Ask the Accounting Community

  • 1.  Golf Outing Woes

    Posted 30 days ago
    I have an employee who wants to hold a golf outing and give the proceeds to a charitable organization.  Our company is privately held, not a 501(c)(3).  The employee elicited vendor sponsorship using our company name, but asked that the checks be sent to him and made out to him.  He didn't want the expenses for the golf outing to hit the financials.  He believed he would make enough from sponsorships to cover the expenses and then whatever is left will go to the charity.

    I know he feels that he is on the up and up, and I do too, but not only is this an accounting nightmare, it could possibly be an insurance/litigation nightmare too.

    I've explained several reasons why this is a huge no no.

    Would appreciate input from others.

    Thank you!

    LA Porte IN
    United States