Dear Kabaleyans, Fellow Pangasinenses,
In my eagerness to issue our general membership meeting for November 15, 2015, I respectfully apologize for pre-maturely rolling back our time last Sunday, October 25. Scheduled time roll back is on November 1, 2015.
Anyway, I will take this opportunity to relate the path that our organization went through in conforming with our new role of engagement and management as a 501 ( C ) ( 3 ) entity. I share this message more as an awareness of who we are and what steps we took to be fully compliant with Federal and State regulatory provisions as a foundation. And, we travelled the road with sweat and tears.
I am proud to say that we have a wonderful management team and members who voluntarily sacrificed and worked hard to accomplish and finish a job where we now stand as a foundation. The road was a struggle amidst negative vibes but at the end of the day, mission was accomplished. Kabaleyans, let’s now savor the fruits of our sufferings which I can easily translate as our “Agony and Ecstasy” as PB-USA moves forward in the 21st century. What we worked on was definitely something for PB-USA’s lifetime not just for the usual pomp and circumstance of a gala induction night or any social event of this nature.
Once again, I now share the initial posting of our Finance Chairman, Nanding Soriano, regarding a quick Q&A (Question & Answer) about 501 ( C ) ( 3) Charitable Organizations. This will help our members understand our functionality as a foundation and hopefully assist Town Associations who plan and intend to apply for said status.
Shared by PROVENANCE HOLDING CORPORATION
QUOTE
WHAT BENEFIT DOES BEING A 501 ( C) ( 3) OFFER A NON PROFIT AND IT’S CONTRIBUTORS ?
One of the primary benefits of being tax-exempt under IRS Section 501 (C) (3) is the ability to accept contributions and donations that are tax deductible to the donor. Additional benefits include, but not limited to:
* Exemptions from Federal and/or State Corporate income taxes
* Possible exemption from State sales and property taxes (varies by State )
* Ability to apply for grants and other public or private allocations available only to IRS-recognized 501 (c) (3) organizations.
* Potentially higher thresholds before incurring Federal and/or State unemployment tax liabilities
* The public legitimacy of IRS recognition
* Discounts on US Postal bulk mail rates and other services
WHAT INFORMATION WILL BE REQUIRED ON FORM 1023 ?
In order for the IRS to make a determination on a standard form 1023 application, specific questions must be answered relative to the organization’s legal structure, it’s governing board, and potential conflict of interest. More importantly, pages of detailed questions concerning the organization’s activities must be answered. This is in addition to a two year budget ( new organizations) or three years of financial history ( existing organizations) and a written narrative essay outlining the organization’s programs, both current and planned, that will advance the organization’s exempt purpose. Add to that copies of supporting schedules and documentation and you have a basic application package.
The information requested on a Form 1023-EZ relates to more generalized questions of structure and compliance. No written budgets or narratives are required.
HOW LONG DOES IT TAKE TO COMPLETE FORM 1023 ?
As stated in another answer, IRS Form 1023 is 29 pages long, plus required schedules and attachments. While every organization does not have to complete every page, a typical application package is between 50-100 pages of material. More important, however, is the amount of time required to complete the package. The IRS estimates a preparation time of well over 100 hours for a novice to prepare Form 1023.
UNQUOTE
We have religiously followed what needs to be done and we are ready to move on to the next level. A piece of thought to share with our town organizations- if you plan to be a 501 (c) (3) entity, make sure that you fully understand what it is and once you get approval of your application, make sure that you comply and accordingly use it or you will loose it.
See you all on November 15, 2015 and keep tune to www.pbusa1.com.
Sincerely,
Eddie Ferrer
President
Pangasinan Brotherhood-USA, Inc.