Allen Priest's ridiculous idea to change the USCF from a 501c4 to a 501c3

[quote="Allen"][quote="Joe Lux"]Certainly, if USCF persues it's desire for 501c3 status with the IRS, which was encouraged by the EB, and
rubberstamped by the delegates, there will have to be major changes to our mission. We are now 501c4 for a reason.
I hope someone more capable at computers than me, would post IRS conditions for 501c3 and 501c4 status. When NJSCF considered IRS status, we found 501c7 to be more appropriate for our state association.
All the best, Joe Lux NJ Delegate[/quote]
IRS Publication 577 has 44 pages of description as to the details on 501(c)3. Then it has about 2 pages defining a 501(c)4. There is a clear indication in the 501(c)3 description that the USCF may indeed so qualify. But one doesn't know until one applies, and even then it can take the IRS 18-24 months to rule. here is the link if you are in the mood for some good nighttime reading - http://www.irs.gov/pub/irs-pdf/p557.pdf
Allen Priest [/quote]
Allen Priest is a Goichgberg approved candidate for the USCF Executive Board. He has been studying chess and has gotten better, improving his rating from 654 to 758.
However, his proposal to change the USCF from a 501(c)(4) to a 501(c) (3) is a ridiculous idea, virtually impossible to achieve and shows that Priest who claims to be a qualified CPA is a buffoon and an idiot.
In order to get federal tax status as a 501(c)(3) one must qualify as a public charity that receives a substantial portion of its income from donations. It must also be organized for one of the five allowed charitable purposes.
Since the USCF rarely receives donations and other chess organizations that are already 501(c)(3) rarely receive donations either, the USCF will never make this standard and it will be disallowed by the IRS.
The fact that Allen Priest is advocating this change shows that he is unqualified and unsuitable to be elected to the USCF board.
Sam Sloan
Add pictures here
<% if( /^image/.test(type) ){ %>
<% } %>
<%-name%>
Add image file
Upload

Bullshit
Bullshit
Bullshit
I suggested this ten years ago. My suggestion fell on deaf ears back then. The Weasel thought it would compete with the Chess Trust and cost his girlfriend her job.
Add pictures here
<% if( /^image/.test(type) ){ %>
<% } %>
<%-name%>
Add image file
Upload

So, it was your stupid idea then, Stan. It is still a stupid idea.
Add pictures here
<% if( /^image/.test(type) ){ %>
<% } %>
<%-name%>
Add image file
Upload

. Stupid to be able to accept tax deductible contributions? That could all be set aside to fund cultural exchanges such as Pan-Am games or fund educational things like youth tournaments.
Add pictures here
<% if( /^image/.test(type) ){ %>
<% } %>
<%-name%>
Add image file
Upload

Yes, very stupid.
By accepting 501c3 designation, the USCF would be calling itself a public charity. Charities are heavily regulated by the federal government. The USCF is already on the border-line and has barely satisfied several IRS investigations. The USCF is in several businesses, it sells magazines and ad space in those magazines, it runs tournaments like the US Open in which cash prizes are paid, it rates tournaments and charges rating fees, it sells chess books and equipment.
Fortunately, we are flying under the radar.
If we applied for the right to accept tax deductible contributions too, all this would come under question. It would never be allowed by the IRS and we might even lose our 501c4 designation too and have to start paying taxes on the businesses we are in.
You must be heavily boozed up to even suggest this.
Sam Sloan
Add pictures here
<% if( /^image/.test(type) ){ %>
<% } %>
<%-name%>
Add image file
Upload

Unrelated business income is quite acceptable. I bet you the Bronx Zoo has a snackbar, gift shop, and book store.

Why do you say that?

Not true in the least. The USCF is a typical charity.

No facts so you resort to ad homo attacks. Did the weasel put you up to this? Did he out a former president by leaking it to you? Was he such a coward that he couldn't out her himself? How's your book business doing?
Add pictures here
<% if( /^image/.test(type) ){ %>
<% } %>
<%-name%>
Add image file
Upload

BeanSmart.com is a site by and for consumers of financial services and advice. We are not affiliated with any of the banks, financial services or software manufacturers discussed here. All logos and trade names are the property of their respective owners.

Tax and financial advice you come across on this site is freely given by your peers and professionals on their own time and out of the kindness of their hearts. We can guarantee neither accuracy of such advice nor its applicability for your situation. Simply put, you are fully responsible for the results of using information from this site in real life situations.