LegalEASE

LegalEASE: Notes from the Experts - Political Campaign Activity

U.S. law has not always prohibited tax-exempt charities from engaging in political campaign activities. In 1954, Congress approved an amendment by then U.S. Senator Lyndon Johnson to prohibit 501(c)(3) organizations from engaging in political campaign activity. This amendment came to be known as "the Johnson Amendment," and it is now codified in the Internal Revenue Code and accompanying Treasury regulations.

LegalEASE - Notes from the Legal Experts: Expenditure Responsibility

Expenditure responsibility, or ER, describes a set of monitoring and oversight procedures that a U.S. private foundation or donor advised fund (DAF) must follow when making grants to organizations that are not 501(c)(3) public charities or their foreign equivalents. The purpose of ER is to ensure that the grantor's funds are used exclusively for charitable purposes.

LegalEASE: Notes from the Legal Experts - When Are Income-Generating Activities Charitable?

In a previous post, we introduced the concept of "nonprofit vs. charitable" under U.S. tax law. In this post, we will further expand on the definition of charitable, and will specifically focus on income-generating activities — a common source of confusion with respect to charitable activities.

LegalEASE: Notes from the Legal Experts - Tipping from Public Charity to Private Foundation Status

As discussed in previous posts, a nonprofit organization that is organized and operated exclusively for charitable purposes may be deemed a public charity and not a private foundation under section 501(c)(3) of the Internal Revenue Code (IRC) in one of three principal ways.

LegalEASE: Note from the Legal Experts - Characterizing Income of 501(c)(3) Public Charities

In prior posts we discussed the different categories of public charities. They include publicly supported charities that qualify as such because they are both organized and operated exclusively for charitable purposes and they meet a mathematical public support test.

LegalEASE: Notes from the Experts - Hospitals and Medical Research Organizations

As discussed in other posts, a nonprofit organization that is organized and operated for charitable purposes may be deemed a public charity — and not a private foundation — if it is specifically defined in the Internal Revenue Code as a qualifying charity by the nature of its activities.

LegalEASE: Notes from the Experts - 501(c)(3) Schools

As discussed in earlier posts, a nonprofit organization that is organized and operated for charitable purposes may be deemed a public charity — and not a private foundation — if it is specifically defined in the Internal Revenue Code as a qualifying charity by the nature of its activities.

The IRS considers educational organizations to be public charities by the nature of their structured educational offerings. Such organizations need not satisfy a public support test: they will qualify by virtue of their defined status.

LegalEASE: Notes from the Experts - 501(c)(3) Churches and Religious Organizations

As discussed in earlier posts, a nonprofit organization that is organized and operated for charitable purposes may be deemed a public charity — and not a private foundation — if it is specifically defined in the Internal Revenue Code as a qualifying charity by the nature of its activities.