Help Needed with Non-profit Status

From: Eric Smith <eric_at_brouhaha.com>
Date: Mon Dec 2 13:47:42 2002

> I'm trying to get all the paper work done before the end of the (2002)
> to get non-profit status from the IRS and the State (TX). I can't decide
> which is the best between a 501(c)3 or a 501(c)4 organization? Which
> did most of you that have filed use for your computer museum? Any other
> help with task would be great. Thanks in advance.

Do you actually have a museum that is open to the public (or by
appointment)? Or do you have some other way that you operate in the
public interest?

Or is that not required to qualify as a 501(c)3?

I just looked it up with Google:

(3)

Corporations, and any community chest, fund, or foundation, organized and
operated exclusively for religious, charitable, scientific, testing for
public safety, literary, or educational purposes, or to foster national or
international amateur sports competition (but only if no part of its
activities involve the provision of athletic facilities or equipment), or
for the prevention of cruelty to children or animals, no part of the net
earnings of which inures to the benefit of any private shareholder or
individual, no substantial part of the activities of which is carrying on
propaganda, or otherwise attempting, to influence legislation (except as
otherwise provided in subsection (h)), and which does not participate in,
or intervene in (including the publishing or distributing of statements),
any political campaign on behalf of (or in opposition to) any candidate
for public office.

(4)

(A)

Civic leagues or organizations not organized for profit but operated
exclusively for the promotion of social welfare, or local associations of
employees, the membership of which is limited to the employees of a
designated person or persons in a particular municipality, and the net
earnings of which are devoted exclusively to charitable, educational, or
recreational purposes.

(B)

Subparagraph (A) shall not apply to an entity unless no part of the net
earnings of such entity inures to the benefit of any private shareholder
or individual.


I can see where a computer museum falls under "educational purposes" in
501(c)3, if it is accessible to the public, but not how it would qualify
for 501(c)4. But of course, IANAL.
Received on Mon Dec 02 2002 - 13:47:42 GMT