Warren Averett is an accounting and advisory firm with experts in the education industry. Our professionals bring a deeper, tailored level of expertise to educational institutions. Institutions are facing more and more complex financial issues, from the development of supplemental revenue streams to ever-changing regulatory controls and government funding changes. Warren Averett is committed to meeting the needs of educational institutions. Whether it’s working with management or Board of Trustees members, our dedicated accounting professionals will assist you in navigating issues related to financial reporting, tax-exempt status and grant compliance. By working with your educational institution, Warren Averett will find ways to help save you money, stay in compliance and plan for your future.

Contact Person:
Lee Parks
Member
334-260-2378
Lee.Parks@warrenaverett.com
www.WarrenAverett.com
3815 Interstate Court
Montgomery, AL 36109

How the CARES Act Can Help Your Nonprofit Survive and Thrive
On March 27th the president signed the Coronavirus Aid, Relief, and Economic Security (CARES) Act into law. The Act not only addresses the needs of individuals, small business and large corporations, but also provides valuable economic tools to help most nonprofits wade through this unprecedented time. The Act defines a nonprofit organization as “an organization that is described in section 501(c)(3) and 501(c)(19) of the Internal Revenue Code of 1986 and that is exempt from taxation under section 501(a) of such Code.” Therefore, the CARES Act is applicable to most charitable tax-exempt entities, while leaving other nonprofits out, including governmental entities and municipalities.

The Act includes several provisions to help nonprofits thrive through this difficult time, including the Paycheck Protection Program (PPP), which can provide organizations with funding to pay payroll costs, rent, loan interest and utilities for eight weeks. Also available are the emergency Economic Injury Disaster Loan (EIDL) grants. These loans are available to private nonprofits including private foundations, 501(c)(4) social welfare organizations and 501(c)(6) trade and professional organizations. The CARES Act also created an incentive for nonprofits designed to encourage employers to retain their employees despite potential closures and revenue shortages. The Act also allows a $300 “above-the-line” deduction for charitable contributions, allowing individuals who do not typically itemize to take advantage of the tax deduction and the limitations of deductibility of charitable giving have been temporarily decreased. The emergent changes to unemployment under the CARES Act are quite extensive and can be very beneficial to both employers and employees in maintaining financial security during this time. To find more information about COVID-19 resources to help your organization, visit https://warrenaverett.com/coronavirus.