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Last updateSat, 23 Jun 2018 12am

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    Friday, June 22, 2018-10:59:32A.M.

     

     

     

     

     

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MANGO hosts nonprofit tax-exempt workshop

(Press Release) — Marianas Alliance for Non-Governmental Organizations or MANGO is hosting its first workshop of 2018 to help organizations apply for local or federal 501(c)3 nonprofit tax-exempt status.

The workshop will also answer any questions for nonprofits who have not officially received tax-exempt status and are thus still required to pay taxes.

For many new nonprofits, receiving tax-exempt status can be an overwhelming battle. Nonprofits are only tax-exempt if they have filed a Form 1023 or 1023-EZ and received an official letter from either the federal government or the CNMI government stating their tax-exempt status was granted. Paying an accountant to file the Form 1023 can cost between $2,000 - $5,000, on top of over $850 in fees required paid to the local government or federal government for 501(c)3 status. For a new nonprofit with limited resources but still trying to do good for our community, financing these costs can be a huge burden.

The MANGO nonprofit tax-exempt workshop will help newly forming nonprofits walk through the Form 1023 or 1023-EZ so organizations can fill out the paperwork themselves. There will also be a Q&A session with a representative from the CNMI Department of Finance-Revenue and Taxation to answer any questions about the process of filing for tax-exempt status, paying taxes before receiving tax-exempt status, and reporting requirements after receiving tax-exempt status.

Participants are encouraged to bring any financial tracking information they may have (e.g., budgets, ledgers, financial statements). Bringing this information is not required to attend the workshop, but it will make filling out the form easier. The Form 1023 asks for all of an organization’s financial information from inception (or the time the Articles of Incorporation were filed), or if you filed your Articles of Incorporation before Jan. 1 2015, all financial information post January 1st 2015.

A light dinner will be provided. This workshop is free for participants.

For more about the Form 1023, check out the information provided here: https://www.irs.gov/forms-pubs/about-form-1023. For more about whether your organization should file a 1023 or a 1023-EZ, visit this site: https://www.501c3.org/eligible-file-form-1023-ez/. Both the Form 1023 and Form 1023-EZ are available online.