 401(k) plans.
Generally speaking, sponsors with
100 or more employees eligible to
continued on page 2
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 September 2008
Vol. 1 • No. 6

Charitable Registrations being rejected, but it might cost ing with is expecting money, they
continued from page 1 you. If you file late, there may be will send your filing back if a check
penalties involved. If your fiscal does not accompany the forms.
phone transcripts) that have been year end does not come at a time to So take a few extra minutes and fol-
used to raise funds. This can be make it convenient to file timely, low these pointers; they should help
easy to overlook since most states most states will allow an extension. increase your efficiency and keep
do not require this type of attach-
9. Pay the fee. Most states require a you in compliance with the states.
ment. Pay attention.
fee of some sort: some as little as Or, if you want assistance with
8. Remember to extend. This may $10, and others can be several hun- your filings, call us and we’ll be
not result in your registration filing dred dollars. If the state you are fil- happy to help.

403(b) Plans
continued from page 1
participate in their plan will be
required to have their plan audited
and to attach the audit opinion to
the plan’s Form 5500 filing.
React now!
You may know that the 2009 Form
5500 filings are not due until the end
of July 2010 (extendable to October
15th of the same year). What you
may not know is that ERISA
requires the audited financial state-
ments and the Form 5500 to be com-
parative. Therefore, sponsors will
need to include 2008 financial infor-
mation in their 2009 filings. The fact
that we are in the third quarter of
2008 does not make this any easier.
Most 403(b) plans are comprised of
individual contracts issued to
employees by many different vendors
over the plan’s life. Some plans have
numerous vendors in any given plan
year. Unlike 401(k) plans, many
403(b) plans do not have centralized
plan administration or recordkeep-
ing. Consequently, a great deal of
effort, and cost, will be required by
plan sponsors to gather the 2008 and
2009 information necessary for com-
plying with the new audit require-
ment. In some cases, vendors may not
be able to provide the required infor-
mation in a timely manner or, per-
haps, not at all. Further, during the
course of auditing a plan, auditors
may become aware of deficiencies or
material weaknesses in the design or
operation of the plan’s internal con-
trol. Under new auditing standards,
auditors are required to report defi-
ciencies and material weaknesses in
internal controls to the plan’s govern-
ing board, which, in most cases is the
sponsor’s governing board.
The Department of Labor publicly
stated that it will not be sympathetic
to non-filers and late filers under the
new 403(b) regulations. Plan admin-
istrators who fail or refuse to comply
with ERISA requirements may face
civil penalties of up to $1,100 per day
for each report. Likewise, the IRS
may assess penalties of $25 per day
(up to $15,000) for failure to timely
file returns for plans.
Immediate action steps
Initially, plan sponsors should name
a point person or committee to deter-
mine whether its 403(b) plan is sub-
ject to ERISA. Even if the plan is not
subject to ERISA, it must comply
with the new IRS rules. Sponsors will
also need to know the number of par-
ticipants in the plan, the location of
all plan assets and the number and
identity of vendors serving the plan.
If the plan is subject to audit require-
ments, sponsors will need to generate
comparative financial statements in
accordance with Generally Accepted
Accounting Principals as well as gath-
er the information necessary to have
an audit performed by an independ-
ent certified public accountant in
accordance with Generally Accepted
Auditing Standards. Sponsors will
also want to determine the adequacy
of the plan’s internal controls.
UHY can help
We can assist you in determining
which of the new reporting require-
ments apply, in gathering pertinent
data from service provider(s), and in
preparing financial statements and
disclosures. We can also help compile
financial statements as of the begin-
ning of the year, and evaluate internal
control environment, including finan-
cial reporting controls, prior to audit.
Just don’t wait to the last minute to
get ready. Start preparing now, or it
will be too late before you know it.

The statements contained herein are provided for informational purposes only, are not intended to constitute tax advice which may be relied upon to avoid penalties under any federal,
state, local or other tax statutes or regulations, and do not resolve any tax issues in your favor. Furthermore, such statements are not presented or intended as, and should not be taken
or assumed to constitute legal advice of any nature, for which advice it is recommended that you consult your own legal counselors or professionals.
UHY Advisors, Inc., provides tax and business consulting services through wholly owned subsidiary entities that operate under the name of “UHY Advisors.” UHY Advisors, Inc.,
and its subsidiary entities offer services from offices across the United States. UHY Advisors, Inc., and its subsidiary entities are not licensed CPA firms. UHY LLP is a licensed independent
CPA firm that performs attest services. UHY Advisors, Inc., and UHY LLP are independent U.S. members of Urbach Hacker Young International Limited.