Filing a 'Final' 990 for a NFP. Have assets that weren't fully depreciated, donated money to a NFP & they have a gain on an investment. Where should I put these items?

[wjh4848]

I am filing a 'Final' 990 for an org. that has operated for 30 years.  They have $520 in assets that weren't fully depreciated, they donated money to an NFP that took over 1 of their programs and they have a realized gain on an investment.  the Bal. St. is '0' and they have a loss on P/L.  Where should I put these items?

[qbteachmt · Accepted solution]

"How is that a Grant?"

Your NFP paid another entity. They paid for Goods and Services; or, just "gave them funds" = a Grant. That would be direct support of the other entity's program(s). If they paid them funds they would be entitled to because they took over that other program, that is a Grant to that entity for that program. If your entity had restricted funds for that program, they just relieved the restriction by providing the funds as a Grant to the entity that will now accomplish the Program's purposes. That's why it is called Expense for your entity and Income for that receiving entity.

"The F.A. that weren't fully depreciated they disposed of."

That difference would be the lost value on disposal: basis recaptured and depreciation recaptured.

[sjrcpa]

"donated money to a NFP " is a grant..

What happened to the assets that were not fully depreciated?

Realized gain on sale of investment goes on Part VIII, Lines 7a -d

[wjh4848]

Thank you for the response.
My NFP client donated to another NFP the money, they didn't receive it.  How is that a Grant?  The F.A. that weren't fully depreciated they disposed of.  They were only worth a few hundred dollars.

[sjrcpa]

When one nonprofit donates money to another it is reported on Part IX Line 1 Grants and other assistance ....
The isposed assets are reported as  a sale withg zero sale price on Part VIII Lines 7a-c

[wjh4848]

Thank you very much!

[sjrcpa]

You're welcome.