North Carolina Arts In Action Inc
North Carolina Arts In Action Inc faces recent operating deficit and increased liabilities despite long-term revenue growth.
EIN: 203029784 · Durham, NC · NTEE: A62 · Updated: 2026-03-28
Is North Carolina Arts In Action Inc Legit?
Some Concerns
Assessment based on IRS 990 filings, spending patterns, and AI analysis. Not a guarantee of legitimacy. Full charity check →
North Carolina Arts In Action Inc directs 80% of its spending to programs. This exceeds the industry benchmark of 65%, indicating strong mission focus.
About North Carolina Arts In Action Inc
North Carolina Arts In Action Inc (EIN: 203029784) is a nonprofit organization based in Durham, NC, classified under NTEE code A62. The organization reported total revenue of $801K and total assets of $1.0M according to its most recent IRS 990 filing. This transparency report provides an AI-powered analysis of North Carolina Arts In Action Inc's financial health, spending patterns, executive compensation, and overall mission effectiveness based on publicly available IRS data.
Organization Overview
North Carolina Arts In Action Inc is a small nonprofit that has been operating for 21 years, with 13 years of IRS 990 filings on record (2011–2023). Revenue has grown at a compound annual rate of 12.4%.
Key Financial Metrics (2023)
From the most recent IRS 990 filing on record:
| Total Revenue | $568K |
| Total Expenses | $797K |
| Surplus / Deficit | $-229,433 |
| Total Assets | $349K |
| Total Liabilities | $685 |
| Net Assets | $348K |
| Operating Margin | -40.4% |
| Debt-to-Asset Ratio | 0.2% |
| Months of Reserves | 5.3 months |
Financial Health Grade: B
In 2023, North Carolina Arts In Action Inc reported a deficit of $229K with expenses exceeding revenue, holds 5.3 months of operating reserves (adequate), has a debt-to-asset ratio of 0.2% (very low leverage).
Financial Trends
Over 13 years of filings (2011–2023), North Carolina Arts In Action Inc's revenue has grown at a compound annual growth rate (CAGR) of 12.4%.
| Year | Revenue Change | Expense Change | Asset Change |
|---|---|---|---|
| 2023 | -7.5% | +35.3% | -40.8% |
| 2022 | -14.1% | +34.1% | +5.0% |
| 2021 | +32.8% | -16.6% | +101.5% |
| 2020 | +10.6% | +9.7% | +4.3% |
| 2019 | +14.1% | +15.3% | +1.3% |
IRS Tax-Exempt Classification
| IRS Classification Codes | 2000 |
| IRS Ruling Date | 2005 |
Classification data from ProPublica Nonprofit Explorer. Additional BMF data may be available after enrichment.
AI Transparency Report
Mission Effectiveness Score
NonprofitSpending's AI analysis rates North Carolina Arts In Action Inc with a Mission Score of 70 out of 100 (Good). This score reflects the organization's overall financial transparency, program spending efficiency, and governance indicators derived from IRS 990 public filings.
Spending Breakdown
- admin: 10%
- programs: 80%
- fundraising: 10%
According to IRS 990 filings, North Carolina Arts In Action Inc allocates its expenses as follows: admin: 10%, programs: 80%, fundraising: 10%. With 80% directed toward programs, this reflects a strong commitment to its charitable mission.
Key Financial Metrics (2023)
From the most recent IRS 990 filing on record:
- The organization reported a deficit of $229K, with expenses exceeding revenue.
- Debt-to-asset ratio: 0.2%.
Executive Compensation Analysis
Executive compensation has consistently been reported as 0% across all available filings, indicating that no officers received compensation from the organization. This suggests a highly volunteer-driven leadership or that compensation is covered by other means, which is very lean for an organization with over $800,000 in annual revenue.
Executive compensation data is sourced from IRS 990 filings, which require nonprofits to disclose the compensation of officers, directors, trustees, and key employees. NonprofitSpending analyzes this data relative to the organization's total revenue and sector benchmarks to assess whether executive pay is reasonable.
Red Flags
The following concerns were identified during AI analysis of North Carolina Arts In Action Inc's IRS 990 filings:
- Significant operating deficit in the most recent filing (202306), with expenses exceeding revenue by $229,433.
- Sharp increase in liabilities from $12,100 in 202206 to $685 in 202306, indicating potential financial strain.
- Decrease in assets from $589,920 in 202206 to $349,072 in 202306, suggesting a depletion of reserves.
Strengths
The following positive indicators were identified for North Carolina Arts In Action Inc:
- Consistent long-term revenue growth over the past decade, indicating a growing donor base and program reach.
- Zero officer compensation reported across all filings, suggesting a strong commitment to minimizing administrative overhead and maximizing funds for programs.
- Healthy overall asset base ($1,021,570 latest available) relative to annual revenue, providing some financial cushion.
Frequently Asked Questions about North Carolina Arts In Action Inc
Is North Carolina Arts In Action Inc a legitimate charity?
Based on AI analysis of IRS 990 filings, North Carolina Arts In Action Inc (EIN: 203029784) some concerns. Mission Score: 70/100. 3 red flags identified, 3 strengths noted.
How does North Carolina Arts In Action Inc spend its money?
North Carolina Arts In Action Inc directs 80% of its spending to programs and services. The remaining budget covers administration and fundraising costs.
Are donations to North Carolina Arts In Action Inc tax-deductible?
North Carolina Arts In Action Inc is registered as a tax-exempt nonprofit (EIN: 203029784). Donations to most 501(c)(3) organizations are tax-deductible. Consult a tax professional for your specific situation.
Is North Carolina Arts In Action Inc a good charity?
North Carolina Arts In Action Inc shows strengths in its long-term revenue growth and zero officer compensation, suggesting a strong program focus. However, the significant operating deficit and increase in liabilities in the 202306 period raise concerns about recent financial stability and sustainability. A deeper dive into their detailed spending and future financial reports would be necessary to fully assess their current 'goodness' as a charity.
What caused the significant operating deficit in 202306?
The provided data does not specify the exact causes. The 202306 filing shows expenses of $797,443 against revenue of $568,010, resulting in a deficit of $229,433. This could be due to increased program costs, unexpected administrative expenses, or a temporary dip in fundraising, and would require reviewing the detailed IRS Form 990 for that period.
How does the organization plan to address the increased liabilities?
The data shows liabilities increased from $12,100 in 202206 to $685 in 202306. The provided summary does not detail the nature of these liabilities or the organization's plan to address them. This information would typically be found in the detailed financial statements within the IRS Form 990.
Filing History
IRS 990 filing history for North Carolina Arts In Action Inc showing financial trends over 13 years of public records:
Over 13 years of IRS 990 filings (2011–2023), North Carolina Arts In Action Inc's revenue has grown by 306.5%, moving from $140K to $568K. Total assets increased by 320.9% over the same period, from $83K to $349K. Total functional expenses rose by 438.9%, from $148K to $797K. In its most recent filing year (2023), North Carolina Arts In Action Inc reported a deficit of $229K, with expenses exceeding revenue. The organization holds $685 in liabilities against $349K in assets (debt-to-asset ratio: 0.2%), resulting in net assets of $348K.
| Year | Revenue | Expenses | Assets | Liabilities | Officer Comp. % | |
|---|---|---|---|---|---|---|
| 2023 | $568K | $797K | $349K | $685 | — | View 990 |
| 2022 | $614K | $589K | $590K | $12K | — | View 990 |
| 2021 | $715K | $440K | $562K | $9K | — | — |
| 2020 | $538K | $527K | $279K | $570 | — | View 990 |
| 2019 | $486K | $480K | $267K | $188 | — | View 990 |
| 2018 | $426K | $417K | $264K | $3K | — | — |
| 2017 | $365K | $345K | $251K | $0 | — | View 990 |
| 2016 | $356K | $271K | $255K | $23K | — | View 990 |
| 2015 | $282K | $165K | $275K | $129K | — | View 990 |
| 2014 | $166K | $160K | $29K | $927 | — | View 990 |
| 2013 | $187K | $211K | $23K | $723 | — | View 990 |
| 2012 | $216K | $196K | $47K | $1K | — | View 990 |
| 2011 | $140K | $148K | $83K | $58K | — | View 990 |
Year-by-Year Financial Summary
- 2023: Revenue of $568K, expenses of $797K, and assets of $349K (revenue -7.5% year-over-year).
- 2022: Revenue of $614K, expenses of $589K, and assets of $590K (revenue -14.1% year-over-year).
- 2021: Revenue of $715K, expenses of $440K, and assets of $562K (revenue +32.8% year-over-year).
- 2020: Revenue of $538K, expenses of $527K, and assets of $279K (revenue +10.6% year-over-year).
- 2019: Revenue of $486K, expenses of $480K, and assets of $267K (revenue +14.1% year-over-year).
- 2018: Revenue of $426K, expenses of $417K, and assets of $264K (revenue +16.8% year-over-year).
- 2017: Revenue of $365K, expenses of $345K, and assets of $251K (revenue +2.5% year-over-year).
- 2016: Revenue of $356K, expenses of $271K, and assets of $255K (revenue +26.1% year-over-year).
- 2015: Revenue of $282K, expenses of $165K, and assets of $275K (revenue +70.2% year-over-year).
- 2014: Revenue of $166K, expenses of $160K, and assets of $29K (revenue -11.1% year-over-year).
- 2013: Revenue of $187K, expenses of $211K, and assets of $23K (revenue -13.7% year-over-year).
- 2012: Revenue of $216K, expenses of $196K, and assets of $47K (revenue +54.9% year-over-year).
- 2011: Revenue of $140K, expenses of $148K, and assets of $83K.
View Individual Filing Years
Explore detailed financial data from each IRS 990 filing year for North Carolina Arts In Action Inc:
Data Sources and Methodology
This transparency report for North Carolina Arts In Action Inc is generated by NonprofitSpending's AI analysis engine. The data is sourced from publicly available IRS 990 filings accessed through the ProPublica Nonprofit Explorer API and IRS electronic filing records. The Mission Score, spending breakdown, and other analytical insights are produced by artificial intelligence and should be used as one of multiple factors when evaluating a nonprofit organization.
IRS 990 forms are annual information returns that most tax-exempt organizations must file with the IRS. These forms provide detailed financial information including revenue, expenses, assets, liabilities, and compensation of officers. NonprofitSpending processes this data to provide accessible transparency reports for donors, researchers, and the general public.
Disclaimer
AI-generated analysis based on IRS public records. Not financial or legal advice. Verify information directly with the organization.