Beneficial Ownership Reporting Under the Corporate Transparency Act
The CTA introduces new beneficial ownership reporting requirements for U.S. companies. Tax-exempt organizations are exempt from reporting.| Charity Lawyer Blog
The CTA introduces new beneficial ownership reporting requirements for U.S. companies. Tax-exempt organizations are exempt from reporting.| Charity Lawyer Blog
Learn what donor gift restrictions and permissible and what nonprofits should watch for before accepting a gift.| Charity Lawyer Blog
Nonprofits considering dissolution are thinking creatively about nonprofit affiliations to survive tough times.| Charity Lawyer Blog
When considering whether to rely on MOUs versus contracts, a better practice is to use a non-binding MOU as a prelude to a binding contract.| Charity Lawyer Blog
Directors of nonprofit corporations have fiduciary duty of loyalty which includes the duty to keep board deliberations and materials confidential.| Charity Lawyer Blog
Many directors worry about nonprofit director liability when joining a board. Can nonprofit directors be held leable for an insolvent nonprofit's debts?| Charity Lawyer Blog
Sometimes no good deed goes unpunished. In this case, the board and staff of both nonprofits did a great job of putting their mission and beneficiaries first, only to be ambushed by their lack of stakeholder communication and buy-in.| Charity Lawyer Blog
Case study of successes, disappointments and lessons learned from a successful merger of two human service organizations.| Charity Lawyer Blog
Derived from “IRS Publication 557: Tax-Exempt Status for Your Organization (1997)” Note: This table may not include every type of organization that| Charity Lawyer Blog
The US Constitution establishes a system of checks and balances to prevent any single branch from accumulating excessive power, ensuring a balance that protects individual rights.| Charity Lawyer Blog
The IRS issued an advance copy of Rev. Proc. 2014-11 (Procedure), allowing organizations whose tax-exempt status has been revoked to file annual returns.| Charity Lawyer Blog
The Arizona Legislature recently passed S.B. 1496, amending the Qualifying Charitable Organization (QCO) statute effective October 1, 2025. These changes to the QCO qualification rules are significant for nonprofits that rely on Arizona’s tax credit program to attract donations. Below we break down what changed, why it matters, and what your organization should do next. What […]| Charity Lawyer Blog
A roadmap to properly dissolving a nonprofit corporation in Washington in a manner that protects the directors and officers.| Charity Lawyer Blog
A roadmap to properly dissolving a nonprofit corporation in Washington in a manner that protects the directors and officers.| Charity Lawyer Blog
What is the difference between a nonprofit asset purchase vs merger? This post disccusses that and breaks down the pros & cons.| Charity Lawyer Blog
Organizations typically consider a legal audit when new management takes over and wants to ensure they are starting with a clean slate or the in the wake of a costly mistake.| Charity Lawyer Blog
Make sure advisors are licensed to provide the type of assistance they are offering, have specific experience representing nonprofits, and are in fact representing you rather than helping you to commit malpractice on yourself.| Charity Lawyer Blog
Nonprofit organizations are increasingly complex and subject to complex rules making significant demands for nonprofit directos.| Charity Lawyer Blog
One of the most essential functions of the Washington Attorney General ("AG") is investigating fraud and the misuse of charitable funds.| Charity Lawyer Blog
Explanation of charitable solicitation activities that trigger a duty for nonprofits to register before they raise funds in a state.| Charity Lawyer Blog
The new normal has nonprofits looking for virtual fundraising solutions which present many new opportunities as well as new responsibilities.| Charity Lawyer Blog
After COVID happened, starting an online fundraising campaign has been a more feasible option. Here are 4 tips to to make it a success.| Charity Lawyer Blog
Trademarking a commonplace expression is a complex and challenging process. Nonprofits should carefully consider the distinctiveness, genericness, and public policy implications before attempting to trademark commonly used phrases.| Charity Lawyer Blog
As hundreds of pink products attest, cause marketing is big business in this country. However, nonprofit and for-profit firms looking to take advantage of multi-jurisdictional fundraising and charitable sales promotions need to know that 40 states have laws regulating charitable solicitations.| Charity Lawyer Blog
A Professional Fundraising Counsel (PFC) is generally defined as a person who, for compensation, plans, manages, advises, counsels, consults or prepares| Charity Lawyer Blog
To ensure transparency, accountability, and sound decision-making, boards must establish and implement robust policies and procedures.| Charity Lawyer Blog
The trouble with obtaining grants from foundations is that you either have to be very well known, or you have to have a very strong in.| Charity Lawyer Blog
Arizona's nonprofit corporation act includes filing requirements, definitions, and other requirements covering the life of a nonprofit.| Charity Lawyer Blog
The Supreme Court, as recently as 2021, in NCAA v. Alston, has made clear that non-profit organizations are subject to antitrust laws.| Charity Lawyer Blog
Summary of Arizona Charitable Tax Credits for 2019 including links to forms and information on qualifying to receive Arizona charitable tax credit donations| Charity Lawyer Blog
Sometimes a nonprofit has an asset, such as a strong brand, valuable intellectual property, or a unique program, that is brimming with untapped potential. A for-profit company might have exactly what the nonprofit lacks: capital, commercial expertise, and market reach. Joint ventures between nonprofits and for-profits can unlock new revenue, expand audience reach, and increase […]| Charity Lawyer Blog
If you’re involved with a private foundation, you’ve likely encountered the “5% payout rule.” This well-intentioned but often perplexing regulation governs charitable giving by private foundations. In this blog post, we’ll explore the origins, rationale, and practical considerations of the 5% payout rule. The Historical Context of the 5% Payout Rule The 5% payout rule […]| Charity Lawyer Blog
On July 4, 2025, President Trump signed into law what’s been informally dubbed the “One Big Beautiful Bill”—a sweeping tax and policy package passed via budget reconciliation. While much of the press coverage has focused on the bill’s political implications and tax cuts, the nonprofit sector is left sorting through the real-world impact. Spoiler alert: […]| Charity Lawyer Blog
In a joint filing with the plaintiffs, the IRS stated that communications from a house of worship to its congregation, made in connection with religious services and through its usual channels, do not violate the Johnson Amendment. Internal communications as “family discussions” The agency described these communications as similar to a “family discussion concerning candidates.” […]| Charity Lawyer Blog
Effective July 1, 2025, Florida will roll out a sweeping new law that could have a significant impact on charities and their fundraising operations. Senate Bill 700 doesn’t just tweak existing charitable solicitation requirements. It introduces a bold new layer of scrutiny that reflects growing political interest in restricting foreign influence in civil society. Under […]| Charity Lawyer Blog
The headlines are alarming. “Senator Demands Documents from Nonprofits Over Protests.” The letters are formal, printed on Senate letterhead, and request sweeping information, donor lists, communications, financial records, all under the implied threat of further action. But here’s what’s often missing from the story: these letters are not subpoenas, and your nonprofit has rights. Related post: IRS […]| Charity Lawyer Blog
Arizona’s tax credit programs offer a unique opportunity for nonprofits to expand their fundraising by enabling taxpayers to redirect their state taxes directly to eligible organizations.| Charity Lawyer Blog
As a lawyer for non profit organizations, The Charity Lawyer Blog is a blog for tax-exempt, non-profit, and mission-based businesses.| Charity Lawyer Blog
Conflict can also ignite internally dividing members, directors, and staff into competing factions, so avoiding conflict is essential.| Charity Lawyer Blog
A plain language explanation of the advantages and disadvantages of imposing term limits on nonprofit board members' board terms.| Charity Lawyer Blog
We advise clients to leave Roberts Rules of Order out of their governing documents or, adopt them as a non-binding guideline.| Charity Lawyer Blog
Many nonprofits, especially older nonprofits, have voting members that retain the power to elect board members.| Charity Lawyer Blog
A discussion of some of the most common nonprofit legal risks and how nonprofits can avoid them.| Charity Lawyer Blog
Nonprofits are increasingly at risk for cyberattacks and must take steps to ensure the security of their data.| Charity Lawyer Blog
Explanation of how to determine if it is permissble to charge management expenses to donor restricted gifts and how to allocate expenses.| Charity Lawyer Blog
While donor-advised funds come with their advantages, donors should take steps to carefully vet and understand their chosen funds policies and practices.| Charity Lawyer Blog
Hard choices confront many nonprofits struggling to shore up flailing budgets in the wake of the pandemic.| Charity Lawyer Blog
An excess benefit transaction occurs when a 501(c)(3) public charity benefits an insider without receiving equivalent value in return.| Charity Lawyer Blog
Third-party fundraisers can be powerful fundriasing tools but only if nonprofits understand and manage the risks.| Charity Lawyer Blog
Professional fundraisers are regulated in many states and require a contract between the professional fundraiser and charitable organization.| Charity Lawyer Blog
Board members should know the intricacies of their insurance coverage, and more specifically how it limits nonprofit volunteer liability.| Charity Lawyer Blog
Whether nonprofit employees can volunteer for their employer depends on a number of factors and can be legally risky for the employer.| Charity Lawyer Blog
Tucked into the so-called “Big Beautiful Bill” (BBB), Section 70424 reinstates an above-the-line charitable deduction: $1,000 for individuals, $2,000 for couples.| Charity Lawyer Blog
An overview of best practices for nonprofit organizations recruiting, recognizing, and managing volunteers.| Charity Lawyer Blog
Volunteers can be the lifeblood of a nonprofit organization.| Charity Lawyer Blog
Plain language explanation of the terms "fiscal sponsorship" and "fiscal agency" and the important distinctions between the two.| Charity Lawyer Blog
The consequences for violating articles and bylaws include opening oneself up to derivative suits and loss of insurance coverage.| Charity Lawyer Blog
There are important legal differences between Directors of a nonprofit corporation and Trustees of a charitable trust.| Charity Lawyer Blog
The IRS has issued a new Form 1024-A for organizations that choose to apply for recognition of exempt status under Section 501(c)(4).| Charity Lawyer Blog
Penalties for a late Form 990 can be steep - up to $10,000 for entities with revenues under $1 million and up to $50,000 for everyone else.| Charity Lawyer Blog
Should you form a 501(c)(3) or a 501(c)(4) organization? We discuss the differences and pros and cons of each for your goals.| Charity Lawyer Blog
The IRS and courts distinguish sharply between lawful protest and illegal conduct, even if peaceful or principled.| Charity Lawyer Blog
Learn how nonprofits can honor donor preferences without violating anti-discrimination laws or risking tax-exempt status.| Charity Lawyer Blog
Nonprofit organizations, like other taxpayers, are required to issue Form 1099-NEC to report nonemployee compensation.| Charity Lawyer Blog
Joint ventures between nonprofits and for-profits have traditionally been most common in the healthcare field.| Charity Lawyer Blog
Merger proposals are being prompted by the reduction of funding sources, the tight economy, the need for succession planning and a desire to consolidate expenses and increase capacity.| Charity Lawyer Blog
How H.R. 9495 could threaten nonprofit organizations, free speech, and democracy by allowing the government to target tax-exempt groups it disagrees with.| Charity Lawyer Blog
To ensure a well-functioning organization, it is crucial for the Board of Directors and officers to understand their roles and how the positions complement each other.| Charity Lawyer Blog
IRS audits of tax-exempt entities focus on ensuring the tax advantages bestowed on charities are not exploited.| Charity Lawyer Blog
When setting nonprofit executive compensation, ensure executive compensation procedures are thorough, well-documented, and conflict-free.| Charity Lawyer Blog
Clarification of online fundraising registration duties for charities with a donate here button but no other fundraising activity in a state.| Charity Lawyer Blog
What many companies don't know is that cause related marketing triggers legal obligations for both the business and the charities that benefit.| Charity Lawyer Blog
Governance policies and procedures help nonprofits stay in compliance with the law and best practice and help directors satisfy their duty of care.| Charity Lawyer Blog
Clients are often concerned about liability protection for nonprofit directors and officers and limiting exposure to personal liability.| Charity Lawyer Blog
Conflicts inevitably arise. Nonprofits should adopt a Conflict of Interest Policy to navigate these situations.| Charity Lawyer Blog
In a nonprofit corporation, the duties of the Secretary are crucial to the smooth functioning of the organization.| Charity Lawyer Blog
Nonprofit bylaws are the regulations that govern how a nonprofit functions. This post discusses what areas to focus on to build better nonprofit bylaws.| Charity Lawyer Blog
Managing conflicts of interest for corporate directors and officers, nonprofit directors and officers, and Presidents.| Charity Lawyer Blog
A plain language explaination of the differences, advantages of and disadvantages of self-perpetuating boards and voting member nonprofit structures.| Charity Lawyer Blog
Nonprofits need to know how to classify workers because mislabeling an employee as an independent contractor can be costly.| Charity Lawyer Blog
How nonprofit employers can effectively manage remote employees and teams during the covid pandemic and beyond.| Charity Lawyer Blog
The IRS has announced a new relief program for employers that choose to come forward before they are audited by the IRS. This relief comes in the form of a voluntary program that permits employers to reclassify their workers and avoid being audited on payroll taxes related to misclassified workers for prior years. The program is known as the Voluntary Classification Settlement Program (Settlement Program).| Charity Lawyer Blog
Summary of law and steps nonprofits should take to protect rights when they hire a contractor to create something for the nonprofit.| Charity Lawyer Blog
Explanation of when nonprofits are permitted to use a reasonable portion of donor restricted funds to cover overhead and when they are not.| Charity Lawyer Blog
The cy pres doctrine permits the courts to modify the purpose of a charitable trust to a purpose that reasonably approximates the designated purpose.| Charity Lawyer Blog
How to structure compensation for nonprofit fundraisers in a manner that is both ethical and affordable without violating the law.| Charity Lawyer Blog
Whether the term Articles or Charter is appropriate depends on state law. A Constitution, however, is not a legally mandated document.| Charity Lawyer Blog
Public inspection is permitted of an exempt organization's last three annual returns and its exemption application.| Charity Lawyer Blog
Congress will adjourn without reaching an agreement on transfer tax legislation culminating in a messy situation for those trying to plan their estates.| Charity Lawyer Blog
A summary of laws providing protection for individuals who are volunteering their services in Washington state.| Charity Lawyer Blog
The federal government lacks the authority to unilaterally prohibit lawful DEIA efforts among private sector employers.| Charity Lawyer Blog
Dissolution is something no nonprofit board member or CEO wants to face, however, it does not have to mean failure of the nonprofit's mission. With the right strategic partner and a will to collaborate, there is nearly always a way to save the programs that provide the greatest benefit to the community.| Charity Lawyer Blog
On January 31, 2020, the IRS announced that it has released a new online version of Form 1023, reformatted for electronic filing.| Charity Lawyer Blog
Nonprofit corporations need officers to ensure effective operations, governance, stakeholder engagement, and legal compliance.| Charity Lawyer Blog
Understanding the difference between the nonprofit directors and officers can help eliminate confusion and avoid conflicts of interest.| Charity Lawyer Blog
Every fiscal year, the IRS releases guidance on its compliance priorities for tax-exempt and government entities. It is important to be updated on these changes as they occur.| Charity Lawyer Blog
Is your board a working board, a strategic board or a fundraising board? This post explains the differences and highlights the key functions of a nonprofit board.| Charity Lawyer Blog
Strategies for setting nonprofit executive compensation that reduce risk for the executive, the board, and organization.| Charity Lawyer Blog
Nonprofits must register to solicit donations, not only in their home state, but also in any state where their donors reside.| Charity Lawyer Blog
One of the fastest ways to destroy a nonprofit is for board members and the executive director to start confusing their roles.| Charity Lawyer Blog
