It is critical for charities and their boards to maintain documentation regarding their exempt activities. This includes board minutes, financial records, receipts, and other documents related to its activities. In PLR 201102065, the IRS revoked the tax-exempt status of a charity that failed to provide any documentation that proved it conducted charitable activities for the audit period. Although this is an extreme case, it is a reminder for all boards to document through minutes their meetings and decisions, and organizations to maintain documents related to their exempt activities, including documents necessary to prepare Form 990. You never know when the IRS or state Attorney General may require a charity and its board to account for its activities.