Nonprofit CPA in Washington, D.C.
Audits, federal grant compliance, accounting and tax support for Washington-area nonprofits and associations that report to federal agencies, funders, members and boards.
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A nonprofit CPA for Washington, DC organizations
A Washington-area nonprofit can finish a strong program year and still spend the spring rebuilding it on paper. A federal cooperative agreement, a subaward from a national partner and a restricted foundation grant each carry their own reporting rules, and when the auditor asks for the schedule of federal awards, the answer sits in three spreadsheets.
Not every organization here runs on federal money. Many depend on gifts, dues, events and sponsorships, and many trade and professional associations in the region are 501(c)(6) organizations, not 501(c)(3) charities, with different tax questions.
RTN CPA is a certified public accounting firm serving nonprofit organizations, government agencies and districts, and small businesses. As a nonprofit CPA for Washington, DC organizations, we help leadership see what the records need to show, with nonprofit accounting that ties grant, dues and donor reporting to the general ledger.
Audit work is led by Roman Richardson, CPA, who has more than 20 years of experience focused on nonprofit organizations and governmental districts. Tax work is led by Paul J. Stroub, CPA. We work with Washington-area organizations remotely from our California offices.
Audits built for funders, members and boards
Most audit requests come from outside the finance office: a federal agency or pass-through entity, a foundation, a lender, an audit committee or the bylaws. Start with the request itself; it usually names the report and the deadline.
The engagements are not interchangeable. An audit gives reasonable assurance that the financial statements are free of material misstatement and includes testing of the underlying records. A review gives limited assurance and relies mainly on inquiry and analytical procedures. A Single Audit adds work on internal control and compliance for major federal programs.
- financial statement audits of nonprofits and associations
- Single Audits under the Uniform Guidance (2 CFR 200, Subpart F)
- compliance audits for specific awards and contracts
- reviews and compilations when an audit is not required
- internal control findings reported to management and the audit committee
Fieldwork moves faster when the year-end file already holds what auditors test first: bank and grant reconciliations, contribution and pledge support, the net asset roll-forward, the functional expense allocation and, for federal recipients, a SEFA that agrees to the general ledger. We send a request list early and flag gaps before testing begins.
An audit has to stay independent of the work it examines. If RTN CPA also keeps your books or fills a finance role, we apply the AICPA independence rules before accepting the audit, and sometimes another firm should perform it.
Talk with RTN CPA about your Single Audit or financial statement audit →
Uniform Guidance & Single Audit readiness
Federal money reaches Washington-area organizations directly from agencies, as subawards from national organizations and universities, and through state and local government agencies. Award paperwork does not always say "federal" up front, so the first job is identifying which dollars are federal awards.
The test for a Single Audit is federal awards expended, not awards received or cash collected: $1,000,000 in a fiscal year beginning on or after October 1, 2024 ($750,000 for earlier fiscal years), counting money received directly and as a subrecipient. Federal funds you pass on to chapters or partners as subawards count as expended, and the Schedule of Expenditures of Federal Awards (SEFA) must show the total provided to subrecipients for each program.
Then there is the clock: the reporting package goes to the Federal Audit Clearinghouse within 30 calendar days after you receive the auditor's report or nine months after year end, whichever is earlier. Tracking allowable costs, budget periods and indirect costs all year keeps that realistic.
- identifying direct, pass-through and subaward funding
- grant tracking by award, budget period and cost category
- allowable-cost, match and indirect cost reviews
- SEFA preparation and reconciliation to the general ledger
- subrecipient payment and pass-through records
- planning around the Federal Audit Clearinghouse deadline
Form 990 for charities and associations
Funders, members and prospective board members read Form 990. Program descriptions, governance answers and functional expenses should agree with the financial statements, and 501(c)(3) charities should check their Schedule A public support figures.
Trade and professional associations are business leagues under section 501(c)(6). Contributions to them are not deductible as charitable contributions, and if they lobby or engage in political activity they may need to notify members of the nondeductible share of dues or pay a proxy tax on Form 990-T.
DC adds its own steps. IRS recognition does not carry over automatically: an organization registers with the Office of Tax and Revenue (Form FR-500), applies for exemption on Form FR-164 at MyTax.DC.gov and renews its certificate when notified. Section 501(c)(3) organizations may qualify for exemption from DC franchise, sales and use, and some personal property taxes; other IRS-recognized exempt organizations may qualify for franchise tax exemption only. Unrelated business income stays subject to DC franchise tax.
- Form 990, 990-EZ and 990-PF
- Schedule A public support testing for 501(c)(3) charities
- Form 990-T for unrelated business income and proxy tax
- nondeductible dues and lobbying allocations for 501(c)(6) associations
- DC exemption and franchise tax questions
Accounting for grants, dues and donor gifts
If the grant manager, the bookkeeper and the board each work from a different spreadsheet, simple questions take days: how much of an award is spent, what is left in the budget period, which costs support which program. Good nonprofit accounting puts those answers in the general ledger.
Associations add their own pressure points: dues covering membership periods that cross fiscal years, conference revenue collected before the event, and sponsorships that may be part gift, part purchase. We set up accounts, schedules and a monthly close that record each stream consistently.
- monthly close, reconciliations and financial statements
- grant accounting by award and budget period
- restricted contribution and net asset tracking
- dues, conference and sponsorship revenue schedules
- functional expense and indirect cost allocation
- budget-to-actual reports for program staff and the board
Board oversight & internal controls
A board can only oversee what it is shown. A packet with a balance sheet and a cash total does not show whether federal spending is on budget or restricted funds are intact.
Lean finance teams cannot separate every duty, but controls still matter: approval limits, independent bank statement review, restricted system access, documented reconciliations and regular board reporting reduce avoidable weaknesses. Our consulting services include internal controls review, and a fractional CFO or controller can own the budget, cash forecast and board reporting without a full-time hire.
- fractional CFO and controller services
- internal controls review for small finance teams
- board and audit committee reporting packages
- budgeting, cash flow and reimbursement planning
- financial policies, approval limits and close procedures
Common gaps in grant and audit readiness
Most of these start small and surface when a report or an audit is due.
- A SEFA assembled at year end from award letters instead of the general ledger
- Federal money received through a partner that nobody recorded as federal
- Payments to chapters or partners with no subaward or pass-through records
- Indirect costs charged without a documented rate or method
- Association dues notices and lobbying costs estimated after the year closes
- Board reports that show cash but not grant spending or budget-to-actual results
Each gap can be fixed. The expense comes from finding them during fieldwork, when fixes reach back across the year and the clearinghouse deadline is already running.
How an engagement comes together
We begin with the facts: your funding sources (federal and otherwise), exempt status, where you are incorporated and active, the state of your records and your deadlines. That shows whether you need an audit, a Single Audit, a review, accounting help or advisory work, and in what order.
Scope is agreed in writing before work begins. RTN CPA brings more than 25 years of firm experience and more than 100 completed audits.
- a first call about funding, exempt status and deadlines
- a written engagement letter with a defined scope
- a document request list matched to the engagement
- findings explained to management and the board in plain language
No CPA firm can promise a clean opinion or a Single Audit without findings. We can show you where you stand before fieldwork starts.
Choose a starting point
Go straight to the service you need:
Working with organizations in DC, Maryland and Virginia
We serve nonprofits and associations in the District of Columbia, suburban Maryland and Northern Virginia. Each jurisdiction has its own rules: an organization soliciting contributions in Maryland or Virginia may need to register with the Maryland Secretary of State or Virginia's Office of Charitable and Regulatory Programs. RTN CPA also offers its services to nonprofits in these markets:
Tell us what you have been asked for
A request from a funder, a federal agency or your own board does not have to become a scramble. Tell us what you have been asked to provide, when it is due and what the records look like today.
We will tell you which engagement fits and what needs to be in place first.
Common questions from Washington organizations
Do you have an office in Washington, DC?
No. RTN CPA is a California firm with addresses in Los Angeles and Roseville. We work with organizations in DC, Maryland and Northern Virginia through secure file upload and scheduled phone or video meetings; any in-person needs are discussed when we set the scope. The District of Columbia, Maryland and Virginia each have their own rules for out-of-state CPA firms that perform audits and reviews, and we confirm an engagement meets them before accepting it.
Does every nonprofit with a federal grant need a Single Audit?
No. It depends on federal awards expended in the fiscal year, not on receiving an award: $1,000,000 for fiscal years beginning on or after October 1, 2024 ($750,000 for earlier years), including pass-through funds. Below that, the federal audit requirement does not apply that year, though records must stay available for review and a grant agreement, funder or board can still require an audit.
When is a Single Audit due, and what is the SEFA?
The reporting package (including the financial statements and the Schedule of Expenditures of Federal Awards, or SEFA) and a data collection form go to the Federal Audit Clearinghouse by the earlier of 30 calendar days after you receive the auditor's report or nine months after year end. The SEFA is your own schedule: federal programs by agency and Assistance Listing number, pass-through entities for subawards, and amounts passed to subrecipients.
We are a 501(c)(6) association, not a charity. What is different?
Associations still file the Form 990 series, but contributions to them are not deductible as charitable contributions. An association that lobbies or engages in political activity may need to tell members the nondeductible share of their dues or pay a proxy tax on Form 990-T.
What should we have ready before the first call?
Recent financial statements and trial balance, grant and contract agreements, prior audit reports and management letters, a list of federal awards with this year's spending, and your deadlines. Then the first conversation can focus on scope and timing.
Can RTN CPA help if we are not ready for an audit?
Yes. Many organizations start with accounting cleanup, grant tracking, internal controls work or a review. If we do that work, we assess independence before also accepting the audit, and another firm may need to perform it.
Call (888) 616-8070 or schedule a consultation to get started.
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