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Changes to Form 990 and How They Affect You

Sikich

Mar 7 2018

2 min read

Tax reform has brought about many changes recently, but the 2017 Form 990 and schedules have only a couple very minor updates. We’ve outlined these changes for you in an easy-to-digest format. They are mostly associated with Schedule H and Schedule R instructions, both of which are important for exempt organizations to keep at top of mind.

2017 Form 990 Changes

The minor updates include:

1.Instructions to Schedule H, part V, Section B, have been revised to reflect such Section 501(r) requirements as:

A community health needs assessment with prioritized descriptions of health needs in the community which must also now be explained,
Applying a financial assistance policy to all of those who require emergency and other medically necessary care;
- By the hospital facility,
- In the hospital facility by a partnership in which the hospital owns a capital or profits interest (unless partnership is an unrelated trade or business).

2. Schedule R instructions with a revised example that show the common control of a related organization.

There are 1,000 individuals who are members of both Organizations E and F. The members elect the board members of both Organizations E and F.

What Do These Changes Mean for You?

While Form 990 and its schedules have undergone very minor changes, it is still very important for a tax-exempt organization to understand how their form 990 was completed and why the IRS is requesting specific information on the form. The IRS is using the 990 for its data-driven approach to select organizations for audit examinations. If you need assistance completing Form 990 or understanding the questions, potential schedules or instructions, please contact your Sikich advisor.

This publication contains general information only and Sikich is not, by means of this publication, rendering accounting, business, financial, investment, legal, tax, or any other professional advice or services. This publication is not a substitute for such professional advice or services, nor should you use it as a basis for any decision, action or omission that may affect you or your business. Before making any decision, taking any action or omitting an action that may affect you or your business, you should consult a qualified professional advisor. In addition, this publication may contain certain content generated by an artificial intelligence (AI) language model. You acknowledge that Sikich shall not be responsible for any loss sustained by you or any person who relies on this publication.

About the Author

Sikich

Sikich is a global company specializing in technology-enabled professional services. With more than 1,900 employees, Sikich draws on a diverse portfolio of technology solutions to deliver transformative digital strategies and is comprised of one of the largest CPA firms in the United States. From corporations and not-for-profits to state and local governments and federal agencies, Sikich clients utilize a broad spectrum of services* and products to help them improve performance and achieve long-term, strategic goals. *Securities offered through Sikich Corporate Finance LLC, member FINRA/SIPC. Investment advisory services offered through Sikich Financial, an SEC Registered Investment Advisor. 