Legal Question in Business Law in Wisconsin

The arrangement you described is quite common. I see it in "Friends for the Library", "Booster Club", etc. There are two things that should be done: 1. the group ought to incorporate as a not for profit corporation in Wisconsin. 2. the new corporation should seek tax exempt status by filing with the federal government. There may be some state sales tax exemption, but that may be determined later. There is a substantial amount of paperwork that accompanies each of these actions, and many questions that must be answered by you, the proponent. The typical cost to incorporate is around $1,000, plus filing fees and a minute book, which run around $200, totalling around $1,200. Obtaining tax exempt status is what gives donors the right to deduct their contributions on their tax returns. The cost to do that is typically around $4,000, plus a filing fee of $350 ( more if annual income is projected to be high). While these are not the most complicated things in the world, they can be confusing and complex enough that an inexperienced person will spend a lot of time getting through it. We do several each year and keep up with things and it takes a lot of time to do these. We also have an attorney who represents a number of fire departments and

EMT groups statewide. If you can get an attorney who is interested in your project and will do it for a reduced or no cost, you may want to consider that, though it may take a long time. Good luck!