| Tax and Legal Compliance |
Reporting handled through University department. |
Organization is taxable unless it has formally applied to the IRS for tax-exempt status. |
| All University exemptions and tax benefits available to the campus life student group (such as non profit and tax exempt status). |
Must register with state and file annual returns independently from the University if group has more than $25,000 income. |
| If currently incorporated, need to dissolve entity and re-file final returns. |
Must handle compliance matters independently from University. |
| Liability Insurance |
Covered by University. |
If desired, need to purchase general liability insurance and possibly other forms of insurance, such as workers compensation insurance. |
| Requires formal use agreement with University Real Estate for most use of University space. The formal use agreement not required for Student Union spaces. |
| Employees |
Employees are University Employees. |
Purchase or contract payroll services from an external vendor; entity responsible for timely and accurate payroll reporting to IRS. |
| Utilize University payroll system and reporting infrastructure, no independent withholding and reporting responsibilities. |
No student FICA exemption; independent benefits programs; may purchase University Services. |
| Student FICA exemption eligibility, employment benefit programs available. |
| Payment to Vendors |
Can use University disbursement function to create payments to vendors; small vendors paid within 3 days. |
Organization would pay vendor from independent bank account; retain own check register. |
| University purchasing card may be available to facilitate purchasing process. |
Organization subject to sales tax on purchases. |
| Exemption from sales tax on University purchases. |
| General Financial Management |
Student group must have all financial transactions recorded in University's financial system; no external checking account allowed. |
Separate general ledger for organization required. |
| No independent financial statement compilation and/or independent audit requirements. |
Independent financial statement and, possibly independent audit requirements. |
| Department assumes liability for all student group activities and finances (debts). |
Not allowed to utilize University’s financial system. |
| International Travel |
Governed by the University's policy on Education Abroad Opportunities (External Link.): Addressing Health and Safety Risks. Required to purchase University mandated international travel health insurance for all international activities and receive approval from the International Travel Risk Assessment and Advisory Committee (External Link.) if planning to visit a country on the U.S Department of State Travel Warning list. |
International travel by an RSO is not be defined as University travel, RSO travel is not governed by the University's policy on Education Abroad Opportunities: Addressing Health and Safety Risks (External Link.). Coverage by the University insurance plan is optional. |
| Other |
Must be affiliated with a University department and have a faculty or staff advisor that has an on-going relationship with the group. |
No advisor required, but encouraged. |
| Allowed to represent themselves as conducting official University business. |
Not allowed to represent themselves as conducting official University business or as a unit or agents of the University. |
| Not allowed to use University letterhead, stationary, or the University wordmark (in print, clothing, email, websites, or as part of their name). |