Just ask the bank how often you have to deposit or withdraw money and how much.

$5 a month might work

Bob H

Comerica doesn't charge us anything for our nonprofit bank accounts, and some of them have amounts smaller than that. There are lots of others, including credit unions, that will do the same. Your state may vary.

I have one question, if the F40PH Preservation Society is based out of Massachusetts, why is its banking and donation business being done in Pennsylvania, instead of Massachusetts? It would seem more sensible in my opinion to conduct these things close to where you are based, rather than 500 miles away. I respect your cause to try to save an F40PH, but I don't understand why things are being done the way they are in regards to financial transactions of the Society.

Banking happens where the Treasurer is located. In this case, that is evidently Pennsylvania.

What he said is correct.

Thank you, that makes sense now. I'm used to the treasurer being based close to a society or organization's base, but I guess there are exceptions to the rule.

We have started a go fund me page
http://www.gofundme.com/F40PH501C

How many distinct members are now part of the F40PH preservation society?

What is the status of your application to be 501c3 tax exempt?

Bob H

That's my point !

Because of the amount of time that has elapsed since this group was incorporated, IRS may not recognize donations made to it between the time it was formed and the time their form 1023 is approved may not tax deductible.

Normally, there's a period of time where you can be grandfathered in, but in this case....

Bob H

From what I have read that is not how it works. Only donations made while a 501 (c) 3 are tax dectubale.

[/quote]
From what I have read that is not how it works. Only donations made while a 501 (c) 3 are tax dectubale.[/quote]

Have you looked at

http://www.irs.gov/pub/irs-pdf/p4220.pdf

(page 10 gets you there)

then go back to message three in this thread !

Bob H

If you file your Form 1023 within 27 months of incorporating with the state, then you are a nonprofit (tax deductible) from the day you incorporated. EASY PEASY.

If you did not, then it's more complicated, see that link in the post above. Also consider the fact that since you are supposed to be a nonprofit from day one, did you file your annual 990 tax returns? If you didn't for 3 years, you may lose the nonprofit status you never even got yet. Complicated.

I don't like 'complicated'.

So if your current corporation is pushing 27 months old, here's how you avoid the 'complicated'.

1. Dream up a new name that is very similar to the old name.

2. Clone the first corporation's articles and bylaws, substituting the new corporation's name. Easy peasy. 5 minutes, free.

3. Incorporate the new corporation with the state. 1 hour, $20 give or take.

Voila. You have a brand new corporation that is less than 27 months old and hasn't missed any annual tax returns. :)

4. Apply for an EIN from the IRS. 5 minutes, free.

5. Apply for nonprofit status under the new corporation's name and EIN.

Done.

What do you do with the old corporation? Get over it. Get used to the fact that corporations are 'throwaway' toys like this, at least until they become bound to something more permanent, like real estate ownership or 501c3 status. It's not your ancestral corporation passed down in your family for generations. It's just a government assigned fiction that was never real in the first place, just a tool whose usefulness has expired, like your old Nokia flip phone which was at least real. Have it donate all its assets (I bet, not much) to the new corporation and dissolve. If there are complications, like real estate ownership or contractual relationships, sell the old corporation to the new corporation for $1. Now it is a for-profit subsidiary of a nonprofit and that is legal.

We make way to little to have to file a 990. Also no one has donated to us yet besides the donations we are asking for now.

For small non profits, and from what you've said, your organization clearly qualifies, there is a simple post card type form you can file

see

http://www.irs.gov/Charities-&-Non-Prof ... ostcard%29

As stated in a previous message, you may be at a "start this all over" point.

Bob H