Philanthropic News
  WINTER 2009-2010

In the News

Charity Watchdogs Denounce Overhead Ratios as Meaningless in Evaluating Charities
Several charity watchdog agencies including Guidestar, Charity Navigator and GiveWell recently announced that donors should not rely on overhead ratios (overhead expense as a percentage of total expense) when choosing whether or not to support specific charities.
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IRS Releases Governance Check Sheet
The Internal Revenue Service has released a check sheet to be used by all Internal Revenue Agents during examinations of exempt organizations to collect data on organizations' governance practices and internal controls.
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Better Business Bureau Wise Giving Alliance Loosens Fundraising and Program Percentage Standards
The challenging economic climate and its impact on charity fundraising has prompted the Wise Giving Alliance to modify two of its longstanding, and often criticized, standards requiring that charities spend no less than 65% of overall expenditures on programs and no more 35% of contributions on fundraising.
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China Issues New Rules Regarding Tax Deductions for Charitable Donations
In November 2009, the People’s Republic of China issued a formal clarification of law regarding the scope of tax deductions for donations by China’s residents to nonprofit organizations in China.
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State and Federal Legislation Round-Up
California Senate Bill 200, adopted on August 5, 2009, relates to internet advertising of raffles.
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Reminder Regarding Form 990 Filing Requirements in 2010
Because of the significant revisions made to the Form 990 in 2008, the IRS has implemented a phase-in schedule based on an organization's financial activity.
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Issues & Trends

Labor Law Cases Becoming Prime Fodder For Plaintiff's Lawyers
This firm has noticed an increase in labor law cases being brought under the Fair Labor Standards Act (FLSA) by attorneys who formerly handled personal injury cases.
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Recommended Resources

New IRS Compliance Guide Released for Non-501(c)(3) Exempt Organizations
The Internal Revenue Service's Exempt  Organizations unit  has recently released an  updated compliance guide for non-501(c)(3) tax  exempt organizations.
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Form 990 Filing Tips Issued For Schedules A and L
In response to a number of questions from filers, the IRS has issued the last in a series of filing tips for the revised Form 990 on Schedule A (relating to public support and public charity classification) and Schedule L (related to disclosures of transactions with disinterested persons). The filing tips, in the form of questions and answers, cover basic topics such as who must file each schedule, as well as more detailed organization-specific questions. Other filing tips and FAQs are available on reporting executive compensation, governance, arrangements with related organizations, and activities outside of the United States. The IRS has other resources and tools for the revised 990 on its website, including online courses for preparing the Form and a case study presenting a walk-through of a Form 990 filed by a hypothetical tax-exempt organization.

 

 

 
   
 
50 Years
Perlman & Perlman Spotlight 
Seth Perlman - gave a presentation on “The Law of Fundraising” at the Practising Law Institute Advising Nonprofits seminar on February 3, 2010 in New York City.

Allen Bromberger-
will be a principal presenter at the Structure Lab - a program of Criterion Venture on February 25, 2010 in New York City.
 

Allen Bromberger- will be appearing on an expert panel and will be offering one on one consultations at the Social Venture Institute, a program of the Social Venture Network in partnership with the Greater Philadelphia Sustainable Business Network, on February 26th and 27th, 2010 in Philadelphia.

Seth Perlman - will be co-presenting along with Michael DeLucia of the New Hampshire Attorney General's Office "Who is Watching You Now?," a review of the state fundraising regulations and the impact of the new form 990, at the AFP International Conference on Fundraising in Baltimore, Maryland on April 12, 2010.  
Perlman & Perlman Spotlight

Climate Response Fund Hosts Historic Conference on Ethical Standards for Climate Change Technologies

The Climate Response Fund  is a nonprofit organization created to stimulate and support discussion and research into “geoengineering,” climate intervention techniques and other activities needed to explore innovative solutions to the climate crisis facing the world.
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    Love A Child, Inc. Documents Relief Efforts in Haiti After Earthquake     

LoveaChild.com is a 501(c)(3) non-profit Christian Humanitarian Organization. Love A Child has been working  to reduce the poverty in Haiti for a number of years.
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