On Mon, May 5, 2008 at 7:33 PM, Pharos pharosofalexandria@gmail.com wrote:
But it appears now that we can have easy non-profit status with a 508(c)(1)(b), as long as our budget is $5,000 or less.
To clarify a bit, you'd still have to qualify for exemption under 501(c)(3), just not required to get an advance determination letter. You'd also be required to file a 990-N each year (don't worry though, the IRS calls that an e-postcard and estimates that it takes 15 minutes to fill out). And you'd have to pass the public support test. Private foundations are not eligible for this provision. Also, the WMF might not approve any chapters which haven't received a determination letter. Although, if this is the only sticking point hopefully they'd at least be willing to pay for obtaining it. I can talk to you privately with more information, I've probably already said too much for a public mailing list. So let me add that ***Nothing in this email (or any of my previous ones) is intended or written to be used, and it cannot be used, by any taxpayer for the purpose of avoiding penalties that may be imposed on the taxpayer.***
There still may be a role for a "virtual chapter" to coordinate US regional chapters, but perhaps nothing so directly top-down as this proposal.
If you want top-down, get me 10-15 people or more who will all agree to work together under my direction, and I'll give you an incorporated entity with bylaws and a 501(c)(3) determination letter. Getting the Foundation to approve this entity as a chapter is then up to someone else. Or, if you think having my name on it will jinx the whole thing, name someone else the leader and let me use him/her as my sockpuppet.
Alternatively, wait until Wikimedia Pennsylvania gets finished and then follow their lead. I'm guessing that'll be relatively soon, but maybe I'm wrong.