Quote:
Originally Posted by thathottnurse
YOU were referring to a charity if you assumed it was tax exempt. Non-profit doesn't always mean tax exempt. .
|
OMG ... you used the term "charity" I didn't. Keep struggling, if you wish.
If a company is NON-PROFIT and has that status with the IRS . it pays no income tax.
Right off the IRS:
http://www.irs.gov/Charities-&-Non-P...-Organizations
"
Social Welfare Organizations
To be tax-exempt as a social welfare organization described in Internal Revenue Code (IRC) section 501(c)(4), an organization must not be organized for profit and must be operated exclusively to promote social welfare. The earnings of a section 501(c)(4) organization may not
inure to the benefit of any private shareholder or individual. If the organization engages in an
excess benefit transaction with a person having substantial influence over the organization, an excise tax may be imposed on the person and any managers agreeing to the transaction. See
Introduction to IRC 4958 for more information about this excise tax. For a more detailed discussion of the exemption requirements for section 501(c)(4) organizations, see
IRC 501(c)(4) Organizations. For more information about applying for exemption, see
Application for Recognition of Exemption.
"To be operated exclusively to promote social welfare, an organization must operate primarily to further the common good and general welfare of the people of the community (such as by bringing about civic betterment and social improvements). For example, an organization that restricts the use of its facilities to employees of selected corporations and their guests is primarily benefiting a private group rather than the community and, therefore, does not qualify as a section 501(c)(4) organization. Similarly, an organization formed to represent member-tenants of an apartment complex does not qualify, because its activities benefit the member-tenants and not all tenants in the community, while an organization formed to promote the legal rights of all tenants in a particular community may qualify under section 501(c)(4) as a social welfare organization.
An organization is not operated primarily for the promotion of social welfare if its primary activity is operating a social club for the benefit, pleasure or recreation of its members, or is carrying on a business with the general public in a manner similar to organizations operated for profit link]."
The question in this specific case is: What are the expenses making it "nonprofit"?
You really need to catch up on the news and find a CPA to advise you on tax matters.
Particularly if you think you can deduct a meal at a "nonprofit" eatery.
Stick with slinging pussy .... if you can.....
