July 16, 2013 to September 30, 2013
Lead Stories
Booster Club Loses Exemption Because of Fundraising Program
Booster Club Loses Exemption Because of Fundraising Program
City Loses Right To Appoint Hospital Board
Hospital amended bylaws to eliminate City Council’s right to name directors
Directors Accused of Personal Benefit May Not Be ‘Independent’ to Decide on Suit
Court questions role of accused directors in deciding whether derivative action should proceed
Ready Reference Page No. 2
IRS Requires Substantiation of Contributions
Donors must obtain acknowledgment from charity for gifts worth $250 or more, must file Form 8283 for gifts of property over $500, with appraisal over $5,000
To the Point
Buying volunteer hours?
Our 501(c)(3) booster club board decided to institute a new volunteer policy this year. All parents automatically become members of the club if their child is in the sport (gymnastics). There are required volunteer hours and failure to meet the hours equals a fine of $25/half hour. Parents can buy out of the volunteer hours by paying $500 up front. Does this policy violate the club's 501(c)(3) status? Does the penalty money received by the club constitute taxable income for the club?
Lessons from Litigation
Tax Matters