THE CHALLENGES OF FIDUCIARY ACCOUNTING FOR CHARITABLE GIFTS AND DONATIONS
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THE CHALLENGES OF FIDUCIARY ACCOUNTING FOR CHARITABLE GIFTS AND DONATIONS
The objectives of this study are to (1) identify the challenges faced in accounting for charitable gifts and donations, (2) assess the effectiveness of current fiduciary accounting practices, and (3) propose improvements to enhance accountability and transparency. A survey design was chosen to gather comprehensive data from fiduciary accountants. Using Taro Yamane's formula, a sample size of 120 accountants was calculated from a population of 200 in Ogun. A leading charity organization in Ogun was selected as the case study to provide contextual insights. The survey instrument’s reliability coefficient score was 0.86, indicating consistent responses. Findings indicate significant challenges in tracking and reporting charitable gifts and donations, often due to inadequate accounting systems and lack of donor transparency. The study recommends the adoption of advanced accounting software and improved donor communication to enhance the accuracy and transparency of fiduciary accounting practices for charitable gifts and donations.
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