Nonprofits are prohibited from having a substantial part of their activity devoted to political lobbying. To determine what constitutes a “substantial part,” the IRS uses a “facts and [...]
There are three types of nonprofit corporations recognized in California: religious, public benefit, and mutual benefit. While all three are different when it comes to their activities, missions, [...]
Paying careful attention to factors that may compromise an organization’s financial integrity can often take a back seat to more immediate issues. However, the cost of compromising that integrity [...]
Conflicts can arise whenever a nonprofit’s directors’ personal interests are impacted by decisions they make on behalf of the nonprofit. Undisclosed or unresolved conflicts can lead to serious [...]
Many nonprofits choose to incorporate as a nonprofit corporation. One good rationale for doing this is the more robust personal liability protections that a corporation offers to its directors. [...]
The U. S. Supreme Court recently agreed to hear a legal challenge to California’s requirement that 501(c)(3) organizations provide a list of their major donors to the California Attorney General [...]
Volunteers provide invaluable services to many nonprofits that often look for ways to reward those volunteers for their services. While certain perks such as free meals at meetings or events [...]
Volunteers are often essential to a nonprofit’s operations, and because they can be involved in almost every part of an organization’s work, volunteers can pose risks if not managed properly. [...]
The California Franchise Tax Board (FTB) recently announced several updates affecting nonprofits for 2021. These changes are effective as of January 1, 2021. FTB Form 3500 To apply for or [...]
The IRS’s Tax Exempt & Government Entities Division (TE/GE) recently issued its annual program letter outlining its areas of focus for 2021. The agency also released a new compliance website [...]