Center Logo

About the Center

Advocacy/Public Education

Legal/Management

Membership

Publications

Group Buying

Announcements

Links

Contact Us

Home Page

Legal and Management Assistance

The Center provides individualized telephone and e-mail consultation on non-profit legal and management issues such as IRS regulations, tax laws, fund raising issues, Board/staff roles and responsibilities and many others.

Call the Center at 732/227-0800 or send an e-mail to center@njnonprofits.org for more information.


NEW! IRS Announces New Voluntary Program for Employers to Classify Workers Correctly

Employers who improperly classify their employees as independent contracts risk facing stiff fines and penalties if a government audit finds that the workers should have been designated as employees.  Now, the IRS has launched a new program to encourage employers who have misclassified their workers to correct the situation without penalty and at a reduced cost. 

more information


ALERT! IRS Exempt Organization Automatic Revocation List

A list you do NOT want to make...

In May 2010, the IRS began revoking the tax-exempt status of organizations that are required to file Form 990, Form 990-EZ, Form 990-N (E-postcard) or Form 990-PF (private foundations) and have failed to do so for 3 consecutive years. MOST NON-PROFITS ARE SUBJECT TO THESE REQUIREMENTS. If exempt status is revoked, the only way to reinstate it is to reapply for tax exemption.

On June 8, 2011, the IRS released its first list of over 275,000 organizations whose tax exemptions were automatically revoked for failure to file the required Form 990 information return for three consecutive years. This list is updated monthly.

The New Jersey revocation list includes over 7,800 organizations, more than 4,900 of which are 501(c)(3).

Click here for more information including a list of revoked organizations and what you can do if your status has been revoked

Click here to go to the IRS' Form 990 filing requirements summary page

For more information about e-filing of Form 990 and a low-cost, online e-filing solution, visit the Urban Institute's e-filing Web site at http://efile.form990.org/.


IRS Gift Substantiation Requirements
Non-profits should be aware of important rules governing deductibility of charitable gifts. More information, including amounts updated for inflation for 2012


NJ Charities Registration Raises Mandatory Audit Threshold for Non-Profits

The New Jersey Division of Consumer Affairs has approved new regulations that will raise the mandatory audit threshold for charities under the "Charitable Registration and Investigation Act." The amended regulations, published in the February 22, 2011, New Jersey Register and effective immediately, include a provision requested by the Center for Non-Profits that raises the audit threshold from $250,000 in gross revenue to $500,000.

The rule adoption means that any organization with less than $500,000 in gross revenue in its most recently completed fiscal year will no longer have to submit an independent audit in order to satisfy the requirements of New Jersey's fund raising statute. The Center estimates that the new change could save each covered organization an average of $7,000 annually, and will result in an annual combined savings of over $10 million for the non-profit community. more information


Is Your Organization Eligible for the Small Employer Health Care Tax Credit?
The Patient Protection and Affordable Care Act, the new federal health insurance law enacted on March 23, 2010, provides for tax credits for eligible small employers, including non-profits, for health insurance premiums paid for employees. more info

IRS increases filing fees for filing for federal tax exemption

Note: The release of Cyber Assistant has been delayed. The IRS has not yet announced a firm release date, but it will be well into 2012 at the earliest.

  • Form 1023 - Application for Recognition of Exemption Under Section 501(c)(3) of the Internal Revenue Code
  • Form 1024 - Application for Recognition for Exemption (most other section 501(c) organizations)

New user fee increases are effective for all applications postmarked after January 3, 2010:
  1. $400 for organizations whose gross receipts do not exceed $10,000 annually over a 4-year period.

  2. $850 for organizations whose gross receipts exceed $10,000 annually over a 4-year period.

NOTE: The IRS is developing Cyber Assistant, a web-based software program designed to help organizations prepare a complete and accurate Form 1023 application, which will become available during 2011. Once the IRS announces the availability of Cyber Assistant, the user fees will change again.

1. $200 for organizations using Cyber Assistant (regardless of size) to prepare their Form 1023, or

2. $850 for all other organizations not using Cyber Assistant (regardless of size) to prepare their Form 1023.

The IRS will announce when Cyber Assistant is available and the effective date of the user fee change.  Sign up for the  Exempt Organization (EO) Update, EO’s subscription newsletter, at www.irs.gov/charities, to automatically receive an alert that Cyber Assistant is available.

 


New Jersey's Family Leave Insurance Law
New Jersey's new Family Leave Insurance law (FLI) enables eligible employees to collect up to six-weeks of state paid monetary benefits when out of work to care for a newborn, newly adopted child, or an ill family member. This insurance law is an extension of the State Temporary Disability Benefits Program and applies to employers of all sizes. This article, posted with permission of the Employers Association of New Jersey, highlights the key provisions of the new law.
Click here for article


COBRA Subsidy Law Summary
The American Recovery and Reinvestment Act (ARRA, also known as the economic stimulus bill) was enacted on February 17, 2009, and makes key changes to the continuation of health coverage provisions of the Consolidated Omnibus Budget Reconciliation Act of 1985 ("COBRA"). Non-profit employers of all sizes should become familiar with the new requirements. This article was posted with permission of the Employers Association of New Jersey.
Click here for article


Just What is a Non-Profit, Anyway? -- This article provides an overview of non-profits, charities and some of the more common types of tax-exempt organizations.

Thinking of Forming a Non-Profit?
Spanish Version - Thinking of Forming a Non-Profit?

Thinking of Forming a Non-Profit? What to Consider Before You Begin -- If you are considering starting a non-profit organization, we strongly suggest that you read this guide first. This booklet explains the basics of what a non-profit is and portrays a realistic picture of what is involved in getting a new non-profit up and running. The booklet also provides information specific to faith based and religious institutions. Available in English and Spanish. More information.

 

 

 

 

Piensa en Formar una Organización sin Fines de Lucro? Este folleto explica los conceptos básicos de lo que significa sin ánimo de lucro y presenta una imagen realista de los trámites para establecer una nueva organización sin fines de lucro. El folleto también ofrece información específica para las instituciones religiosas. Más detalle.

 

 

The Center's Legal Assistance Services for Newly Forming Non-Profits Read a quick overview about the incorporation/tax exemption process and the legal assistance available through the Center.


Hiring, Firing & Risk Management Hiring, Firing & Risk Management: Employment Law for New Jersey Nonprofits
This comprehensive reference book is an essential resource for non-profit employers and would-be employers. Members receive a 25% discount. More details and a printable order form now available online. Order yours today!

 


Important Public Policy Updates
Visit our advocacy page for additional information regarding new and emerging legislative and regulatory issues. more information


New Jersey's Fund Raising Law -- Now includes new regulations which may be found in the February 22, 2011, New Jersey Register (43 N.J.R. 439 (a)) and on the Division of Consumer Affairs' Web site at http://www.nj.gov/lps/ca/adoption/charado_022211.htm. The full text of the charitable fund raising regulations are in the New Jersey Administrative Code at N.J.A.C. 13:48 . The New Jersey Register and New Jersey Administrative Code are available online through http://www.lexisnexis.com/njoal/ . The New Jersey Administrative Code online is only updated quarterly and may not yet reflect the newest regulations.

The Center for Non-Profits has updated its detailed summary of New Jersey's fund raising law to reflect the new rule adoption. Center members can request a copy by emailing us at center@njnonprofits.org, Non-members will be charged a nominal fee(please include "fund raising law summary" in the subject line).


NJ Non-Profit Filing Fees - Some of the non-profit filing fees paid to the New Jersey Department of Treasury, Division of Revenue, effective July 1, 2002. more details

Use Caution When Fundraising Online -- Some issues to consider if you plan to use the Internet to generate revenue for your organization -- whether you solicit donations on your website, on someone else's, or if your organization has any sort of online presence.

IRS Disclosure Regulations for Non-Profits - A summary of IRS rules, effective June 8, 1999, that require public charities to mail copies of their Form 990 and 1023 upon request or make them widely available by posting them on the Internet. It is important for non-profits to familiarize themselves with these regulations and adopt internal policies and procedures to ensure compliance.

Insurance Overview for New Jersey Non-Profits

The Federal Volunteer Protection Act

Eight Tips to Involve Your Board in Fund Raising

FTC Telemarketing Rules

DUNS number required for all federal grant applications -- click here to read the details.

 

For other resources, please visit the Links page.

 

Return to Home Page

 

About Us | Advocacy | Membership | Publications |
Group Buying | Announcements | Links | Contact Us | Home Page

 

Copyright © 1997-2011 Center for Non-Profit Corporations, Inc.