The IRS has announced a new procedure, Rev Proc 2024-5, facilitating the issuance of determination letters to existing 501(c)(3) organizations aiming to change their recognized
Due diligence can uncover unknown information, so thorough due diligence is important regardless of the transacting parties’ relationship, goodwill, or trust.
501(c)(3)s conducting voter registration drives requires careful planning and implementation to preserve your tax-exempt status.
The end of the year is a busy time for all organizations, and we often see important obligations slip through the cracks. Properly navigating these tasks is essential to maintaining tax-exempt status and ensuring an organization’s continued success.
Failure to register can lead to enforcement action by the Attorney General’s Office in each state where solicitation occurs.
Typically, nonprofit board members are elected for a specified period of time, called a term. Terms can be structured as either successive or staggered. Successive
Conflicts inevitably arise. Nonprofits should adopt a Conflict of Interest Policy to navigate these situations.
The determination letter is a notice sent by the IRS stating the nonprofit’s exempt status.
Tax-exempt financing offers a powerful tool for 501(c)(3) organizations to fund essential capital improvements at significantly lower interest costs compared to conventional debt options. By issuing tax-exempt bonds, organizations can tap into a pool of investors who are not subject to federal income tax on interest payments, allowing for lower interest rates.
While the calendar year is the default option, nonprofits have the flexibility to choose a different fiscal year that aligns better with their operations and reporting needs.
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