Congressman Charles W. Boustany Jr., MD (R-LA), Chairman of the Subcommittee on Oversight of the Committee on Ways and Means, conducted the first of several hearings on Wednesday, May 16, to examine operations and oversight of tax-exempt organizations. Following in Iowa Senator Chuck Grassley’s footsteps, Congressmen Boustany and the Oversight Subcommittee are once again putting exempt organizations under the microscope. According to Boustany, “Oversight of the tax-exempt sector is an important priority for the subcommittee, and it has been an area that both Republicans and Democrats agree needs greater attention.”
The hearing focused on current issues related to tax-exempt organizations, including the current IRS compliance initiative related to universities, recently enacted reporting requirements for tax-exempt hospitals, recent efforts by tax-exempt organizations to design and implement good governance standards, and taxpayer involvement in redesigning the Form 990. The Subcommittee heard testimony from a panel of witnesses representing a broad spectrum of the tax-exempt organization community. The IRS was not invited to testify at the first hearing but is expected to receive an invitation in the future.
How does your organization look under the microscope? It is clear that Congress is very interested in governance practices and compliance with current Form 990 disclosures. In the future, tax-exempt organizations must be proactive in reviewing their governance structure, operations, and compliance with current requirements. At the same time, hospitals must have plans in place for meeting new requirements, such as Community Health Needs Assessments.
To discuss how PYA can assist your tax-exempt organization, please contact the experts listed below at (800) 270-9629.
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