Because of a revised tax law from 2006, many nonprofit organizations across the Mid-South region are no longer tax exempt. This can have negative consequences for the organizations, and can have a negative impact on the communities they serve, as well.
Nonprofits which lost their tax-exempt status most likely did so because they did not file tax returns for three years, which was the new standard after the 2006 law took effect.
United Way’s Earned Income Tax Credit Alliance (EITCA) will conduct a workshop to help nonprofit organizations who have lost their tax-exempt status regain this important standard of operation.
The EITCA workshop will be Friday, January 20, from 10:30 a.m. until 3:00 p.m. at the Benjamin Hooks Library, 3030 Poplar Avenue, in Meeting Room C.
The number of regional nonprofit organizations that did not file for three years is in the thousands. The workshop provides an overview of what guidelines an organization needs to follow to reinstate their tax exempt status, and information on what forms needed to be filed (including 1023 and 1024 forms) with the IRS. Jeraldine Hunter, a volunteer ETICA Mobile Site Coordinator and IRS Enrolled Agent, will host the workshop.
“It is important that these not for profit organizations know that any income or donations received are no longer eligible as tax deductible contributions and their income or donations may be taxable,” Hunter said.
Hunter says that she has had many phone calls related to finding out about an organization’s status. If the organization leaders are unsure about their current exempt status, they can go this website .
Space is limited. Company representatives are asked to respond no later than January 11, 2012 to reserve seats.
For more information and to RSVP for the workshop, please contact Jeraldine Hunter at (901) 215-6005 or (901) 433-4361. Space is limited. Company representatives are asked to respond no later than January 11, 2012 to reserve seats.