Legal Question in Business Law in Wisconsin

Nonprofit

I am in the process of applying for non-profit status. We have been creating a website and are in the process of completing a donation page and link through paypal. Paypal asks for a start date for the organization. We have been running benefits for two years and receiving privatedonations to help. Can I use the date of our first benefit as the start date or must we wait for official paperwork from the gov/irs?


Asked on 8/19/08, 8:26 am

1 Answer from Attorneys
Sean Sweeney Tosa Law Office

Re: Nonprofit

I suppose it depends on the wording of the Paypal agreement. I do not think there is one clear cut answer, but my thought would be that if it simply asks for the start date of the organization, I would put in when you first started, not when the paperwork comes back.

On a side note, I really think that you should at the very least consult with an attorney about your Non-profit. I recommend speaking with an attorney for all entities, but this holds especially true with a non-profit. Your whole business is accepting donations and providing people with a tax rightoff. If things are not set up properly, and those who donate are not able to deduct that amount, your whole business structure and model is in jeopardy.

You need to make sure that all of your "t"s are crossed and your "i"s are dotted to ensure that you maintain proper non-profit status.

Good luck to you.

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Answered on 8/19/08, 10:18 am


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