President Susan R.
Vice President Membership Sara G.
Vice President Programs Jeanne C.
Secretary Laurel E.
Treasurer Diane R.
All have agreed to be nominated. The election will be held at the December meetings.
DID YOU KNOW? Janet W., Historian
Our ANG Chapter filed for Incorporation as a nonprofit with the State of MN on February 12, 1996. However, we had never filed with the IRS to become a 501(c)(3) organization so we never had the classification of a 501(c)(3) organization. The IRS created new rules for tax-exempt organizations in 2009 which required an IRS form to be completed annually. Our chapter, along with 210,000 other tax-exempt organizations across the country did not complete the form in 2009 nor in 2010. As a result, we were dropped off the IRS system and lost our federal identification number. We became aware of this issue in January of 2011. The MN ANG Chapter Board took a look at our chapter, and with the help of some legal advice, voted to recommend that we file our status with the IRS as a 501(c)(7) organization. The chapter voted to change the by-laws from “This chapter is intended to be a tax-exempt organization under IRS Section 501(c)(3)” to read “This chapter is intended to be a tax-exempt organization under IRS Section 501(c)(7)” in April 2011. Following this change, we did file with the IRS as a 501(c)(7) and have continued to complete our annual reporting with the IRS. We did receive a new federal identification number in 2011.
A 501(c)(7) organization does not need to complete any other annual IRS forms other than the 990-N unless we have over $50,000 in gross revenue in one year (this has never happened to date with the chapter). We cannot issue anyone a charitable tax deduction form for a donation as a 501(c)(7).
Our Chapter took this action at the same time as the National ANG Organization was reviewing the issue. The March 2011 copy of Needle Pointers contained an article on page 19 by Pat Rogers, who was the National ANG Treasurer, entitled Nonprofit Status and the Local Chapter. It dealt with whether it was worth the expense and effort by a chapter to file for a 501(c)(3) status with the IRS and to maintain that status if approved. The article concluded that unless a chapter has substantial income or substantial donors, it is probably not worth the work of filing for an exemption with the IRS.