Honors Theses
Date of Award
2009
Document Type
Undergraduate Thesis
Department
Accountancy
First Advisor
Dale Flesher
Relational Format
Dissertation/Thesis
Abstract
Reaulation of for-profit organizations and fraud within them are commonly researched areas; however, many overlook the need for adequate internal controls and reaiilation of the not-for-profit sector, particularly religious not-for-profit organizations. Fraud has been a problem in this sector for a while, but it is frequently neglected due to the false sense of security that people have when dealing with not-for-profits. The notfor- profit sector is much less regulated than the for-profit sector, and religious not-for profit organizations are not subject to any of the regulations that other not-for-profit organizations face. In order to gather appropriate data for determining ways through which fraud can be better prevented in the not-for-profit sector, an understanding of types of fraud committed and reasons for committing fraud were found through research. Cases reviewed, and the financial departments of two of fraud found through research different churches were analyzed through the questioning of the financial director and the were overview of audited financial statements. Additionally, the requirements of not-forresearched, and the new Form 990 was studied. It was found profits set by the IRS were that internal controls in churches are often lacking, especially in small churches. It was also found that religious entities are exempt from all governmental regulation, and many constitutional. In conclusion, it was decided that these argue that these exemptions are of the First Amendment to the Constitution, and they provide exemptions are a violation more opportunities for fraud in such organizations through the lack of accountability. All not-for-profit organizations should be regulated equally.
Recommended Citation
White, Sarah Catherine, "Internal Controls and Regulation of the Not-For-Profit Sector: Increasing Transparency for Churches" (2009). Honors Theses. 2155.
https://egrove.olemiss.edu/hon_thesis/2155
Accessibility Status
Searchable text