Actually artbrooks, on June 22, 2001, Pennsylvania House Bill 672 was signed into law, which raised the limits as follows:

"Amends the "Solicitation of Funds for Charitable Purposes Act" by, among other things: (1) requiring that the financial report of every charitable organization that receives annual contributions of $125,000 (previously $100,000) or more be audited by an independent certified public accountant or public accountant; (2) requiring every charitable organization, with exceptions, which receives annual contributions of at least $50,000 but less than $125,000, to have a review or audit of their financial statements performed by an independent certified public accountant or public accountant; and (3) making an audit or review optional for any charitable organization that receives annual contributions of less than $50,000, or is exempted and receives annual contributions of less than $125,000. "

However, as you noted, nonprofits are still required to both file and disclose form 990 only if their income is over $25,000. So the only relevant questions are whether Digital Tradition's legal relationship to Mudcat Cafe is treated as combined income as a single non-profit entity, and if the income of Digital Tradition exceeded $25,000 in any year since it's incorporation.