Client Overview
A nonprofit organization focused on the professional development of pharmacists had failed to file its annual returns since its incorporation in 2017. This lapse posed a risk of penalties and the potential loss of the organization’s good standing with federal authorities.
Challenges
Non-Compliance with Filing Requirements: The nonprofit had multiple years of unfiled annual returns, increasing the risk of penalties.
Corporate Information Update: The organization also needed to update its corporate information with the federal registry.
Risk of Losing Good Standing: The organization faced the risk of losing its legal status if it remained non-compliant.
ClearWealth Accounting’s Approach
ClearWealth Accounting took immediate steps to restore the nonprofit’s compliance:
1. Filing Outstanding Returns: We filed the outstanding annual returns dating back to 2017, bringing the organization into compliance.
2. Updating Corporate Information: Our team ensured that the nonprofit’s corporate records, including director information, were fully updated.
3. Compliance Restoration: By addressing all outstanding issues, we restored the organization’s compliance with federal requirements.
4. Ongoing Compliance Strategy: We set up a strategy to ensure future compliance, including annual filing reminders.
Results
- Restored Compliance: The nonprofit was brought back into good standing, avoiding penalties.
- Updated Corporate Records: The organization’s records were updated to reflect current information.
- No Financial Penalties: The nonprofit avoided any financial penalties associated with its previous non-compliance.
Conclusion
ClearWealth Accounting successfully restored the nonprofit’s compliance, ensuring its continued operation and avoiding penalties. For nonprofits facing similar challenges, ClearWealth offers expert support to maintain regulatory compliance. Contact us today for assistance.
