tgriffin
03-15-2007, 06:42 PM
In another thread here (http://www.calguns.net/calgunforum/showthread.php?t=52046), Calguns member Kimbercarry posted an email from www.stopthenra.com advocating against the Parker vs DC case. The email blatantly states and solicitates money for, lobby action against the the Parker ruling and possible future litigation resulting from Parker.
They state that any donation to the cause will be tax-deductable.
For those of you who do not know, non-profit organizations are NOT allowed to be politically active:
Lobbying Activity
Private foundations that spend money on lobbying activity will incur an excise tax on those expenditures; this tax is so significant that it generally acts as a lobbying prohibition.
In addition, a private foundation does not qualify for section 501(c) (3) status if a substantial part of its activities is attempting to influence legislation (commonly referred to as lobbying). Legislation includes action by Congress, any state legislature, any local council, or similar governing body with respect to acts, bills, resolutions, or similar items (such as legislative confirmation of appointive office), or by the public in referendum, ballot initiative, constitutional amendment, or similar procedure.
A foundation will be regarded as attempting to influence legislation if it contacts, or urges members of the public to contact, members or employees of a legislative body for the purpose of proposing, supporting, or opposing legislation, or if the foundation advocates the adoption or rejection of legislation.
Measuring Lobbying: Substantial Part Test
Whether a foundation’s attempts to influence legislation constitute a substantial part of its overall activities is determined on the basis of all the pertinent facts and circumstances in each case. The IRS considers a variety of factors, including the time devoted (by both compensated and volunteer workers) and the expenditures devoted by the foundation to the activity, when determining whether the lobbying activity is substantial.
Under the substantial part test, a foundation that conducts excessive lobbying in any taxable year may lose its tax-exempt status, resulting in all of its income being subject to tax. In addition, a foundation is subject to an excise tax equal to five percent of its lobbying expenditures for the year in which it ceases to qualify for exemption.
Further, a tax equal to five percent of the lobbying expenditures for the year may be imposed against organization managers, jointly and severally, who agree to the making of such expenditures knowing that the expenditures would likely result in loss of tax-exempt status.
Certain activities or expenditures may not be prohibited depending on the facts and circumstances. For example, certain voter education activities (including the presentation of public forums and the publication of voter education guides) conducted in a non-partisan manner do not constitute prohibited political campaign activity.
In addition, other activities intended to encourage people to participate in the electoral process, such as voter registration and get-out-the vote drives, would not constitute prohibited political campaign activity if conducted in a non-partisan manner. On the other hand, voter education or registration activities with evidence of bias that: (a) would favor one candidate over another; (b) oppose a candidate in some manner; or (c) have the effect of favoring a candidate or group of candidates, will constitute prohibited participation or intervention.
Lets hear some thoughts and get some action going.
From other thread:
The Brady Center to Prevent Gun Violence IS indeed a non profit organization, per http://apps.irs.gov/portal/site/pub78 . The Brady CAMPAIGN to Prevent Gun Violence is NOT a tax deductible entity! The email was from www.stopthenra.com , which is affiliated with the CAMPAIGN, not the CENTER. They dont tell you in the email that you can only deduct 50% of any donation edit: to the CENTER, per the IRS link. My understanding of how The Brady Bunch gets around things is by having A LOT of chapters, affiliated organizations, etc which each perform a different function: one lobbies, one raises money .... yadda yadda. My guess is that they funnel money around between the affiliates. I would wager green that if they were scrutinized, and donation dollars followed, that they would lose their tax-exempt status. We should do something about this.
They state that any donation to the cause will be tax-deductable.
For those of you who do not know, non-profit organizations are NOT allowed to be politically active:
Lobbying Activity
Private foundations that spend money on lobbying activity will incur an excise tax on those expenditures; this tax is so significant that it generally acts as a lobbying prohibition.
In addition, a private foundation does not qualify for section 501(c) (3) status if a substantial part of its activities is attempting to influence legislation (commonly referred to as lobbying). Legislation includes action by Congress, any state legislature, any local council, or similar governing body with respect to acts, bills, resolutions, or similar items (such as legislative confirmation of appointive office), or by the public in referendum, ballot initiative, constitutional amendment, or similar procedure.
A foundation will be regarded as attempting to influence legislation if it contacts, or urges members of the public to contact, members or employees of a legislative body for the purpose of proposing, supporting, or opposing legislation, or if the foundation advocates the adoption or rejection of legislation.
Measuring Lobbying: Substantial Part Test
Whether a foundation’s attempts to influence legislation constitute a substantial part of its overall activities is determined on the basis of all the pertinent facts and circumstances in each case. The IRS considers a variety of factors, including the time devoted (by both compensated and volunteer workers) and the expenditures devoted by the foundation to the activity, when determining whether the lobbying activity is substantial.
Under the substantial part test, a foundation that conducts excessive lobbying in any taxable year may lose its tax-exempt status, resulting in all of its income being subject to tax. In addition, a foundation is subject to an excise tax equal to five percent of its lobbying expenditures for the year in which it ceases to qualify for exemption.
Further, a tax equal to five percent of the lobbying expenditures for the year may be imposed against organization managers, jointly and severally, who agree to the making of such expenditures knowing that the expenditures would likely result in loss of tax-exempt status.
Certain activities or expenditures may not be prohibited depending on the facts and circumstances. For example, certain voter education activities (including the presentation of public forums and the publication of voter education guides) conducted in a non-partisan manner do not constitute prohibited political campaign activity.
In addition, other activities intended to encourage people to participate in the electoral process, such as voter registration and get-out-the vote drives, would not constitute prohibited political campaign activity if conducted in a non-partisan manner. On the other hand, voter education or registration activities with evidence of bias that: (a) would favor one candidate over another; (b) oppose a candidate in some manner; or (c) have the effect of favoring a candidate or group of candidates, will constitute prohibited participation or intervention.
Lets hear some thoughts and get some action going.
From other thread:
The Brady Center to Prevent Gun Violence IS indeed a non profit organization, per http://apps.irs.gov/portal/site/pub78 . The Brady CAMPAIGN to Prevent Gun Violence is NOT a tax deductible entity! The email was from www.stopthenra.com , which is affiliated with the CAMPAIGN, not the CENTER. They dont tell you in the email that you can only deduct 50% of any donation edit: to the CENTER, per the IRS link. My understanding of how The Brady Bunch gets around things is by having A LOT of chapters, affiliated organizations, etc which each perform a different function: one lobbies, one raises money .... yadda yadda. My guess is that they funnel money around between the affiliates. I would wager green that if they were scrutinized, and donation dollars followed, that they would lose their tax-exempt status. We should do something about this.