ABSTRACT
The new IRS Form 990 relies heavily on governance to improve transparency for users, just as financial reporting is meant mainly for outsiders or users who are interested in the financial results. For nonprofit organizations, the users include donors, grantors, and regulators. In light of the focus on governance, the Board of Directors receives a good deal of attention in the new Form 990. Characteristic of a Board, from a historical perspective, is the emphasis on the Board making critical decisions, not the managers, although Board does take advice from managers.
