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The attached paper appeared in "Turning Administrative Systems Into Information Systems: 1998-1999," the 6th publication of the IRS Statistics of Income Division in the IRS Methodology Report Series.
The paper compared the NTEE purpose/activity codes given by the IRS with codes independently assigned by NCCS staff. Key findings:
- Approximately 70% were classified the same.
- 81% of organizations were classified with the same NTEE major group. (The specific NTEE within the groups may have differed.)
- When including verifications rated at "fair" as well as "high confidence," the percentage increases to 88%.
- For organizations with more than $10 million in total assets, 89-93% were classified correctly, depending on whether one includes both the "fair" and "high confidence" rating, or only the "high confidence" one.
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