VIDEO Q&A for Subscribers: April 2025
Ben and Mike answer questions from subscribers about the potential consequences of having 501(c)(3) tax-exempt status revoked, whether a mid-year amendment to the budget should be made if an organization’s federal grants have been terminated, tax forms and disclosures required when hiring foreign contractors, and what to do when a project must be stopped in the middle of a capital campaign.
PREVIEW SHORTER CLIP:
FULL 30-MINUTE VIDEO:
CHAPTERS:
00:00 - Intro
00:35 - What happens if my organization is targeted for revocation of tax-exempt status?
02:39 - The impact on operations and funding if 501(c)(3) status is revoked.
05:00 - Preparing for an IRS examination/audit that could lead to revocation.
09:40 - Should an organization make a mid-year amendment to the budget if it has federal grants that were canceled?
14:45 - What IRS forms are required when hiring a foreign contractor to provide services?
17:50 - Form 990 disclosures related to hiring foreign contractors.
19:40 - What happens if financial challenges make it necessary to stop a project for which funds were raised from a capital campaign?
25:30 - Discussing contingencies and flexibility with donors
28:30 - Having written pledge agreements
FURTHER READING:
Q&A #127 – What happens when an organization’s nonprofit corporation status is revoked?
VIDEO Q&A for Subscribers: October 2024
Q&A #170 – Must nonprofits issue a Form 1099 for a contractor based in a foreign country?
