Legal Requirements for Non-Profit Organizations in Philadelphia: A Comprehensive Guide

Non-profit organizations are a great way to make an impact in your community and invest existing resources. To be exempt from federal income tax, a non-profit corporation must meet the criteria outlined in the Internal Revenue Code. It is essential to determine the structure of the organization, as there are 29 different types of non-profit organizations defined in the IRS code. Joining forces with another organization may be a better way to gain credibility and legitimacy for your cause and instill public trust in your community.

Alternatively, you can consider tax sponsorship, where a 501 (c) coordinating organization sponsors your project. When setting up a new non-profit organization, it is necessary to publish your constitution and announce your intention to file or submit the bill of incorporation to the Department once in two county newspapers from the main office. If your organization is based in Pennsylvania, you may need to file a statement about purely public charitable institutions. It is also important to determine the purpose of the organization and develop a mission statement that describes its reason for being. Additionally, you must give your organization a name and make sure that there is no other organization serving your cause before creating a new non-profit. Approximately two months before an organization's sales tax exemption expires, the Department of Revenue will send a renewal package to the organization.

This will help ensure that all legal requirements are met and that the non-profit remains compliant with all applicable laws. The TTN Philadelphia Giving Circle is an example of a non-profit organization that seeks to improve the lives of women and children in Philadelphia. This is the philanthropic branch of the Philadelphia chapter of The Transition Network (TTN), a national organization of professional women aged 50 and over who seek to continue a life of learning, participation, and leadership in the world. TTN Philadelphia Giving Circle only accepts grant applications from Philadelphia non-profit organizations that serve, enrich, and improve the health, safety, and well-being of Philadelphia children in areas such as arts and culture, economic empowerment, education, the environment, access to food, health and well-being, housing, law, and justice. It is important to note that a conflict of interest can occur when someone who holds a key position in your non-profit organization has competing interests and makes decisions that could benefit the organization.

Therefore, it is essential to ensure that all decisions are made with integrity. Non-profits are an important part of our society and it is essential that they meet all legal requirements in order to remain compliant with applicable laws. By understanding these requirements and taking steps to ensure compliance, organizations can ensure their success for years to come.