Supplement: Charities and Non-Profits
Contents
1. Required PDF Attachments The list below contains PDF Attachments that are required for electronic filing Select an item from the list and click Browse to locate the associated PDF file Items with a green check mark already have the PDF file Items with a red are missing the required PDF File Reference Description Required PDF FileName Required Document Name IRS_REG_1234 PDF Supplementary Form SUPPLEMENT_ABC PDF View Delete Browse Exit Figure 16 The EF PDF Attachments window Click the row of a document to attach Click Browse Browse to the proper folder select the PDF file to attach and click Open or dou ble click the file name 25 Using the PRNT Screen Drake Software User s Manual Repeat for all documents with a red X When all documents have been attached to a completed return recalculate the return If there are no EF messages the return is ready to be e filed Printing Generated Documents In some instances Drake generates a document that must be printed signed and scanned back into the computer to be attached to the return for instance Form 3115 Application for Change in Accounting Method An EF message will state that attach ments are required You will then need to obtain and complete the statements scan them into the computer save them as a PDF file and attach them to the return N OTE For details on completing Form 3115 see one of the business manual2. Sections of Schedule R Covered Schedule R Parts Disregarded Entities II Related Tax Exempt Organiza tions and III Related Organizations Taxable as a Partnership 12 Tax Year 2013 Drake Software User s Manual Form 990 Table 4 Schedule R Screens Screen Sections of Schedule R Covered R2 Schedule R Parts IV Related Organizations Taxable as a Corporation or Trust V Transactions With Related Organizations and VI Unrelated Orga nizations Taxable as a Partnership R3 Schedule R Part V Line 1 To enter more entities press PAGE DOWN to access new blank fields Schedule R is not required for all organizations For information on N OTE which aspects of Schedule R must be completed by an organization see the IRS instructions for Schedule R or click Screen Help on screens R R2 and R3 Part VII Section A Once you have completed Schedule R the IRS recommends completing Part VII Sec tion A Compensation of Officers Directors Trustees Key Employees Highest Compensated Employees and Independent Contractors Use the OFF screen to report this information noting that information entered there is used to generate Part II of Schedule J Compensation Information Use the IND screen to enter information about compensation of inde N OTE pendent contractors See Compensation on page 16 for more infor mation on the IND screen Parts VIII IX and X Parts VIII IX and X o
3. D DENA l Supplement Charities amp Non Profits SONARE j 930 990 E7 990 N 990 PF 990 7 Support DrakeSoftware com gt 828 524 8020 Drake Software User s Manual Tax Year 2013 Supplement Charities and Non Profits 990 Support DrakeSoftware com 828 524 8020 Copyright Trademarks Drake Software Manual Supplement Charities The 2013 Drake Software Manual Supplement Charities and Non Profits Drake Tax Software and any other related materials are copyrighted material All rights are reserved by Drake Enterprises LTD including all ownership rights This document associated software and related material are the property of Drake Enterprises LTD Drake Enterprises LTD hereby authorizes you to download display print and repro duce the material in this document in an unaltered form only for your personal non commercial use or for non commercial use within your organization Copyright trademark and other proprietary notices may not be removed O 2013 Drake Enterprises LTD All rights reserved While every attempt has been made to produce an accurate and complete manual there is no warranty expressed or implied to that effect Drake Enterprises LTD assumes no liability for damages or claims resulting from the use of the information contained herein The Drake Software Logo and Drake Tax are registered trademarks of Drake Enterprises LTD Other product names mentioned in this manual may be tr
4. Non Profits and select e file for Charities and Non Profits IRS Error Reject Codes 28 If any of the following IRS error reject codes is generated when e filing a 990 return the preparer must contact the IRS for further information The IRS e Help Desk tele phone number is 866 255 0654 F990 902 01 The EIN in the return must have been established as an exempt organi zation return filer in the e file database F990 913 01 Tax exempt status specified in Item I must match data in the e file database R0000 922 01 Filer s EIN and Name Control in the Return Header must match data in the e file database unless Name Change or Name or Address Change check box is marked if applicable R0000 932 01 If Amended Return check box is not marked then taxpayer TIN in the Return Header must not be the same as a TIN of a previously accepted electronic return for the return type and tax period indicated in the tax return Tax Year 2013 Drake Software User s Manual Supplement Non Profits Index A accomplishments statement of 14 accounting method used 16 address books in care of 16 foreign 11 of 527 organization 19 of affiliates 12 of organization 11 adjustments to balance sheet 27 affiliates 12 amending a return 22 attachments from within data entry 8 general explanation 8 PDF 23 26 auto balance 27 B balance sheet adjustments to 27 screens 14 blank forms 3 books in care of 16 busine
5. Tax Year 2013 15 Form 990 Compen sation Reconcili ation of Net Assets Financial Statements Reporting Drake Software User s Manual Drake Part V consists oftwo screens use screen 6 to answer items 1 through 6b press PAGE DOWN from screen 6 to access items 7 through 14b Part VII reports compensation paid to officers directors trustees key employees highest compensated employees and independent contractors For Form 990 990 EZ or 990 PF use the OFF screen for officers etc and the IND screen for independent contractors to enter this information The OFF screen also has fields for entering an officer address books in care of information and an indication of whether the specified officer signs the return The IND screen has fields for name and address type of service and compensation and a field to enter the number of contractors paid more than 100 000 50 000 for Form990 PF in reportable compensation Enter the amount of changes in net assets or fund balances that occurred during the tax year on line 9 line of screen 11 These would include items such as prior period adjust ments and changes in accruals Explain the changes on screen O selecting code 026 in the Schedule drop list Part XII Financial Statements and Reporting is used for reporting information on the organization s accounting methods and financial statements The accounting method line 1 of Part XII is pulled fro
6. sends the information to Schedule A and selections of C1 through C7 generally sends the information to Schedule C and so forth Select Z1 through Z11 however and the information flows to Schedule O of the 990 EZ Select X for general statements and the information flows to the Schedule O and the attachment will be e filed with an e fileable return 990 990 EZ or 990 PF A selection of AMD for an amended return also sends the information to Schedule O of either a 990 or 990 EZ return See Schedule O Supp Info on page 20 for more information 4 Tax Year 2013 Drake Software User s Manual Form 990 N Supplemental Information and General Explanation Attachment Schedule 21 Description of other revenue Part I line Other revenue for 2013 includes the following sources So anama pan A OS AS A el Figure 3 A selection beginning with Z will flow to the Schedule O of the 990 EZ N OTE The SCH2 screen in a 990 PF return is the same as the O screen in the 990 and 990 EZ returns Form 990 N Form 990 N Electronic Notice e Postcard for Tax Exempt Organizations Not Required to File Form 990 or 990 EZ is required for certain small tax exempt organi zations To file the e Postcard using Drake go to screen 1 for the organization and take the fol lowing steps 1 Under the General Information heading select N Form 990 N from the Form drop list item 1 in Figure 4 General Informati
7. N OTES the lock for unused screens To use the foreign address fields enter in the first field the name of the foreign province or state as appropriate Select the appropriate foreign country from the drop list and then enter the postal code if appropriate Type of Form To indicate which form the organization is filing select an option from the Form drop list in the General Information section of screen 1 See Figure 4 on page 5 and Figure 7 on page 12 If the only return being prepared is a 990 T and its related forms mark the 990 T only box Form Screen 1 has separate columns indicating the header boxes for Forms 990 990 EZ Columns and 990 PF For example the Exemption application pending check box on screen 1 item 1 in Figure 7 puts an X in box B of Forms 990 and 990 EZ or an X in box C of Form 990 PF Note that not all questions are required for all forms item 2 in Figure 7 Tax Year 2013 11 Form 990 Drake Software User s Manual General Information Forte ee x gt I 990 Tonly 690 EZ PF 1 B B C J Exemption application pending B B G Mark as applicable P Initial return J Finalreturn Amended return I Change in address I Change in name Initial return of a former public charity Xil G J Accounting method M Cash Accrual Other PO 2 Is this a group return for subordinates V Yes No Are all subordinates included l Yes M No Sgn apa HG ndai ma GEO RO Figure 7 S
8. Xl 7 Schedule L L Complete if required see Schedule L instructions 8 Vi 7 Transactions reported on Schedule L are relevant to determine independence of members of the governing body under Form 990 Part VI line 1b 9 l 2 Complete based on information derived from other parts of the form 10 IV 5 Complete this section to determine which schedules must be completed Tax Year 2013 Drake Software User s Manual Form 990 Table 3 Form 990 Recommended Order Seq Section Screens Notes 11 Schedule O and Schedules A any other applica G and Sched ble schedules ules H R tabs 12 Il PIN Setup info See Part II Signature Block on page 21 Header Information Forms 990 990 EZ 990 PF 990 T 990 N Use screen 1 to fill out the header section for a tax exempt organization Complete all applicable fields Enter the organization s ID number name address and telephone number at the top of screen 1 Header information to be completed first are items A through F and N OTE H a through M The Gross receipts field header item G on the 990 is completed automatically Foreign Ifthe organization has a foreign address fill out the applicable fields in the Foreign Address ONLY section of screen 1 Foreign address fields are locked to keep incorrect address data from being entered Click the field to unlock foreign address fields throughout the return Close the return and re open it to re engage
9. need to re enter the infor mation in the top section of the screen If the description takes up more space than is allowed on the printed return the program will generate it on a separate SERVICES page See Figure 9 on page 15 apie 390_0 L APROOF4 y 4562 Ly 88790 a tee fe fees tat ee repens opos P ere ee AA nuit pum RA 4a Code Expenses 12 345 including grants of See SERVICES iption of this i for a J 7 FED DEPR L FOLDR gt FILE Figure 9 Part III of Form 990 references a SERVICES page for descriptions that are too long to be printed on the actual 990 form To enter another achievement press PAGE DOWN and mark the box labeled Mark this box if starting a new description The second description entered is shown or refer enced on a SERVICES page if applicable see Figure 9 in section 4b of Part III A third description is printed or referenced in section 4c Additional descriptions are shown on a SERVICES page generated with the return The exempt achievement description has a 5 000 character limit for N OTE e filing if the description exceeds 9 000 characters the return must be paper filed Other IRS Part V Statements Regarding Other IRS Filings and Tax Compliance is used to show Filings the organization s compliance with the requirements of other federal tax laws for reporting and substantiation Use screen 6 in the program to enter data for Part V In
10. tab or as the SCH2 screen from the Form 990PF tab Various other screens feature an O screen hyperlink 2 From the Schedule drop list of the Schedule O screen select the schedule and line numbers to be addressed on the screen In the example on Figure 12 the user has selected Escrow Account Liability in order to address Part IV line 2b of Schedule D Supplemental Information and General Explanation Attachment Escrow account liability Part IV line 2b Other Activities to Influence Part II B line 1i 3 Easement changes Part II line 3 D2 Easement policy or policies Part II line 5 Reports conservation easements Part II line 9 El Not reporting collections Part III line 1a Collections descriptions Part III line 4 D7 Escrow account liability Part IV line 2b z end 2 e D9 Other revenues not included on Form 990 Part XI line 2d D10 Other revenues included on Form 990 Part XI line 4b D11 Other expenses not included on Form 990 Part XII line 2d D12 Other expenses included on Form 990 Part XII line 4b D13 Footnote for uncertgin t ygition under FIN 48 Part X AS atA a COE DOES a een ss gra ncn te aio amin satin Figure 12 Schedule drop list on screen O 3 Under Explanation type the narrative information Note that there is a 9 000 character limit for e filing Press PAGE DOWN to open a blank screen O and add supplemental information
11. that allow taxpayers and tax preparers to digitally sign Form 8879 EO IRS e file Signature Authorization for an Exempt Organization Go to our online store at http drake computimeonline com for details or to purchase a Drake recommended e pad For details see Chapter 6 Return Results of the Drake Software User 5 Manual Tax Year 2013 Getting Started Open Create Tax Year 2013 Some early tasks you may need to perform when getting started on a 990 return include creating a return for new clients and updating a return for existing clients Blank forms are a good tool for helping clients collect tax related data N OTE you will need To access blank forms go to Tools gt Blank Forms and select the Tax Exempt tab Select a form from the list and click Print Creating a Return To create a new return in Drake 1 From the Home window click Open Create or select File gt Open Create Returns or press CTRL O 2 Inthe Open Create a New Return dialog box enter the organization s nine digit identification number 3 Click OK Click Yes when asked if you want to create a new return Schedule O Drake Software User s Manual 4 In the New Return dialog box select Tax Exempt 990 and enter the organiza tion s name 5 Click OK Screen 1 of the return is displayed You can now begin entering header information for the organization Header information for all forms is completed on screen 1 For in
12. 0 Form 990 Drake Software User s Manual A tax exempt organization under section 501 a must file Form 990 if it has either e Gross receipts of 1 million or more e Total assets of 2 5 million or more at the end of the tax year For more information on who must file Form 990 see the Form 990 instructions pub lished by the IRS Recommended Order for Completing Form 990 10 The sequence shown in Table 3 is suggested as an efficient method for completing a return for a tax exempt organization In general complete the core form first and then complete alphabetically Schedules A through O and Schedule R except as speci fied in Table 3 This order limits the need to jump back and forth from one part of the form to another as certain later parts are required in order to complete earlier parts Table 3 Form 990 Recommended Order Seq Section Screens Notes 1 A F H a M 1 This is the Heading section of Form heading 990 line M is completed automatically based on resident state entered 2 Schedule R R R2 R3 Determine related organizations disre garded entities and joint ventures for which reporting will be required See Sch R instructions Form 990 instruc tions Appendix F Disregarded Entities and Joint Ventures 3 Part VII Section A OFF 4 Part VIII IX and X 8 9 and 10 5 Header line G 1 Completed automatically in Drake 6 Parts III V Vil and 3 4 6 IND 11
13. 00 it can file Form 990 EZ instead Form 990 EZ Screens The following screens are specifically provided for completing Form 990 EZ They are grouped under the 990 EZ only heading of the Form 990 990EZ tab Table 1 990 EZ Screens Under Form 990 990EZ Tab Screen Title Section on Form 990 EZ 21 Part Revenue and Expenses 22 Parts ll and III Balance Sheet Accomplishments 23 Part V Other Information Page 1 24 Part VI Section 501 c 3 Only O Schedule O Supplemental Information SCH3 Other Items SCH5 Part I Line 5c C21 Unreported Activities SC40 Part Grants and Similar Amounts Paid SC42 Part Il Other Assets Liabilities Form 990 PF Form 990 PF must be filed by certain exempt private foundations see the IRS Form 990 PF instructions for specific information on who must file this form N OTE For information on signing a return prior to e filing see Part Il Signa ture Block on page 21 6 Tax Year 2013 Drake Software User s Manual Form 990 PF Form 990 PF Screens The 990 PF specific screens are located under the Form 990PF tab Figure 5 Form 990 990EZ Schedules A G Schedules H Form 990PF Form 9907 Credits Other Forms Miscellaneous States 1 Name Address General Info OFF Officers Directors Employees DEPR Depreciation and Amortization IND Contractor Compensation Main Form 990 PF Schedules Statements 51 Additional Info SCH2 General Explanation Attachment 5
14. 2 Part Revenues amp Expenses SCH3 Other Items IR AAA A SOLIS BA SRR aan oe tenn naana Figure 5 Form 990PF tab in Drake partial menu Several screens such as screen 1 the DEPR IND and OFF screens and certain schedule SCH or SC screens can also be found elsewhere in the menu as they apply for multiple forms and not just the 990 PF Recommended Order for Completing Form 990 PF The IRS recommends completing Form 990 PF in the following sequence to limit jumping from one part of the form to another Table 2 Form 990 PF Recommended Order Seq Section Screens Notes 1 IV 55 2 and Il 52 53 54 For required schedules see Part Addi tional Schedules and Part II Additional Schedules following 3 Heading 1 51 4 Wl SCH3 Select item 5 or 6 from Line Number drop list and enter a description and amount 5 VII A 57 Use screen SC57 to create a schedule for controlled entities 6 VII OFF Use the IND screen to enter data for inde pendent contractors 7 IX A through X 59 If an explanation is required for line 1e of Part X use screen SC59 Reduction Expla nation 8 XII lines 1 4 60 Line 4 is calculated automatically in Drake 9 V and VI 56 10 XII lines 5 6 n a Calculated automatically in Drake 11 Xl 60 12 XIII 61 13 VII B 58 Tax Year 2013 7 Form 990 PF Part Additional Schedules Part Il Additional Schedules Using Screen SCH2 Drake Soft
15. AGE DOWN to access Sections B and C If additional information is required for Part VI use Schedule O screen O see Schedule O Supp Info on page 20 O Screen links are available on parts of screen 7 Part Summary Number of Volunteers Line 7b Lines 8 17 The summary section of Form 990 is for information regarding the mission activities and financial results of the organization Use screen 2 to complete Form 990 Part I Summary Line 1 of the Summary section of Part I flows from screen 3 line 1 Pri mary exempt purpose Enter the number of full time and part time volunteers who provided volunteer ser vices to the organization during the reporting year A reasonable estimate is acceptable If an exact number is not known Ifthe organization wishes to provide an explanation of how the number was determined use Schedule O screen O in the program see Schedule O Supp Info on page 20 If the organization is not required to file Form 990 T enter a zero 0 for line 7b Prior year amounts are updated automatically from the previous year s return These amounts can be entered or edited on screen 2 Part IV Checklist of Required Schedules Schedules Tax Year 2013 An organization uses Part IV Checklist of Required Schedules to determine which schedules must be completed and filed with the tax return In Drake two screens con tain fields for Part IV Open screen 5 to access fields for lines 3 t
16. PAGE DOWN from screen A to access subsequent screens Schedule A Use Schedule A Public Charity Status and Public Support with Form 990 or Form 990 EZ to provide information regarding public charity status and public support Use the following screens to enter data for Schedule A e Screen A Part I Reason for Public Charity Status required by all organizations filling out Schedule A e Screen A2 Part I Line 11 Information about Supported Organizations e Screen A3 Parts Il and III Support Schedules Schedule A is required At a minimum amounts must be entered for the current year even if the amounts are zero If there are no entries for Schedule A an EF message is generated upon calcula N OTES tion and the return cannot be e filed Field and screen level help resources within the program provide valuable supplemental information and tips for completing Sched ule A in Drake Press F1 for field level help On screens A and A3 click Screen Help for screen level help Schedule B Use Schedule B Schedule of Contributors with Form 990 Form 990 EZ or Form Contributors 990 PF to provide information on certain contributions reported by the organization Schedule B is required for contributions from at least one contributor in excess of 5 000 If there are no entries for the required Schedule B fields in the program an EF message is generated and the return cannot be e filed In Drake use screen B to enter Schedule B inform
17. ademarks or registered trademarks of their respective companies Tax Year 2013 Drake Software User s Manual Supplement Non Profits Table of Contents What s New in Drake for Charities and Non ProfitS 1 New Functionality corista cob a athe daw dde ed dd 2 Getting SERA sacas tados aos aa dd is e a de ads 3 Creating a Return o 3 Updating a Prior Year Return nannan eee nett nnn teen t eens 4 Schedule O raro dd 5S 0 AAA AAA ROR Eee 4 Fom SN PEE AAA AREA 5 Fomm SA E eee eae eet eres 6 Form 990 EZ TEN ui Ati 6 E AS be snGw seen banaw ear een eeeo eens 6 Form 990 PF Screens 0 en A EE eee ne ee een n eens 7 Recommended Order for Completing Form 990 PF 2 0 0 0 nee 7 FOR 290 6 64565 5550sbb base O ones 9 Form 990 T Ces a Ge CLS CaS 9 POT 990 soci e086 654 CRON NERS ORE Kee RES ONE COTE eS S 10 Recommended Order for Completing Form 990 1 2 cece cnet enna 10 Header Information Forms 990 990 EZ 990 PF 990 T 990 N 0 cc ce ccc eee eens 11 SCHEGUIC Rua A A ti 12 Part VIL Section Ai A A A Gg Mo DE A AS oa 13 Parts VIAS A aci 13 Header Loe E tocadas 14 Parts UL V Vlad is 14 Schedule L Transactions With Interested PersonsS ooooooooooo e eee eeee 16 Part VI Governance Management and Disclosure 00 cc cece eee eens 16 Part Summary ii Dia EA cd ae 17 Part IV Checklist of Required Schedules ooooooocooorcorrr t et ee eee eens 17 Schedule ea ocr aces
18. ation Contributor information on Schedule B is not publicly disclosed N OTES If Schedule B is not required mark the check box on line IV on the lower left side of screen 1 Schedule C Schedule C is required for certain section 501 c organizations and section 527 organi Political amp zations filing Form 990 or Form 990 EZ Use the following screens for Schedule C Lobbying 18 Tax Year 2013 Drake Software User s Manual Schedule D Financial Statements Tax Year 2013 e Screen C Parts I A I B and I C Form 990 e Screen C1 Part I C line 5 names addresses and EINs of 527 organizations to which payments were made e Screen C2 Parts II A and II B e Screen C3 Parts II A and II B See the IRS form instructions for who is required to file Filers of Form 990 should use Schedule D to provide the required reporting for the categories listed in Table 5 Table 5 also shows which screens in Drake are available for completing specific information Table 5 Schedule D Items Covered and Screens Used Category Section of Screen to Use Schedule D in Drake Donor advised funds DAF s Part D Conservation easements Part Il D Certain art and museum collections Part III D2 Escrow accounts and custodial arrangements Part IV D2 Endowment funds Part V D3 Investments Land Buildings Equipment Part VI D3 Investments Land Buildings Equipment Part VI line 1e D1E Other Suppl
19. ble The selector field located at the bottom of all Data Entry Menus Figure 1 can now Selector Field Enhanced Helps search for screens by screen code name or keyword A A ETT BG 8845 Indian Employment Credit 8846 Employer FICA Taxes on Tips Frequently Asked Questions Figure 1 Searchable selector field You can still type a screen code state abbreviation or form number in the selector field and press ENTER to open a particular screen but for those times when you can t remember the screen code or form number or on which tab of the Data Entry Menu the screen is located you can now search for the screen with keywords or phrases For details see Chapter 3 Basics of the Drake Software User s Manual Tax Year 2013 When you access help in Drake 2013 you re not only given the help you need but you re also given options for learning more about the topic for which you re seeking help For instance when you click the Help button on the Data Entry Menu toolbar or when you right click any menu data entry screen or field within a data entry screen Figure 2 on page 3 you re offered a list of hyperlinks to such helpful items as e Program Help e Navigation Help e Drake s Support website e Drake s Knowledge Base KB e Drake s e Training Center e Help for the field you clicked e Screen help if available for the screen you re in Tax Year 2013 Electronic Signatures e Sign Dra
20. creen 1 shows header labels for different forms 1 not all questions are required for all forms 2 link to SCH4 3 Affiliate Ifthe 990 is a group return filed for affiliates but not all affiliates are included a list Listing of affiliates must be attached to the return Screen SCH4 is available for this purpose 990 Only and includes fields for affiliate name address and EIN Click the SCHA link on screen item 3 in Figure 7 The default data for the Name Control field on screen SCH4 is the N OTE four letter code used by the IRS to match the information to the affili ate This is an override field and must be completed if the name of the affiliate has changed since the entity s last filed return Tax Year The program uses the current calendar tax year beginning January 1 and ending December 31 by default If the organization uses a fiscal year enter the beginning and end dates in the If not calendar year box on screen 1 Figure 8 If not calendar year Fiscal year begins a ee Figure 8 If not calendar year box on screen 1 Schedule R Once you have completed the header information on screen 1 the IRS recommends completing Schedule R Related Organizations and Unrelated Partnership Schedule R is used to submit data regarding the organization s relationships with other organiza tions both taxable and tax exempt The program has three screens for Schedule R listed in Table 4 Table 4 Schedule R Screens
21. e screen SC53 for subsidiary schedule Line 13 Other investments Use screen SC53 for subsidiary schedule Line 15 Other assets Use screen SC53 for subsidiary schedule Line 20 Loans from officers directors Use screen SCS55 Line 21 Mortgages and other notes payable Use screen SC55 Line 22 Other liabilities Use screen SC53 for subsidiary schedule Screen SCH2 General Explanation Attachment allows you to attach explanations for certain parts of the Form 990 PF It is necessary to identify which part of the form is to be associated with the attached statement To select a section of a form choose an option from the Schedule drop list at the top of screen SCH2 Next write an explanation in the Explanation field Press Tax Year 2013 Drake Software User s Manual Form 990 T PAGE DOWN as needed for additional attachments Note that there is a 5 000 character limit for e filing The SCH2 screen can be used for other 990 return types Note that screens O for Schedule O Supplemental Information and SCH2 N OTES are the same See Schedule O on page 4 for more information If X General explanation attachment is selected from the Schedule drop list the attachment will be e filed with an e fileable return 990 990 EZ or 990 PF Form 990 T Form 990 T Exempt Organization Business Income Tax Return is used for e Reporting unrelated business income and tax liability e Reporting proxy tax l
22. emental financial information Parts VII through X D4 Supplemental financial statements Parts XI through XII D5 Press PAGE DOWN to go to the next Schedule D screen NOTE Note that Part VI line 1e Other requires a separate screen from the previous Part VI information Click the Line 1e detail link on screen D3 or open screen D1E To enter data for Parts VII through X go to screen D4 and select the applicable part from the Part drop list Figure 11 Schedule D Supplemental Financial Statements pt fo y VII Investments Other Securities VIII Investments Program Related X IX Other Assets IXS Other Assets less than 5 X Other Liabilities Not AA Ad A Boor Figure 11 Select the applicable part on screen D4 For parts VII through X 19 Form 990 Drake Software User s Manual Press PAGE DOWN to access a blank D4 screen and enter data for additional parts For information on completing Part XIII of Schedule D see the Schedule O Supp Info section following Schedule O The IRS provides Schedule O for filers who must include narrative information for Supp Info specific lines Use screen O to provide narrative information for Schedule O and for other schedules N OTE Screen O allows you to enter narrative information for numerous schedules not just for Schedule O To use screen O 1 Open the screen available through the Form 990 990EZ tab the Schedule H R
23. es a fiscal year the return is due by the fifteenth day of the fifth month after the accounting period ends By filing Form 8868 an organization can extend the deadline three months to August 15 for a calendar year return Form 8868 can be used to apply for an addi tional three month extension if the original three month extension was insufficient Use the 8868 screen available from the Other Forms tab to apply for an extension Select the applicable box at the top of the 8868 screen to indicate the type of extension being requested Application for Extension of Time To File an Exempt Organization Return FT Filing for an AUTOMATIC three month extension Filing for ADDITIONAL extension not automatic Type of return to be filed Y Defaults to current return type Books in care of Nain gt ss ee we O e AA Figure 13 Select the type of extension being requested If requesting an additional extension an explanation is required on the 8868 screen N OTE Form 8868 Application for Additional Extension of Time to File an Exempt Organization return can be e filed Amending a Return Indicate an amended return on screen 1 Note that an explanation is required for an amended return When you amend a return in Drake the amended information replaces the original in the data file Before amending a return CAUTI ON you should archive the original to avoid losing previously sub mitted data For more informat
24. f Form 990 comprise the financial statements for tax reporting purposes These sections are accessed from screens 8 9A 9B 10A and 10B of the program Statement of The program has two screens for Part VIII Statement of Revenue Go to screen 8 to Revenue complete items 1 and 3 through 10 Press PAGE DOWN or click the Lines 2 11 screen hyperlink to access fields for items 2 Program Service Revenue and 11 Miscel laneous Revenue Statement of Use the organization s normal accounting method to complete Part IX Statement of Functional Functional Expenses Part IX should not be used to report expenses that belong on Expenses lines 6b 7b 8b 9b or 10b of Part VIII Statement of Revenue Tax Year 2013 13 Form 990 Drake Software User s Manual Part IX has two screens to access the first screen lines 1 though 14 go to screen 9A To access the second screen lines 15 through 26 go to screen 9B or press PAGE DOWN from screen 9A Screen Help in the program provides further instructions on this section To access Screen Help click the Screen Help button on N OTES the upper right corner You can also access Screen Help by right clicking the screen and choosing Screen Help from the right click menu or by pressing CTRL ALT from the 9A or 9B screens For additional information see the IRS instructions Balance All organizations must complete Part X A substitute balance sheet cannot be used Sheet Part X has
25. for another schedule or line The codes for the O screen are preceded by the letter O To add a narrative explanation for an amended return select AMD N OTES located just before the O items in the drop list See Amending a Return on page 22 for more on amending a return To add a general explanation attachment select X located at the bottom of the drop list 20 Tax Year 2013 Drake Software User s Manual Form 990 Data entered on screen O is printed in the supplemental information section of the specified schedule For example the narrative from Figure 12 would be printed under Schedule D Part XIII Supplemental Information Part Il Signature Block The signature block on Form 990 contains fields for up to two signatures e An officer of the organization e The paid preparer if applicable If e filing enter the paid preparer and organization officer PINs on the PIN screen The applicable ERO or preparer PIN must be entered in Setup gt Preparer s or Setup gt Firm s in order to e file IM PORTANT a tax return For more information on setting up firm pre parer and ERO information in Drake see Drake Soft ware User s Manual Tax Year 2013 Note about Generally anyone who is paid to prepare the return must sign the return and fill in the Preparer ID other blanks in the Paid Preparer s Use Only area of the return An employee of a filing organization is not a paid preparer In order to ha
26. for e fil ing is 9 000 characters M PORTANT The amended return should include all information per taining to the return not just the new or corrected data Binary Attachments Binary or PDF files can be attached to certain tax forms These attachments are gen erally signature or third party documents such as a copy of a signed lease or a signed appraisal statement In some instances the IRS requires that a document be attached to an e filed return in other instances a document can be attached voluntarily to sup port or explain an entry in the return In either case a document must be in PDF for mat and attached to the return in order to be e filed with it Paper documents must be scanned into the computer to be attached Attach files through the PDF Attachments screen accessible from the Electronic Filing section on the General tab of the Data Entry Menu This PDF attachment feature is available in several packages in Drake Some of the examples shown in this section are from other packages N OTES but the feature works the same way in all packages Directions for attaching documents can also be found in the Screen Help of the PDF Attachments screen and in item L of the FAQ screen The PDF Attachment Process Three main steps are involved in the PDF attachment process in Drake 1 Creating a PDF file to be attached 2 Informing the program that a PDF file will be sent with the return 3 Attaching the PDF file for e fi
27. forma N OTE tion on specific fields in screen 1 see Header Information Forms 990 990 EZ 990 PF 990 T 990 N on page 11 Updating a Prior Year Return If you prepared the organization s tax return last year you need to update it for 2013 Prior year returns can be updated in three ways e A single return updated one at a time using Last Year Data gt Update Clients 2012 to 2013 recommended e When you open an existing prior year return for the first time in the 2013 program and are prompted to update it e With all other returns in the program using Last Year Data gt Update Clients 2012 to 2013 not recommended Drake recommends using the first option updating returns individually to ensure that you update only those items in a return that you want updated If you attempt to open a prior year 990 return that was marked as final N OTE the previous year the program informs you that the return was marked as final before it prompts you to proceed Schedule O Use screen O to provide narrative information for Schedule O and for other schedules Where in the return such information flows depends in part on which 990 type you re working on and in part on which item you select from the Schedule drop list on the O screen see Figure 3 on page 5 In general the leading letter of the selection from the Schedule drop list indicates where the information will go For instance a selection of A1 through A9 generally
28. hrough 24d Press PAGE DOWN from screen 5 to access fields for lines 25a through 37 Use the Schedules A G and Schedules H R tabs to access schedules Click a schedule letter or title to open the screen for that schedule Specific schedules can also be accessed using hyperlinks within screens Figure 10 17 Form 990 Drake Software User s Manual Part IV Checklist of Required Schedules Yes No 3 Did the organization engage in indirect political campaign activities on behalf of or in opposmon to candidates for DUDIC ONCE O C Screen Ty 4 501 c 3 Organizations Did the organization engage in lobbying activities ecccscccsssssssssssceccecsecssssssssesveseeesessssssnssnneseeseeee C3Screen P py 5 501 c 4 501 c 5 and 501 c 6 Organizations Is the organization subject to the 6033 e notice and reporting requirement and proxy tax C3 Screen Tv 6 Didthe organization have any donor advised funds or accounts where donors have the right to provide advice on the distribution or investment of amounts in such funds or accounts v T 7 Did the organization receive or hold a conservation easement including easements to AA A AAA A AAA O A A ciliate pp ene ai Figure 10 Screen 5 links to schedules Some longer schedules require more than one screen to complete N OTE For example Schedule A consists of screens A A2 and A3 You can access screens A2 and A3 from the Schedule tab or you can press
29. iability e Claiming a refund paid by either a regulated investment company RIC or a real estate investment trust REIT on undistributed long term capital gain e Requesting a credit for certain federal excise taxes that have been paid e Claiming Form 8941 credit for small employer health insurance premiums Based on the items listed above an organization may need to complete Form 990 T in addition to its 990 990 EZ 990 PF or 990 N return See Form 990 T instructions to determine if an organization is required to file Form 990 T Form 990 T cannot be e filed Form 990 T Screens All 990 T specific screens are located under the Form 990T tab Figure 6 H Form 990T Form 990 990EZ Schedules A G Schedules H R Form 990P redits Other Forms Miscellaneous States 1 Name Address General Info 80 Additional Info amp Common Credits 81 Parts amp Il Income amp Deductions 82 Part Ill Tax Computation 83 PartlV Tax and Payments 84 Part V amp Schedule A Activities amp COGS 85 Schedules C amp E 86 Schedules F amp G 87 Schedules J 8 K DEPR Depreciation Detail Form 4562 w Form 990W Estimated Tax on UBTI y FAQ Erequently Asked Questions ams e MARBAD n na dean aT Do aa A A a ar rr E Figure 6 Form 990T tab Screen 80 must include a selection for item G organization type in N OTE order for Form 990 T to be produced correctly with the appropriate tax calculated Tax Year 2013 9 Form 99
30. ion on archiving returns see Archive Manager in Chapter 6 of the Drake Software User s Manual Tax Year 2013 To provide an explanation for an amended return 1 Open screen O 2 From the Schedule drop list select AMD Amended Return Information This selection is located between the N and O items in the Schedule drop list as shown in Figure 14 on page 23 22 Tax Year 2013 Drake Software User s Manual Binary Attachments Supplemental Information and General Explanation Attachment Schedule AMD Amended return information Page 1 line 1A Third party arrangements Part I line 32b 4 No revenue reporting for contribution Part I line 33 Additional information Schedule M general Listed person s relations Pt I line 2e or Pt II line 2e Assets distribution Part I line 3 MS Amended return information Page 1 line 1A A Unze ad_businassincome_axplans Da E Officer directors etc family relationship Part VI line 2 Management duties delegation Part VI line 3 04 Organizational document changes Part VI line 4 Asset material diversion Part VI line 5 Members or stockholder classes and rights Part VI line 6 Snare tan anne nt nse qbo Siegtion for gdditional membesg Parg VI line er nn tr raros m Figure 14 The AMD selection is listed between the N and O selections 3 Enter the explanation in the text box below the drop list Character limit
31. ion on what constitutes a mission N OTE If the organization does not have a mission that has been adopted by its governing body type None as the Primary exempt purpose If you answer Yes to question 2 or 3 on screen 3 use Schedule O screen O to describe any new services or changes to services From screen 3 you can click the Sch O Screen hyperlink to access this screen See Schedule O Supp Info on page 20 for more information about filling out Schedule O in the program 14 Tax Year 2013 Drake Software User s Manual Form 990 Exempt Enter expenses revenue and a description of the exempt purpose achievements on Achievement screen 4 Examples of exempt achievements include e Providing charity care under a hospital s charity care policy e Providing higher education to students under a college s degree program the number of students served must be indicated e Making grants or providing assistance to individuals who were victims of a natu ral disaster e Providing rehabilitation services to residents of a long term care facility N OTE The Program service code drop list on line 4 of screen 4 is not used Acceptable exempt achievements do not include any achievement not substantially related to the accomplishment of the organization s exempt purpose other than by raising funds To enter a description that exceeds the allowed number of characters on screen 4 press PAGE DOWN and continue the description There is no
32. is best to compare the organization s beginning and ending balance sheet amounts for the tax year To turn off this feature for a specific return go to the PRNT screen and select Turn off autobalance Electronic Filing An organization has the option to e file Form 990 990 EZ 990 PF 990 N and related forms schedules and attachments If the organization files at least 250 returns of any type during the calendar year and has total assets of 10 million or more at the end of the tax year it is required to e file Form 990 A short period return cannot be filed electronically unless it is an initial N OTE return or a final return one of those boxes is marked on screen 1 Form 990 T cannot be e filed Steps for e filing Form 990 are the same as for e filing Form 1040 For detailed instructions on e filing returns in Drake see Drake Software User s Manual Tax Year 2013 Tax Year 2013 27 Electronic Filing Drake Software User s Manual To determine if an organization meets the 10 million asset test use the amount of total assets at the end of the year Form 990 page 11 line 16 If an organization is required to e file but does not do so it is considered not to have filed its return See Temporary Regulations section 301 6033 4T for more informa tion For additional information on the e filing requirement visit the IRS website at www irs gov Click the Filing tab then from the menu on the left click Charities amp
33. ke Software User s Manual Getting Started Part VIII Statement of Revenue Contributions Gifts Grants and Other Similar Amounts Cash Noncash aa Ecdoratod Campaigns AA A O e 10203 2030 1b Membership dues a atea O sel a ee a 1d Related organizations View Return Ctrl V 1e Government grants co Macros Ctrl Shift M 1f All other similar amoun Tate ae E 2 Program service revend E Lines 2 11 Screen Reset Field Exempt Unrelated Revenue Cut Shift Del Function Business Excluded A ae ae Revenue Revenue from Tax 3 Investment income Paste Shift Ins 1111 2222 3333 4 Income from investmen Delete Del 5 Royalities Add Worksheet Ctrl W Program Help 6a Gross rents real Calida Navigation Help 6a Gross rents personal Support Website 6b Rental expenses real P Drake Software Knowledge Base 6b Rental expenses pers Select All Drake e Training Center Ta Sales of assets not inv AE S Help for this Field N TA Sees Maneno mA l raeg Fa Screen Help Ctrl Alt 7b Cost or basis and sale NA AA re re ee Figure 2 Right click in a field to open the new right click help menu Above the user is selecting the field help for line la on screen 8 For details see Data Entry Help in Chapter 10 Resources and Support of Drake Soft ware User s Manual Tax Year 2013 Drake s 2013 tax software supports electronic signature pads
34. ling These steps are described in the following sections Tax Year 2013 23 Binary Attachments Drake Software User s Manual Creating a To create a PDF file PDF File 1 Scan the document to be attached to the return 2 Save the document to your clients DDM file your computer s desktop or any where you can readily find it TI P It s a good idea to use the DDM scanning feature for this step Adding PDF To indicate in the software that a PDF file will be sent with the return Files in Drake 1 Open the return in Drake From the Form 990 990EZ tab of the Data Entry Menu click PDF or type PDF in the selector field and press ENTER 2 Fill out the columns on the PDF Attachments screen See Table 6 for examples Table 6 PDF Attachment Window Columns Name of Column Description Examples Reference Source Name or number of regulation IRS Pub xxx 1 4 publication or form instruction that Form Instructions for 990 makes attachments necessary Description Description of form ordocumentto Title of house on Oak Street be attached Appraisal of Lot 1234 File name Distinctive easily recognizable file TitleHouseOakSt pdf name followed by paf AppraisalLot1234 pdf 3 Exit the PDF Attachments window Because you ve indicated that a PDF file is attached the program generates an EF message regarding the attachment when the return is calculated Attaching To attach a PDF file to a retu
35. m the method indicated on screen 1 Use screen 11 to answer all other items for Part XII Schedule L Transactions With Interested Persons Screen L contains fields for completing Parts I through IV of Schedule L Transac tions With Interested Persons All or part of Schedule L may be required for certain organizations that file Forms 990 or 990 EZ Schedule L is used for the following pur poses e Reporting information on certain financial transactions or arrangements between the organization and disqualified persons under section 4958 or other interested persons e Determining whether a member of an organization s governing body is an inde pendent member for purposes of Form 990 Part VI line 1b Enter the number of voting members who are independent For information on which organizations must complete all or part of Schedule L click Screen Help on the screen L or consult the IRS instructions Part VI Governance Management and Disclosure 16 Part VI Governance Management and Disclosure requests information regarding the governing body and management governance policies and disclosure practices Although federal tax law generally does not mandate particular management struc tures operational policies or administrative practices every organization is required to answer each question in Part VI Tax Year 2013 Drake Software User s Manual Form 990 Use screen 7 to access fields for Section A of Part VI Press P
36. nformation providing 20 natural disaster assistance 15 next year depreciation listing 26 O officer compensation 13 16 order for completing Form 990 10 Form 990 PF 7 organization contact information 11 other IRS filings and tax compliance 15 override of setup options 27 P partnerships unrelated Schedule R 12 PDF files e filing 23 26 PIN signatures 21 political campaigns Schedule C 18 preparer signature 21 primary exempt purpose 14 prior year returns updating 4 private foundation return Form 990 PF 6 8 proxy tax liability 9 public status amp support Schedule A 18 R real estate investment trusts REITs 9 receipts gross 14 regulated investment companies RICs 9 rehabilitation services 15 reject codes 28 related organizations Schedule R 12 required schedules checklist of 17 returns creating 3 updating from the prior year 4 revenue statement of 13 S SCH2 attachment screen 8 Schedule A Public Status and Support 18 Schedule B Schedule of Contributors 18 Schedule C Political Campaign and Lobbying Activities 18 Schedule D Financial Statements 19 Schedule L Transactions with Interested Persons 16 vi Drake Software User s Manual Supplement Non Profits Schedule O Supplemental Information 20 Schedule R Related Organizations and Unrelated Partner ship 12 schedules checklist of required 17 Selector field 2 SERVICES pages 15 setup options overriding 27 sho
37. oe gies ike jad Sith fuses Neh We ch fe teats leeks ER lo Joa N A Isis Ba 17 Part II Signature Block 05 6 nese ic cond eee Kook Sed ewes Ged webs heads abba wine Hebe Gea eda s 21 Filing ani EXTENSION lt tc ssccesseseseseetecdeeeceteeseensbecaseosecereuss 22 Amending a RetUrN nenocanis nni bese AREA A a ase 22 Binary Attachments qt 65 GEE 4 OES ARA IAEA AS 23 The PDF Attachment Process 23 Printing Generated Documents 26 Using the PRNT SCreenl ccccecedeceds criar rad 26 Suppressing Forcing Items 1 1 eree 26 Overriding Other Setup Options 0 0 0 ccc eee eee e tent enna 27 Turn Off Autobalance a a ads 27 Electronic PUDO sidra iris aras ici ed 27 IRS Error Reject Codes meo is A BV EME ise 28 Tax Year 2013 iii Drake Software User s Manual Supplement Non Profits Tax Year 2013 Charities and Non Profits 990 Data entry on a tax exempt organization 990 return is the same as data entry on the 1040 Help shortcut keys and navigation through data entry all function as they do in the 1040 See Drake Software User s Manual Tax Year 2013 for the basics of using the program What s New in Drake for Charities and Non Profits Contact Information Gains and Losses of Assets Contractor Payments Fundraising and Games Tax Year 2013 Drake programs its tax software according to the latest IRS rules and regulations The 2013 program reflects all IRS changes to credits and deductions including disc
38. on X Form 990 E Form 990 EZ ap P Form 990 PF FT Initiale I JAmended return Change 2 Change in name Initial return of a former public charity XII G J Accounting method ln A ae we NA Ww lH 21 Mark this box if organiGation is NOT required to fl 7 Schedule B Figure 4 Begin by selecting N Form 990 N from the Form drop list on screen 1 2 At the bottom of the General Information section mark the 990 N Only check box to indicate that the organization s gross receipts are normally not more than 50 000 item 2 in Figure 4 3 Go to the OFF screen and complete the Name and Title fields enter an address or select the Use entity address check box and for at least one officer select Principal officer Tax Year 2013 5 Form 990 EZ Drake Software User s Manual Once any EF messages have been eliminated the 990 N information can be e filed A Form 990 N Information page will be generated with the return for informational and bookkeeping purposes N OTE For information on signing a return prior to e filing see Part Il Signa ture Block on page 21 Form 990 EZ Certain organizations can file Form 990 EZ Short Form Return of Organization Exempt From Income Tax instead of Form 990 If an organization s gross receipts total amounts received from all sources during its annual accounting period are less than 200 000 and total assets at year end are less than 500 0
39. ontinu ations For specific details to the IRS s changes see the IRS instructions for individual forms for tax exempt organizations For a complete list of all the changes the IRS has made to Forms 990 see the What s New section of the IRS instructions The following section explains the main change to the 990 package for 2013 New e mail address phone number and fax number fields for the organizatrions have been added to screen 1 Name Address General Information These fields are for reports only and not included in the e file record A Term drop list was added to screen SCHS for describing property gained or sold as long term or short term for Form 990 PF Return of Private Foundation and Form 990 EZ Short Form Return of Organization Exempt From Income Tax Screen IND used for entering payments to independent contractors now includes fields for entering foreign addresses Line 3 of Part 1 of Schedule G Information Regarding Fundraising or Gaming was moved from screen G to screen G2 and expanded to allow inclusion of 30 individual states and countries in which the organization is registered to solicit contributions or is exempt from registering to solicit contributions Line 9 of screen G2 was also expanded to include 30 states What s New in Drake for Charities and Non Profits Drake Software User s Manual New Functionality Other changes made to the functionality of the Drake Software package include Searcha
40. rn Documents to the Return 1 From the return click View If anything was entered in the PDF Attachments window see Adding PDF Files in Drake previously there will be two PDF related items in the View Print window e An EF MESSAGES alert item 1 in Figure 15 on page 25 e An Attach PDF button on the toolbar item 2 in Figure 15 on page 25 24 Tax Year 2013 Drake Software User s Manual Tax Year 2013 Binary Attachments es E A 3 we gt Data Entry Print Sign Setup Archive Email O F Refresh Basic View Attach PDF Help ER Select Forms to View Print 2 T ENGAGE Ja LTR_FED_255 oof 2 LTR_FED_255 of LTR_FED_255 All Forms Sets EF Federal Notes Messages ELECTRONIC FILING MUST be corrected before electr Name s e_J LETTER Tax Exempt Organization ti PREPPROOF a LETTER2 M PRIVACY 1512 ATTACHING PDF DOCUMENTS TO THE RET E H A the PDF documents listed on the PD gt rd pt meti Stetson again a ante eet Figure 15 The red MESSAGES page and the Attach PDF button 2 Click MESSAGES to view EF messages including information on how to attach the required documents to the return 3 Click Attach PDF item 2 in Figure 15 The EF PDF Attachments window Figure 16 displays the information entered on the PDF Attachments window in data entry A red X means the document has not been attached a green check mark indicates an attached document
41. rt form returns Form 990 EZ 6 signature block 21 statement see also financial statements of functional expenses 13 of program service accomplishments 14 of revenue 13 summary on Form 990 Part I 17 report printing 26 supplemental information Schedule O 20 suppressing commas 27 T tax compliance statements Part V of Form 990 15 excise credit for 9 liability reporting 9 year specifying a 12 transactions Schedule L 16 type of form selecting 11 U unrelated business income reporting 9 updating a prior year return 4 V volunteers 17 Tax Year 2013
42. s B C and D of Form 990 Part IX if the organization is not a 501 c 3 or 501 c 4 organization Only Column A Total expenses would be generated for this section of Form 990 e Data for non required fields on Form 990 T of gross receipts are 10 000 or less Overriding Other Setup Options Filing instructions federal and state and envelope coversheets organization IRS and state can be either forced or suppressed from the PRNT screen to override the global setting in Setup A default due date for filing is printed on all letters and filing instructions N OTE generated with a return You can override the default date by entering an alternate due date in the Due date to print on letter and filing instructions field on the PRNT screen You can also enter the date to be printed on the return In Setup gt Options gt Optional Items on Return you can indicate if the return should have no date or if it should have the current system date Use the PRNT screen to override the setup option choice for a return Turn Off Autobalance Autobalance forces the balance sheet to balance for both the beginning and end of year amounts by adjusting net assets or fund balance The program makes the adjustments due to differences in the balance sheet Incorrect data entry could cause these differences but they are usually the result of amounts being erroneously deleted or changed from the balance sheet screens To reconcile the differences it
43. ss income returns Form 990 T 9 C charity care for hospital 15 checklist of required schedules 17 commas suppressing 27 compensation of officers etc 13 16 contributors Schedule B 18 coversheets options for 27 creating a new return 3 credit for excise taxes 9 D date to print on return 27 depreciation listing 26 diagnostic summary printing a 26 E e filing and PIN signatures 21 Tax Year 2013 Index Form 990 N e Postcard 6 Form 990 T not e fileable 9 PDF files 23 26 process 27 e Postcards Form 990 N 5 error reject codes 28 exempt achievement 15 purpose 14 expenses statement of 13 extension filing an 22 F filing an extension 22 instructions options for 27 final returns 4 financial statements and reporting Form 990 Part XI 16 on Schedule D Form 990 19 fiscal year indicating a 12 foreign addresses 11 Form 8868 Application for Extension 22 Form 990 Return of Org Exempt from Income Tax 10 21 Form 990 EZ short form return 6 Form 990 N e Postcard 5 Form 990 PF private foundations 6 8 Form 990 T business income returns 9 form type selecting a 11 functional expenses 13 G governance management amp disclosure 16 gross receipts 14 H header information 4 11 higher education provision of 15 L lobbying activities Schedule C 18 long term care services provision of 15 Index N Name Control field screen 1 12 name of organization 11 narrative i
44. supplements for 1120 1120S or 1065 returns Using the PRNT Screen Use the PRNT screen accessible from the Form 990 990EZ and Miscellaneous tabs to override most program defaults Suppressing Forcing Items To suppress or force printing of certain items go the PRNT screen and select the desired options Selections override the options established in Setup For more on set ting up options globally in Drake see Drake Software User s Manual Tax Year 2013 The following items can be forced from the PRNT screen see Figure 17 e Diagnostic summary report listing the forms calculated and providing a brief sum mary of the return e Next year depreciation listing for the organization e Indication on the return that the organization has changed its accounting period e Preparer s name in the Preparer s signature line for preparer and client copies of a return that has been e filed Items to Print M Summary M Next year depreciation listing Change in accounting PIN for preparers alternative electronic signature Items to Suppress I Commas Form 990 Part IX print only column Aif not 501 c 3 or 4 M 990 T Gross receipts 10 000 or less Figure 17 PRNT screen options The following items can be suppressed from the PRNT screen of a 990 return see Figure 17 26 Tax Year 2013 Drake Software User s Manual Electronic Filing e Commas in the amounts printed on the forms e Column
45. two screens screen 10A lines 1 through 15 and 10B lines 17 through 32 You can access screen 10B from screen 10A by pressing PAGE DOWN Some end of year amounts require separate schedules Screens for N OTE these schedules can be accessed by clicking the applicable links on screens 9A 9B 10A 10B and 11 Header Line G The program calculates line G gross receipts of the form header automatically based on the information entered in on screen 8 including the linked Line 2 11 Screen Parts Ill V VII and XI Once you have completed Box G of the header the IRS recommends completing Parts MI V VII and XI of Form 990 screens 3 4 6 IND and 11 Purpose amp Part III Statement of Program Service Accomplishments requires that the organiza Achievement tion report its new ongoing and discontinued exempt purpose achievements along with any related revenue and expenses In Drake Part II of Form 990 consists of two screens Use screen 3 to answer items 1 through 3 exempt purpose Use screen 4 to complete the line 4 items exempt pur pose achievements From screen 3 you can access screen 4 by pressing PAGE DOWN Exempt Use the Primary exempt purpose field on screen 3 to describe the organization s Purpose mission The mission statement can address why the organization exists what it hopes to accomplish whom it intends to serve and activities it will undertake and where See IRS instructions for further informat
46. ve the preparer ID number PTIN or SSN printed in the applicable space on the return the preparer must e Sign the return in the space provided for the preparer s signature e Enter the preparer information e Give a copy of the return to the organization Preparing 990 Any 990 returns including 990 EZ 990 PF 990 N and 990 T prepared in Drake returns in Software will have the preparer s PTIN printed in the Paid Preparer s Use Only sec Drake tion of the return automatically The only return in which the preparer s SSN will be printed in the Paid Preparer s Use Only section is one that meets these conditions e The Section 4947 a 1 check box on screen 1 is marked e Line 12a of Part 5 screen 6 press PAGE DOWN is marked Yes for 990 return e Line 43 of screen 23 is marked for 990EZ return e Line 15 of screen 57 is marked for 990PF return e There is no PTIN entered for the preparer in Setup gt Preparer s or no PTIN entered on the PREP screen The IRS is not authorized to redact delete the paid pre parer s SSN if the SSN is entered in the paid preparer s M PORTANT block Form 990 is a publicly disclosable document Any paid preparer whose ID number must be listed on Form 990 may wish to apply for and obtain a PTIN using Form W 7P Tax Year 2013 21 Filing an Extension Drake Software User s Manual Filing an Extension Calendar year returns are due on May 15 2014 Ifan organization us
47. ware User s Manual Table 2 Form 990 PF Recommended Order This information on completing Form 990 PF is also available from N OTE the FAQ screen item K Recommended Order for Completing Form 990 PF Additional schedules may be needed to complete the following lines from Part I 2 in Table 2 Line 6a Net gain or loss from sale of assets not on line 10 Use screen SCHS Line 10 Gross profit or loss Use screen SCH7 Line 11 Other income Use screen SC50 for subsidiary schedule Line 18 Taxes Use screen SC50 Line 19 Depreciation Use screen DEPR for depreciation schedule The lines for Net Investment income and Adjusted net income on the DEPR screen are required for columns B and C of page 1 of Form 990 PF Line 23 Other expenses Use screen SC50 for subsidiary schedule use screen DEPR for amortization schedule The lines for Net Investment income and Adjusted net income on the DEPR screen are required for columns B and C of page of Form 990 PF Additional schedules may be needed to complete the following lines from Part II 2 in Table 2 on page 7 Line 6 Receivables due from officers directors Use screen SC14 Line 7 Other notes loans receivable Use screen SC14 This produces state ment STM 135 and or screen SCH3 This produces statement STM 113 Lines 10a 10c Investments Use screen SC54 Line 11 Investments land buildings Us
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