This fall, Congress is in the process of rewriting the Internal Revenue Code with the dual goals of lowering individual and corporate income tax rates and simplifying our nation's tax laws. This tax overhaul has major implications for all 501(c)(3) nonprofits. Among other things, the tax reform proposals could reduce charitable giving, politicize 501(c)(3) nonprofits, eliminate financing options for nonprofits, and create new taxes on certain nonprofit activities.
Jay Wilkinson, Firespring
No doubt you’ve heard about this, and like many good nonprofit leaders, have done your best to refute it.
It’s dubbed a myth for good reason. Yet most nonprofits feel pressured to do as much as possible with as little as possible when it comes to running their organization. The Overhead Myth still exists, and donors still scrutinize nonprofits, wondering what percentage of their gift actually goes toward the “cause.” As if dollars that support infrastructure don’t also support the mission.
Under current law, charitable nonprofits in North Carolina pay sales and use tax on their purchases and can apply for semi-annual refunds of the taxes they pay. A system of sales tax exemption would save nonprofits time and reduce administrative burdens. S.346 would replace the nonprofit sales tax refund system with sales tax exemption for most 501(c)(3) nonprofits.
How does the current nonprofit sales tax refund system work?
The North Carolina Center for Nonprofits submitted comments on nonprofits and unemployment insurance in North Carolina.
Revising Workers’ Compensation Rules Would Help Small Nonprofits
Expanding Charitable Deduction Could Help Small Businesses
The Senate should pass H.B. 886 in 2012 to bring the North Carolina corporate tax deduction for charitable contributions into conformance with federal law could ease tax burdens on small businesses. H.B. 886 passed the House in 2011 with strong bipartisan support.
What is the federal law?
Created by the North Carolina Center for Nonprofits and updated annually, the Legal Compliance Checklist for North Carolina Nonprofits outlines laws that affect North Carolina nonprofits’ governance, finances, advocacy, human resources, and fundraising.
As the smoke clears from the primary changes of the Affordable Care Act, this webinar recording provides a look at key benefits compliance issues relevant to nonprofit employers of all sizes and covers key topics for 2016 and beyond, including:
- A review of basic eligibility rules for the ACA’s Play-or-Pay and eligibility provisions (including how to confirm a small group exemption);
- An update on FMLA eligibility and compliance;
- An update on compliance with HIPAA privacy and security rules; and
- A discussion of other hot topics.