non-profits

[Ron Gatrelle]

To make sure everyone get's this post  - I am a minister.

----- Original Message -----
From: "Michael Gochfeld" <gochfeld at eohsi.rutgers.edu>
Subject: Re: non-profits


snipages
But if the "profits" are ploughed back into the
> other church activities then the whole would be tax exempt.  If it went
to buy
> the minister a third sports car or a summer retreat it would be
suspicious.

Ok, I'll stay with two and be safe.

> The exempt status lies in how the goals of the organization are
delineated and
> how the "profit" is used. It obviously can't go into the deacons'
pockets...

Absolutely, it goes to the preachers pockets!!!

>
> Finally, the by-laws of a 501(c)(3) must stipulate that if the
organization
> self-destructs, its remaining assets must be distributed to other tax
exempt
> organizations.
>

Seriously on this one.  I had thought about mentioning this point and am
glad you brought it up.  Having started 3 non profits (two religious and
one scientific) we find that the IRS actually requires very little in
structure and articles of eleemosynary incorporation.  Perhaps their top
requirement is the "dissolution clause" that must be in the articles to be
granted tax exempt status.  This is as Mike stated -- upon dissolution ALL
assets MUST be transferred to another IRS recognized non-profit.

rev Ron aka
Ron Gatrelle
TILS president
Charleston, SC - USA
http://www.tils-ttr.org



 
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