Nonprofit Law Made Easy

NONPROFIT LAW MADE EASY......Page 3
About the Author......Page 5
Table of Contents......Page 7
Preface......Page 11
A PHILOSOPHICAL FRAMEWORK......Page 13
DEFINING NONPROFIT ORGANIZATION......Page 17
PURPOSE OF ORGANIZATION......Page 18
LOCATION OF ORGANIZATION......Page 21
SELECTION OF ORGANIZATION FORM......Page 22
NAME OF ORGANIZATION......Page 24
COMPOSITION OF GOVERNING BODY......Page 25
OFFICERS AND KEY EMPLOYEES......Page 30
MINUTES......Page 34
OTHER DOCUMENTS......Page 36
SUMMARY......Page 38
CONCEPT OF TAX EXEMPTION......Page 41
ELIGIBILITY FOR TAX-EXEMPT STATUS......Page 42
CATEGORIES OF TAX-EXEMPT ORGANIZATIONS......Page 43
SELECTION OF APPROPRIATE CATEGORY......Page 45
APPLICATION PROCESS......Page 46
TIMING......Page 48
EXCEPTIONS......Page 49
NOTICE REQUIREMENTS FOR POLITICAL ORGANIZATIONS......Page 50
PREPARATION OF APPLICATIONS......Page 51
RELIANCE ON DETERMINATION......Page 52
CHANGES IN ORGANIZATIONAL FORM......Page 53
MATERIAL CHANGES......Page 54
GROUP EXEMPTION......Page 55
SUMMARY......Page 58
DEFINING PRIVATE FOUNDATION......Page 59
DEFINING PUBLIC CHARITY......Page 60
WHAT DIFFERENCE DOES IT MAKE?......Page 63
DISQUALIFIED PERSONS......Page 64
DETERMINING PUBLIC SUPPORT—TRICKS OF THE TRADE......Page 65
FOCUS ON SUPPORTING ORGANIZATIONS......Page 70
HYBRID FOUNDATIONS......Page 74
RULES FOR NEW ORGANIZATIONS......Page 76
PRIVATE FOUNDATION RULES......Page 77
TERMINATION OF STATUS......Page 82
DONOR-ADVISED FUNDS......Page 84
SUMMARY......Page 85
FEDERAL LAW BASICS......Page 87
A MULTITUDE OF FORMS......Page 94
FORM 990 GLOSSARY......Page 95
ANNUAL INFORMATION RETURN—A LAW PERSPECTIVE......Page 99
LAW PERSPECTIVE ON PREPARATION OF RETURNS......Page 101
STATE LAW REQUIREMENTS......Page 106
WATCHDOG AGENCIES......Page 107
SUMMARY......Page 108
BASIC CONCEPTS......Page 109
DEFINING CHARITABLE GIFT......Page 110
QUALIFIED DONEES......Page 111
GIFTS OF PROPERTY......Page 112
LIMITATIONS ON DEDUCTIBILITY......Page 113
DEDUCTION REDUCTION RULES......Page 115
TWICE-BASIS DEDUCTIONS......Page 116
CONTRIBUTIONS OF VEHICLES......Page 117
PARTIAL INTEREST GIFTS......Page 118
PLANNED GIVING......Page 119
SUMMARY......Page 129
APPLICATIONS FOR RECOGNITION OF EXEMPTION......Page 131
GIFT SUBSTANTIATION REQUIREMENTS......Page 133
QUID PRO QUO CONTRIBUTIONS......Page 135
DISCLOSURE BY NONCHARITABLE ORGANIZATIONS......Page 138
DISCLOSURE OF GIFTS OF PROPERTY......Page 140
DISPOSITIONS OF CONTRIBUTED PROPERTY......Page 142
APPRAISAL REQUIREMENTS......Page 143
OFFERING OF INFORMATION OR SERVICES......Page 147
TAX SHELTERS......Page 148
SUMMARY......Page 150
STATUTORY FRAMEWORK......Page 151
AFFECTED TAX-EXEMPT ORGANIZATIONS......Page 153
CONDUCT OF BUSINESS......Page 154
REGULARLY CARRIED-ON BUSINESSES......Page 156
RELATED OR UNRELATED?......Page 157
EXEMPTED ACTIVITIES......Page 159
EXEMPTED INCOME......Page 162
EXCEPTIONS TO EXCEPTIONS......Page 163
CORPORATE SPONSORSHIPS......Page 164
INTERNET ACTIVITIES......Page 168
COMMERCIALITY DOCTRINE......Page 169
SUMMARY......Page 170
STATE REGULATION OF FUNDRAISING......Page 171
STATE CHARITABLE SOLICITATION ACTS......Page 172
STATES’ POLICE POWER......Page 179
CONSTITUTIONAL LAW CONSIDERATIONS......Page 180
FEDERAL REGULATION OF FUNDRAISING......Page 182
FUNDRAISING BY MEANS OF THE INTERNET......Page 188
SUMMARY......Page 195
FUNDAMENTALS OF BIFURCATION......Page 197
DEFINITION OF SUBSIDIARY......Page 200
DETERMINING NEED FOR SUBSIDIARY......Page 201
LEGAL FORM OF SUBSIDIARY......Page 203
TAX-EXEMPT SUBSIDIARIES......Page 204
FOR-PROFIT SUBSIDIARIES......Page 206
PARTNERSHIPS AND JOINT VENTURE BASICS......Page 209
FLOW-THROUGH ENTITIES......Page 211
PUBLIC CHARITIES AS GENERAL PARTNERS......Page 212
SUBSIDIARIES IN PARTNERSHIPS......Page 213
WHOLE ENTITY JOINT VENTURES......Page 214
ANCILLARY JOINT VENTURES......Page 215
LIMITED LIABILITY COMPANIES......Page 216
SUMMARY......Page 219
PRIMARY PURPOSE RULE......Page 221
PRIVATE INUREMENT......Page 222
PRIVATE BENEFIT......Page 228
INTERMEDIATE SANCTIONS......Page 230
LEGISLATIVE ACTIVITIES......Page 233
POLITICAL ACTIVITIES......Page 238
SUMMARY......Page 242
CONSTITUTIONAL LAW......Page 243
POSTAL LAWS......Page 247
FEDERAL ELECTION LAWS......Page 249
SECURITIES LAWS......Page 258
ANTITRUST LAWS......Page 260
MANAGEMENT OF INSTITUTIONAL FUNDS ACT......Page 263
SUMMARY......Page 264
BASICS OF CORPORATE GOVERNANCE PRINCIPLES......Page 265
EMERGING CONCEPTS......Page 266
BOARD MEMBER RESPONSIBILITIES......Page 268
LAWSUITS AGAINST NONPROFIT ORGANIZATIONS......Page 271
INDIVIDUALS AS DEFENDANTS......Page 272
PROTECTION AGAINST PERSONAL LIABILITY......Page 273
MANAGEMENT COMPANIES REVISITED......Page 278
WATCHDOG AGENCIES......Page 279
SUMMARY......Page 282
Index......Page 283