Decoding the Nonprofit Form

Download: Nonprofit Law Podcast #37 (mp3, 7:54)

Shownotes

Intro

Tim Mooney… Welcome to the Nonprofit Law Podcast
Your guide to the laws impacting nonprofits.
Shownotes…. nplawcast.com
Email the show

How you can pick up clues on the type of nonprofit you hear about in the news

This show is all about figuring out the type of nonprofit
A recent article on David Brock’s new organizational involvement spurred this:
“Brock wouldn’t detail Progressive Media USA’s strategy, and stressed that – as required by his group’s nonprofit status – the spending would be on a mix of direct electoral politics and issue ads with no direct connection to the race.” (Politico/CBSNews.com)
What type of nonprofit?
501(c)(3)? Check out their website… do they allow for charitable deductions for donations? Does the solicitation page specifically say contributions are NOT deductible?
Deductible? 501(c)(3)… likely a public charity
If not… keep looking for more clues!
Does the organization engage in ALL election activity supporting or opposing a candidate?
Probably a 527
Does it do mixed advocacy – some supporting or opposing a candidate and some not?
Probably a 501(c)(4)… Progressive Media USA might event have both a (c)(4) and an affiliated 527, so it’s not always as easy to pick out everything from one source!

Little clues here in there can lead you find out without relying on the cheat (Guidestar or a personal visit to the offices!)

Closing
Email me with questions and suggested topics
Sign up for the free NLP newsletter… every week get the shownotes and resources sent to you by email, plus get additional free content on the laws impacting nonprofits. Go to nplawcast.com/newsletter for more info and to sign up.
Need more than the podcast? Tim-Mooney.com and Beyond the Podcast at nplawcast.com
nplawcast.com

This podcast provides general information about legal topics but it is not a complete discussion of all legal issues that arise in relation to nonprofits nor is it a substitute for legal advice. This podcast does not create an attorney-client relationship. This is general legal information and the contributors make no warranties regarding the general legal information provided in this podcast , and disclaim liability for damages resulting from its use to the fullest extent permitted by the applicable law

Top 6 resources

Download: Nonprofit Law Podcast #36 (mp3, 8:39)

Shownotes

Intro

Tim Mooney… Welcome to the Nonprofit Law Podcast
Your guide to the laws impacting nonprofits.
Shownotes…. nplawcast.com
Email the show

My Top 6 Resources
This week is all “resource time” here on the podcast – my top 6 resources – 3 sites in two categories

Operational information – excellent resources for how to get things done right
Guidestar
CraigsList Foundation
BoardSource

Infrastructure organizations – operational guidance plus representation of your interests
Alliance for Justice – Nonprofit Advocacy Project and Foundation Advocacy Initiative
National Council of Nonprofit Associations (NCNA) and your state nonprofit association
Independent Sector

Closing
Email me with questions and suggested topics
Sign up for the free NLP newsletter… every week get the shownotes and resources sent to you by email, plus get additional free content on the laws impacting nonprofits. Go to nplawcast.com/newsletter for more info and to sign up.
Need more than the podcast? Tim-Mooney.com and Beyond the Podcast at nplawcast.com
nplawcast.com

This podcast provides general information about legal topics but it is not a complete discussion of all legal issues that arise in relation to nonprofits nor is it a substitute for legal advice. This podcast does not create an attorney-client relationship. This is general legal information and the contributors make no warranties regarding the general legal information provided in this podcast , and disclaim liability for damages resulting from its use to the fullest extent permitted by the applicable law

What triggers an IRS audit?
Download: Nonprofit Law Podcast #34 (mp3, 6:03)

Shownotes

Intro

Tim Mooney… Welcome to the Nonprofit Law Podcast
Your guide to the laws impacting nonprofits.
Shownotes…. nplawcast.com
Email the show

News & Notes
- Nonprofits and Elections: Balancing Personal Versus Organizational Activity on-demand video screencast is available now at nplawcast.com/beyondthepodcast.
- Newsletter subscribers… next week I’ll be releasing a free screencast on filling out the Form 990-N. If you’re not a subscriber, sign up at nplawcast.com/newsletter.

What triggers an audit?
- To determine which organizations should be targeted, experienced specialists analyze information from Forms 990 and other sources.
- This analysis will usually result in the selection of a group of returns for examination or compliance check.
- EO also reviews media reports and receives complaints from the general public and Congress about potential non-compliance by exempt organizations.
- After confirming the information, and when appropriate, these organizations may be selected for examination or to receive a compliance check. For details on how EO handles complaints about exempt organizations, see Fact Sheet 2008-13. (It goes to the Dallas field office, because Texans know how to investigate nonprofits, presumably?)
- Regardless of the process used to select returns, EO does not presume that an organization is violating the tax laws before it begins the examination or sends a compliance check letter.

Resources
IRS: FS 2008-14

Closing
Email me with questions and suggested topics
Sign up for the free NLP newsletter… every week get the shownotes and resources sent to you by email, plus get additional free content on the laws impacting nonprofits. Go to nplawcast.com/newsletter for more info and to sign up.
Need more than the podcast? Tim-Mooney.com and Beyond the Podcast at nplawcast.com
nplawcast.com

This podcast provides general information about legal topics but it is not a complete discussion of all legal issues that arise in relation to nonprofits nor is it a substitute for legal advice. This podcast does not create an attorney-client relationship. This is general legal information and the contributors make no warranties regarding the general legal information provided in this podcast , and disclaim liability for damages resulting from its use to the fullest extent permitted by the applicable law

Do we have to file a 990?

Download: Nonprofit Law Podcast #31 (mp3, 6:26)

Shownotes

Intro

Tim Mooney… Welcome to the Nonprofit Law Podcast
Your guide to the laws impacting nonprofits.
Shownotes…. nplawcast.com
Email the show

News & Notes
– Nonprofits and Elections: Balancing Personal Versus Organizational Activity on-demand video screencast is available now at nplawcast.com/beyondthepodcast.

Do all nonprofits have to file Form 990?

- No, but most do. The default is that your nonprofit will be filing a 990 about 5 months after the end of its tax year
- Who doesn’t file a Form 990?
- Small organizations
- Gross receipts of less than $100,000 and assets of less than $250,000 at the end of the year (Form 990-EZ)
- Gross receipts normally less than $25,000 (no filing necessary for FY 2007)
- For FY 2008 (next year’s filing) these organizations may be required to file an annual electronic notice – e-Postcard
- Churches and church-affiliated organizations (no filing necessary)
- Private foundations (Form 990-PF)
- Employee benefit trusts (Form 5500)
- Black lung benefit trusts (Form 990-BL)
- Special partnerships of religious and apostolic organizations (Form 1065).

Resources
IRS: EO Reporting Requirements – Annual Return Filing Exceptions

Closing
Email me with questions and suggested topics
Sign up for the free NLP newsletter… every week get the shownotes and resources sent to you by email, plus get additional free content on the laws impacting nonprofits. Go to nplawcast.com/newsletter for more info and to sign up.
Need more than the podcast? Tim-Mooney.com and Beyond the Podcast at nplawcast.com
nplawcast.com

This podcast provides general information about legal topics but it is not a complete discussion of all legal issues that arise in relation to nonprofits nor is it a substitute for legal advice. This podcast does not create an attorney-client relationship. This is general legal information and the contributors make no warranties regarding the general legal information provided in this podcast , and disclaim liability for damages resulting from its use to the fullest extent permitted by the applicable law

Reporting changes to the IRS

Download: Nonprofit Law Podcast #27 (mp3, 6:19)

Shownotes

Intro

Tim Mooney… Welcome to the Nonprofit Law Podcast
Your guide to the laws impacting nonprofits.
Shownotes…. nplawcast.com
Email the show

News & Notes
Sign up for the free NLP newsletter… every week get the shownotes and resources sent to you by email, plus get additional free content on the laws impacting nonprofits. Go to nplawcast.com/newsletter for more info and to sign up.
Nonprofits and New Media: Legal Rules for using the Internet, Podcasts and Social Networks is available. Early reviews are great, and I’m glad it’s been well-recieved. Check out the poll at the bottom of the Beyond the Podcast page at nplawcast.com and give your input on what topics you’d like covered in the some of the next BTP offerings.

New Year, New Changes?
A lot of nonprofits consider making changes to their organization – new offerings, new services, new board members… even new addresses
How do you handle letting the IRS know about these things?
Form 990 – your annual return generally contains places in the form to include any of the ordinary changes that happen with nonprofits
new address, new board members, new officers, etc.
What about bigger changes
In some instances, bigger changes require more information to supplement the 990 – for instance, if your nonprofit reincorporates, you would need to attach the new articles of incorporation to the Form 990
What about super-big changes?
If your nonprofit is changing its services or mission dramatically, it might require additional action
Private Letter Ruling – a lengthy process with the IRS asking for specific advice on a specific matter. Get a lawyer!
Another 1023 – sometimes the changes are so big that you might as well be a new organization (i.e. a totally different exempt purpose than the one you applied for recognition in the first place)
This would be due to big changes… going from private foundation to public charity, or nonrelgious organization to a religious one that is exempt from filing 990s, etc.

Resources
Exempt Organizations – Reporting Changes to IRS
Private Letter Rulings and Determination Letters

Closing

Email me with questions and suggested topics
Need more than the podcast? Tim-Mooney.com and Beyond the Podcast at nplawcast.com
nplawcast.com

This podcast provides general information about legal topics but it is not a complete discussion of all legal issues that arise in relation to nonprofits nor is it a substitute for legal advice. This podcast does not create an attorney-client relationship. This is general legal information and the contributors make no warranties regarding the general legal information provided in this podcast , and disclaim liability for damages resulting from its use to the fullest extent permitted by the applicable law.

Beyond the Podcast

Download: Nonprofit Law Podcast #26 (mp3, 5:05)

Shownotes

Intro

Tim Mooney… Welcome to the Nonprofit Law Podcast
Your guide to the laws impacting nonprofits.
Shownotes…. nplawcast.com
Email the show

News & Notes
We’re going on holiday schedule into the new year… we’ll have new editions every other week. Happy new year!
Sign up for the free NLP newsletter… every week get the shownotes and resources sent to you by email, plus get additional free content on the laws impacting nonprofits. Go to nplawcast.com/newsletter for more info and to sign up.

Beyond the Podcast
- Nonprofits are generally underserved in how they approach the regulations and laws because there’s a dearth of services out there that are reasonable for nonprofit budgets
- I’ve been very happy with the response to the show… but it’s always a bit frustrating to see the gap between what people can get between a 10 minute show and hiring a lawyer
- So, let’s fill that gap and go “Beyond the Podcast”
- The Nonprofit Law Podcast will always remain a free resource for nonprofit staff, officers and professionals. Beyond the Podcast will feature options for those who want to go “beyond the podcast” to dig into some of the topics in greater detail. It will stay low-cost – we want to make these easy for even the smallest community nonprofit to afford.
- We’ll be launching this on January 7, 2008… but if you are a newsletter subscriber you get an early shot at our first production – Nonprofits and New Media: Legal Rules for using the Internet, Podcasts and Social Networks

Nonprofits and New Media DVD
- Remember all the way back in #6 when this was announced?
- Evolved from an audioguide to a screencast… to a DVD
- 90 minutes of training
- Join Tim Mooney, a nonprofit attorney with over a decade of experience, for an overview of the laws impacting the use of new media by nonprofits. What does tax law have to say about your organization’s podcast and MySpace page? Are there federal election law implications to your get-out-the-vote efforts to your membership listserve? What kind of copyright issues does your nonprofit face when it uses other people’s photos on its blog? All of these questions, and more, on the first in NLP’s Beyond the Podcast series.
- Sign up for the NLP newsletter now and get this early plus get a $10 discount – nplawcast.com/newsletter
- Otherwise, keep your eyes peeled to nplawcast.com

Closing

Email me with questions and suggested topics
Need more than the podcast? Tim-Mooney.com
nplawcast.com

This podcast provides general information about legal topics but it is not a complete discussion of all legal issues that arise in relation to nonprofits nor is it a substitute for legal advice. This podcast does not create an attorney-client relationship. This is general legal information and the contributors make no warranties regarding the general legal information provided in this podcast , and disclaim liability for damages resulting from its use to the fullest extent permitted by the applicable law.

Election season series – voter registration and GOTV

Download: Nonprofit Law Podcast #20 (mp3, 10:39)

Shownotes

Intro

Tim Mooney… Welcome to the Nonprofit Law Podcast
Your guide to the laws impacting nonprofits.
Shownotes…. nplawcast.com
Email the show

Month long series on election activity

Focuses on public charities, other 501(c)s and 527s
Covering voter guides, debates & forums, renting mailing lists, ballot measures, and voter registration/GOTV
Why now? Many nonprofits are already planning 2008 and some are already engaged in it
Don’t do any of these things? Still important to know in case something unexpected comes up

Voter registration -registering people to vote
GOTV – getting people to the polls, or otherwise aiding them to vote

501(c)(3)s
Purely nonpartisan
One permissible goal – getting people to exercise their right to vote
Permissible to target activities if based on nonpartisan criteria like location and audience
May not target based upon the way a group votes
May target if a disadvantaged or underrepresented group or targeted group has common interest
Do discuss a broad range of issues
Don’t suggest a correct position
Vote green. Register here. – NO
You can have an impact on the decisions affecting your life. Register to vote now. – YES
Let’s get out the pro-choice vote. Register here. – NO

Other 501(c)s
Partisan “slant” ok, but it would then count towards secondary activity, so watch amount

527s
Partisan “slant” ok

Resources

AFJ’s Rules of the Game

Closing

Email me with questions and suggested topics
AP audio & handbook on using the Internet, podcasting and social networking for your nonprofit – go to nplawcast.com for details
Need more than a podcast? Tim-Mooney.com
nplawcast.com

This podcast provides general information about legal topics but it is not a complete discussion of all legal issues that arise in relation to nonprofits nor is it a substitute for legal advice. This podcast does not create an attorney-client relationship. This is general legal information and the contributors make no warranties regarding the general legal information provided in this podcast , and disclaim liability for damages resulting from its use to the fullest extent permitted by the applicable law.

Election season series – ballot measures

Download: Nonprofit Law Podcast #19 (mp3, 7:09)

Shownotes

Intro

Tim Mooney… Welcome to the Nonprofit Law Podcast
Your guide to the laws impacting nonprofits.
Shownotes…. nplawcast.com
Email the show

Month long series on election activity

Focuses on public charities, other 501(c)s and 527s
Covering voter guides, debates & forums, renting mailing lists, ballot measures, and voter registration/GOTV
Why now? Many nonprofits are already planning 2008 and some are already engaged in it
Don’t do any of these things? Still important to know in case something unexpected comes up

Ballot Measures
Also, referenda, ballot questions, bond measures, state questions, etc.
Legislation that is considered by voters
Work for or against is considered a hybrid… lobbying by tax law, election activity by state election law

501(c)(3)s
Limited capacity to work on ballot measures
Reporting requirements and registration usually required under state laws

Other organizations?
Lobbying not an issue under tax law
Reporting requirements and registration usually required under state laws

Resources

AFJ’s Rules of the Game
AFJ’s Seize the Initiative

Closing

Email me with questions and suggested topics
AP audio & handbook on using the Internet, podcasting and social networking for your nonprofit – go to nplawcast.com for details
Need more than a podcast? Tim-Mooney.com
nplawcast.com

This podcast provides general information about legal topics but it is not a complete discussion of all legal issues that arise in relation to nonprofits nor is it a substitute for legal advice. This podcast does not create an attorney-client relationship. This is general legal information and the contributors make no warranties regarding the general legal information provided in this podcast , and disclaim liability for damages resulting from its use to the fullest extent permitted by the applicable law.

Election season series – renting mailing lists

Download: Nonprofit Law Podcast #18 (mp3, 5:35)

Shownotes

Intro

Tim Mooney… Welcome to the Nonprofit Law Podcast
Your guide to the laws impacting nonprofits.
Shownotes…. nplawcast.com
Email the show

Month long series on election activity

Focuses on public charities, other 501(c)s and 527s
Covering voter guides, debates & forums, renting mailing lists, ballot measures, and voter registration/GOTV
Why now? Many nonprofits are already planning 2008 and some are already engaged in it
Don’t do any of these things? Still important to know in case something unexpected comes up

501(c)(3)s can rent their mailing lists to candidates!?
A 501(c)(3) may rent mailing lists to political candidates
Must make the list available to all candidates
IRS is likely to look less favorably on such list rentals if the 501(c)(3) does not make such lists available to the public on a regular basis on the same terms that the lists are made available to candidates
Best practices – use a list broker

Other organizations?
Less of an issue since they can support or oppose candidates
Watch out for contribution prohibitions

Resources

AFJ’s Rules of the Game
IRS Fact Sheet 2006-17

Closing

Email me with questions and suggested topics
Audio guide on using the Internet, podcasting and social networking for your nonprofit coming soon- go to nplawcast.com for details
Need more than a podcast? Tim-Mooney.com
nplawcast.com

This podcast provides general information about legal topics but it is not a complete discussion of all legal issues that arise in relation to nonprofits nor is it a substitute for legal advice. This podcast does not create an attorney-client relationship. This is general legal information and the contributors make no warranties regarding the general legal information provided in this podcast , and disclaim liability for damages resulting from its use to the fullest extent permitted by the applicable law.

Election season series – debates and forums

Download: Nonprofit Law Podcast #17 (mp3, 10:43)

Shownotes

Intro

Tim Mooney… Welcome to the Nonprofit Law Podcast
Your guide to the laws impacting nonprofits.
Shownotes…. nplawcast.com
Email the show

Month long series on election activity

Focuses on public charities, other 501(c)s and 527s
Covering voter guides, debates & forums, renting mailing lists, ballot measures, and voter registration/GOTV
Why now? Many nonprofits are already planning 2008 and some are already engaged in it
Don’t do any of these things? Still important to know in case something unexpected comes up

Debates & forums

Debate – multiple candidates on “stage” at same time
Forum – one at a time appearance

501(c)(3)s
Purely nonpartisan
Broad range of issues
Unbiased questions
Invite all viable candidates
Apply the rules fairly
Impartial moderator
Unbiased audience
Forums – no contextual favoritism
Special issue – inviting candidate for non-candidate reason (award, etc.) ok so long as it is not timed to coincide with the election

Other 501(c)s
Partisan “slant” ok, but it would then count towards secondary activity, so watch amount

527s
Forums and rallies typical

Resources

AFJ’s Rules of the Game

Closing

Email me with questions and suggested topics
Audio guide on using the Internet, podcasting and social networking for your nonprofit coming later this week – go to nplawcast.com for details.
Need more than a podcast? Tim-Mooney.com
nplawcast.com

This podcast provides general information about legal topics but it is not a complete discussion of all legal issues that arise in relation to nonprofits nor is it a substitute for legal advice. This podcast does not create an attorney-client relationship. This is general legal information and the contributors make no warranties regarding the general legal information provided in this podcast , and disclaim liability for damages resulting from its use to the fullest extent permitted by the applicable law.

Election season series – voter guides

Download: Nonprofit Law Podcast #16 (mp3, 9:10)

Shownotes

Intro

Tim Mooney… Welcome to the Nonprofit Law Podcast
Your guide to the laws impacting nonprofits.
Shownotes…. nplawcast.com
Email the show

Month long series on election activity

Focuses on public charities, other 501(c)s and 527s
Covering voter guides, debates & forums, renting mailing lists, ballot measures, and voter registration/GOTV
Why now? Many nonprofits are already planning 2008 and some are already engaged in it
Don’t do any of these things? Still important to know in case something unexpected comes up

Voter guides

501(c)(3)s
Purely nonpartisan
IRS safe harbor… reprint candidate questionnaire
No pledges
Broad range of issues
IRS: Too easy to make any candidate look good or bad when focusing on a single issue
Position on one issue should not suggest position on another
Several issues: four? five? more?
Distribute to all
Unbiased questions
No editing

Other 501(c)s
Partisan “slant” ok, but it would then count towards secondary activity, so watch amount

527s
Generally comparing and contrasting issue differences before a targeted distribution (i.e. NRA PAC comparing gun positions to NRA members)

Resources

AFJ’s Rules of the Game

Closing

Email me with questions and suggested topics
Audio guide to using the Internet, podcasting and social networking for your nonprofit – go to nplawcast.com for details next week
Need more than a podcast? Tim-Mooney.com
nplawcast.com

This podcast provides general information about legal topics but it is not a complete discussion of all legal issues that arise in relation to nonprofits nor is it a substitute for legal advice. This podcast does not create an attorney-client relationship. This is general legal information and the contributors make no warranties regarding the general legal information provided in this podcast , and disclaim liability for damages resulting from its use to the fullest extent permitted by the applicable law.

Who gets to see what?

Download: Nonprofit Law Podcast #14 (mp3, 7:21)

Shownotes

Intro

Tim Mooney… Welcome to the Nonprofit Law Podcast
Your guide to the laws impacting nonprofits.
Shownotes…. nplawcast.com
Email the show

NLP News

Now a top 15 show in iTunes… thank you listeners
Pass along the links to your colleagues who might be interested… 5-10 minutes per week, and I take requests on topics!

Listener request – who gets to see what?

- “For entertainment, some people in this town make trouble.”
- Who gets to see bylaws, articles of incorporation, minutes, financial reports, etc?
- Generally, you’re a private org and nobody has access to records other than proscribed by law
- Federal tax law… we covered in ep 4
- Virtually everything else is dependent on state and local laws
- Some states require additional disclosure through solicitation laws (ex. OR, WA)
- Even some munis require enhanced disclosure of records if you do business with them (ex. SF)
- Most states have public access to corporate records online, but not things like bylaws etc.
- Bylaws rule the rest (member or public access to records, etc.)

Tips & Best practices

- Check state and local laws
- Be very aware of solicitation registration rules
- If someone asks for records other than ones they are entitled to, and cannot show you the legal reason why they are entitled to them, you have the right to refuse the request
- Sometimes document requestors bear no ill-will (academics, etc.). Choose your battles.

Closing

Email me with questions and suggested topics
AP audio & handbook on using the Internet, podcasting and social networking for your nonprofit coming soon
Need more than a podcast? Tim-Mooney.com
nplawcast.com

This podcast provides general information about legal topics but it is not a complete discussion of all legal issues that arise in relation to nonprofits nor is it a substitute for legal advice. This podcast does not create an attorney-client relationship. This is general legal information and the contributors make no warranties regarding the general legal information provided in this podcast , and disclaim liability for damages resulting from its use to the fullest extent permitted by the applicable law.

The different flavors of nonprofits

Download: Nonprofit Law Podcast #5 (mp3, 07:40)

Shownotes

Intro

Tim Mooney… Welcome to the Nonprofit Law Podcast
Your guide to the laws impacting nonprofits.
Shownotes…. nplawcast.com
Email the show

Common characteristics

All are tax exempt
All have some kind of legal form in a state
These are federal tax law designations (numbers correspond to the tax code)

Public charities – 501(c)(3)

Support “charitable, religious, educational, scientific, literary, testing for public safety, fostering national or international amateur sports competition, and the preventing cruelty to children or animals.”
Have a certain level of public support (many small contributors… this is a future show!)
Donors get tax deductions
No support or opposition to candidates (future show)
Limited lobbying (future show)

i.e. Red Cross, American Cancer Society, etc.

Private foundations – 501(c)(3)

Same as a public charity, but they get their money from a limited source (can’t show public support)
i.e. Bill and Melinda Gates Foundation, Ford Foundation, etc.

Social Welfare – 501(c)(4)

Donors do not get tax deductions
Unlimited lobbying… tend to be advocacy groups
Limited election work (secondary activity)
i.e. Sierra Club, …

Unions and Labor Organizations – 501(c)(5) and Trade Associations – 501(c)(6)

Same rules as 501(c)(4)s

Political Organizations – 527s

PACs, political parties, formerly “Stealth PACs”
All activity goes towards the election or defeat of a candidate or ballot measure
VERY complicated because of the overlay with state or federal election laws
If you wade in this thicket, make sure you have a lawyer advising you!

Resources

AFJ – The Connection
IRS – Nonprofit index

Closing

Email me with questions and suggested topics
AP audio & written guides coming soon
Need more than a podcast? Tim-Mooney.com
nplawcast.com

This podcast provides general information about legal topics but it is not a complete discussion of all legal issues that arise in relation to nonprofits nor is it a substitute for legal advice. This podcast does not create an attorney-client relationship. This is general legal information and the contributors make no warranties regarding the general legal information provided in this podcast , and disclaim liability for damages resulting from its use to the fullest extent permitted by the applicable law.