4 ms·

501c3 offers one narrow form of tax exempt status for a very specific type of non-profit organization with specific privileges and duties. Every organization is

by c22 11mo ago

501c3 offers one narrow form of tax exempt status for a very specific type of non-profit organization with specific privileges and duties. Every organization is unique and many non-profit, tax-exempt, and even charitable organizations exist outside of that specific framework. If they're not soliciting donations from you I'm not sure why you'd care about their federal tax status.

apparent 11mo ago
> If they're not soliciting donations from you I'm not sure why you'd care about their federal tax status. Well, if they portray themselves as a "nonprofit" then most people who read that will think they are a 501c3, which is almost always the case. I don't know why they don't qualify for that status (if they don't), but it's possible that it's a reason I would care about when deciding whom to side with on issues like this one. The battle of for-profit versus non-profit comes across differently than for-profit versus Michigan Domestic Non-Profit Corporation (which for some reason does not qualify for IRS nonprofit designation).
- int_19h 11mo ago
  It's not "almost always the case". It may be the case for nonprofits that people donate to, but in general there are quite a few 501c4 around, for example, and there are many others: https://en.wikipedia.org/wiki/501(c)_organization#Types https://en.wikipedia.org/wiki/501(c)_organization#Types
  - margalabargala 11mo ago
    The list may be long, but most other categories are extremely narrow. There are very few into which Rebble could fit.
- c22 11mo ago
  Looking over Michigan's Nonprofit Corporation Act it seems a Domestic Non-Profit Corporation would meet the IRS 501c3 requirements. The act even borrows definitions from IRS Publication 501. It looks like Michigan Domestic Non-Profit Corporations cannot allow their proceeds to benefit private parties. So they are a nonprofit if that helps you pick a side. It seems like an asinine point to pivot on, though.
  - margalabargala 11mo ago
    > It seems like an asinine point to pivot on, though. Whether or not they are a nonprofit is not a point I care about on its own. What is a point to pivot on, is if they claim to be a nonprofit, but make that claim in a misleading way. It is highly unusual to be a 501c3-compatible state nonprofit but not actually bother to become a 501c3. You're essentially opting to pay federal taxes unnecessarily. It makes one wonder why.
margalabargala 11mo ago
> If they're not soliciting donations from you I'm not sure why you'd care about their federal tax status. Because if they appear to be a normal company but call themselves a non-profit, I want to know what that actually means to them. Being a non-profit is generally a reason for community goodwill towards a company. Therefore being a nonprofit is attractive both to companies doing good, and charlatans seeking to capitalize on that goodwill. If you call yourself a nonprofit but don't talk anywhere about what that means to you and why, then you look like that second option.
- philipallstar 11mo ago
  Being a non-profit can definitely just be high salaries and easier access to donations (because people stop thinking once they read "nonprofit").

by c22 11mo ago

apparent 11mo ago

> If they're not soliciting donations from you I'm not sure why you'd care about their federal tax status. Well, if they portray themselves as a "nonprofit" then most people who read that will think they are a 501c3, which is almost always the case. I don't know why they don't qualify for that status (if they don't), but it's possible that it's a reason I would care about when deciding whom to side with on issues like this one. The battle of for-profit versus non-profit comes across differently than for-profit versus Michigan Domestic Non-Profit Corporation (which for some reason does not qualify for IRS nonprofit designation).

int_19h 11mo ago
It's not "almost always the case". It may be the case for nonprofits that people donate to, but in general there are quite a few 501c4 around, for example, and there are many others: https://en.wikipedia.org/wiki/501(c)_organization#Types https://en.wikipedia.org/wiki/501(c)_organization#Types
- margalabargala 11mo ago
  The list may be long, but most other categories are extremely narrow. There are very few into which Rebble could fit.
c22 11mo ago
Looking over Michigan's Nonprofit Corporation Act it seems a Domestic Non-Profit Corporation would meet the IRS 501c3 requirements. The act even borrows definitions from IRS Publication 501. It looks like Michigan Domestic Non-Profit Corporations cannot allow their proceeds to benefit private parties. So they are a nonprofit if that helps you pick a side. It seems like an asinine point to pivot on, though.
- margalabargala 11mo ago
  > It seems like an asinine point to pivot on, though. Whether or not they are a nonprofit is not a point I care about on its own. What is a point to pivot on, is if they claim to be a nonprofit, but make that claim in a misleading way. It is highly unusual to be a 501c3-compatible state nonprofit but not actually bother to become a 501c3. You're essentially opting to pay federal taxes unnecessarily. It makes one wonder why.

margalabargala 11mo ago

> If they're not soliciting donations from you I'm not sure why you'd care about their federal tax status. Because if they appear to be a normal company but call themselves a non-profit, I want to know what that actually means to them. Being a non-profit is generally a reason for community goodwill towards a company. Therefore being a nonprofit is attractive both to companies doing good, and charlatans seeking to capitalize on that goodwill. If you call yourself a nonprofit but don't talk anywhere about what that means to you and why, then you look like that second option.

philipallstar 11mo ago
Being a non-profit can definitely just be high salaries and easier access to donations (because people stop thinking once they read "nonprofit").