Tax, Legal & Compliance

New IRS Gift-Substantiation Guidelines Opposed by National Council of Nonprofits
November 24, 2015 at 9:55 am

A new voluntary gift-substantiation regime proposed by the IRS is being opposed by the National Council of Nonprofits (NCN), as well as a number of individual state associations of nonprofits. The system would provide an alternative to the “contemporaneous written acknowledgements” now in use by providing 501(c)(3) nonprofits with the option to report gifts more…

Texas Attorney General Shuts Down Veterans Charity
November 20, 2015 at 10:24 am

Texas Attorney General Ken Paxton has closed down the Veterans Support Organization (VSO) as a settlement from legal action. According to a news release from Paxton's office, VSO collected more than $2.5 million in Texas between 2010 and 2012. But an investigation found 70 percent of the money went to VSO's Florida headquarters and to…

Loophole Helps Charity Fool Donors
November 19, 2015 at 9:27 am

When you get a call asking for money in the name of a charity, Georgia law requires them to tell you whether they're getting paid with some of your donation. But there's a loophole to that law, one the FOX 5 I-Team discovered a local police charity knows all too well. The DeKalb Fraternal Order…

Clinton Foundation Amends 4 Years of Taxes, Admits Speech Fees Weren't Donations
November 17, 2015 at 10:14 am

The Clinton Foundation filed its 2014 tax return, and amended its filings for 2010, 2011, 2012 and 2013. In a highly structured statement, foundation president Donna Shalala explained that this was all voluntary. Besides, she noted, it all came about because of an error in 2010 to 2013 filings. The updated returns can be found…

Charity Claims It Owns 'Happy Birthday' Song Copyright
November 16, 2015 at 10:37 am

In September, a judge ruled that music licensor Warner-Chappell doesn't own the copyright to "Happy Birthday." The question now seems to have become: who does? A charity called the Association for Childhood Education International (ACEI) has stepped forward now to say that if Warner loses the copyright, it should become the rightful owner. Earlier this week,…

Carson Calls for Eliminating Charitable Deduction
November 13, 2015 at 8:33 am

Tax policy was a central focus of the recent Republican debates, as candidates called for tax reform and defended the tax plans they’ve proposed over the past few months. However, one of the most surprising moments of the debate came from a candidate who has not yet released a comprehensive tax plan: Dr. Ben Carson.…

Feds: Dallas Nonprofit Spent $2M Investment on Aston Martin, Super Bowl Bash
November 11, 2015 at 9:04 am

Ellis Wamsley IV told a North Texas company that its $2 million investment would be used for economic development projects throughout the U.S. Wamsley’s nonprofit FAIM Economic Development Corp. in Dallas had promised on its website to “economically emancipate, educate and empower the community” with financial literacy education. Instead, Wamsley and his chief operating officer,…

6 Ways Your Nonprofit Can Cut Operating Costs for 2016
November 9, 2015 at 9:57 am

When leaders manage charitable organizations with clear visions, realistic expectations and sound budgets, that overhead spend tends much closer to the public’s ideal of 23 cents per dollar. The key is finding a balance between the costs of overhead support for the mission and the mission itself, and the answer is often found in the realm of business...

IRS Revokes Oklahoma Jazz Hall of Fame Nonprofit Status
November 5, 2015 at 10:25 am

FOX23 learned the Oklahoma Jazz Hall of Fame’s nonprofit status was revoked by the Internal Revenue Service. FOX23 previously reported about ongoing financial problems at the Jazz Hall, like the nonprofit bouncing checks to Tulsa County for insurance payments, part of its lease agreement. The Jazz Hall of Fame also is behind on its Downtown…