July 24, 2018

Nonprofits By the Numbers: The Impacts of IRS Automatic Revocation and Form 1023-EZ

How has the number of tax-exempt nonprofit organizations changed over the past decade? According to IRS data released this year, significant shifts have occurred for Section 501(c)(3) and Section 501(c)(4) organizations, in large part due to new “auto-revocation” consequences for not filing required Form 990s and the introduction of IRS Form 1023-EZ.  Author Michael Wyland’s excellent Nonprofit Quarterly article provides substantial data analysis,[1] from which further observations can be made on nonprofit trends.

 
Tax Exemption
July 19, 2018

Court Rejects Illinois Unemployment Tax on Religious Ministry

An Illinois court ruled recently that the state can’t tax a religious ministry to underprivileged children. The Illinois Department of Employment Security had attempted to assess unemployment compensation taxes to By the Hand Club For Kids, a ministry of The Moody Church, reversing the Department’s previous determinations that By the Hand was nontaxable since its creation in 2001.

Employment/Religious Organizations
July 6, 2018

Defining “Church” with an IRS Focus

What is a church? According to materials released early 2018, the venerable Christian radio and publishing ministry Focus on the Family pressed that question with the IRS, successfully garnering official reclassification as a “church.” The IRS’s willingness to accede to Focus’ request, as reflected in recently released IRS documentation, may be surprising and certainly invites further evaluation of what constitutes a “church” for legal purposes.

Religious Organizations/Tax Exemption

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