Louis E. Michelson, A Professional Corporation

Providing Legal and Tax Advisory Services to Nonprofit Organizations

State and Local Taxation

How to Rescue a Troubled Nonprofit:  California Considerations – Free Instructional Video

For a free instructional video “How to Rescue a Troubled Nonprofit: California Considerations” please see the following link.

 

 

Franchise Tax Board Guidance Regarding Automatic Extension for Form 199 and Form 109

 

The California Franchise Tax Board issued guidance regarding the automatic extension for filing the Form 199, Exempt Organization Annual Information Return and for the Form 109, Exempt Organization Business Income Tax Return.  For the balance of the post see the following link.

 

 

Third Party Operators Not Required to File for Welfare Exemption

 

In a recent development in the state law for property tax exemption, otherwise known as the welfare exemption, third party operators are no longer required to file for the welfare exemption.  For the balance of the post see the following link.

 

Relief for California Charities: A Carrot and Stick Approach of SB 1341

California has given charities a new carrot and a stick to encourage compliance with filing requirements with the California Attorney General.  SB 1341 is effective January 1, 2013.   For the balance of the post see the following link.

 

Los Angeles Business Taxes, Exemption and Refunds for Charities

Is your charitable organization paying the Los Angeles business tax? As a result of state legislation, the City of Los Angeles amended its municipal code to authorize the Director of Finance to issue a Tax Exempt Registration Certificate to charitable, non-profit or religious institutions.  For balance of post see following link.

Franchise Tax Board Guidance – Technical Advice Memorandum 2011-14 (Exemption/Lack of Records; Revivor; Payment of Taxes; Information Returns; Minimum Franchise Tax). 

At a meeting of the Business Law Section Nonprofit Organizations Committee, Ron Maddox reviewed Technical Advice Memorandum 2011-14.  The questions are stated below and with summary answersFor balance of post see following link.

Franchise Tax Board Notification of New Filing Requirement

Before SB 401, most tax-exempt organizations with gross receipts normally equal to or less than $25,000 did not have a filing requirement.  Effective for tax years beginning on or after January 1, 2010, small tax-exempt organizations with gross receipts normally equal to or less than $25,000 (except churches) are now required to electronically file FTB 199N, California e-Postcard (available January 3, 2011).  For balance of post see the following link.