[Foundation-l] Wikimedia Pennsylvania

[Anthony]

On 7/11/07, Robert Horning <robert_horning at netzero.net> wrote:
>  From a legalistic viewpoint, I wonder here if at least trying to get
> this going in the first place that these chapters could be organized by
> having them chartered through the WMF itself rather than having to go
> through the formal process of trying to incorporate as a non-profit
> corporation in each local area where they are located at.  This does
> increase legal liability for the WMF if this happens, and has some other
> drawbacks, but it allows a much more informal process to occur that
> would allow new regional chapters like this to be created quickly and
> cut out quite a bit of the red tape normally associated with
> incorporation.  It would also allow Wikimedia-Penn to use the 501(c)3
> tax exempt number right away as long as the WMF board accepts the
> charter and organization.

I'm not sure what you mean by the "tax exempt number".  If they need
an EIN for a bank account, all they need is a charter.  Even an
unincorporated association can get an EIN, and is exempt from most IRS
reporting requirements if they get less than $25,000/year in gross
receipts.  I say most because the IRS just instituted a Form 990-N
which is a postcard sent in annually by 501(c)(3)s who have gross
receipts of $25,000 or less.
http://nonprofitmanagement.suite101.com/article.cfm/irs_form_990n

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