No Brainer

If your chapter’s Total Closing Balance as of December 2018 was less than your chapter’s Total Closing Balance as of your last bank statement (September or October 2019), then your chapter has made a profit and will be liable for taxes for 2019.

For example, if your chapter’s Total Closing Balance as of December 2018 was $681.02, and if your chapter’s Total Closing Balance as of October 2019 is $1,111.02, you have made $430 in profit so far this year. To avoid a tax liability, you could spend $430 on the members before the end of December.

We strongly encourage you to add the ending balances from your bank statements into this same formula and see if your chapter has made a profit.

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