It’s not a task for the faint of heart or someone without ample political organization experience.
Notes Wikipedia: “Political campaign accounting is a specialty practice area of accounting that focuses on developing and implementing financial systems needed by political campaign organizations to conduct efficient campaign operations and to comply with complex financial reporting statutes. It differs from traditional management and financial consultancy in that it incorporates election law requirements and the unique requirements of political campaigns.”
According to the American Institute of CPAs, “Every state and jurisdiction has slightly different election laws, so it is critical that a candidate research laws pertaining to getting on the ballot, gaining petition signatures and reporting campaign income and expenditures. A good campaign manager will know the campaign laws of your state and will help ensure that you meet all reporting requirements, but candidates should also hire a CPA who is experienced in campaign finances.”
That’s John Morse to a “T.” He’s worked with political campaigns and organizations in Colorado—where John works and lives.
Here’s a link to Colorado’s requirements for 527 political organizations. (Remember, this is in addition to IRS requirements.)
Here’s an IRS link detailing the rest of the United States.
Political organization accounting and compliance are critically important to success. Accounting done right can win the day. Accounting done wrong can land you in huge trouble with the IRS or state, and even the Federal Election Commission—which does have requirements tied to state as well as federal organizations. Consequences of inaccurate, incomplete, or untimely accounting reporting can include huge monetary penalties, legal prosecution, and destruction of reputation once the word gets out. John P. Morse, CPA, former Colorado Senate President, knows politics and political organization