The Determination Letter: Holy Grail for Nonprofits

You’ve done it. Your nonprofit is up and running, working to fulfill its mission to the best of its abilities using every available resource. But what if you haven’t yet received a determination letter? Your nonprofit might not be getting all of the benefits it should be. 
What is a determination letter? And why is it so important? 
A determination letter is awarded to a nonprofit organization when the IRS has approved its application for federal tax exemption under Section 501(c)(3). This means any donations or grants that are received, or any income earned from group sponsored activities, will not incur tax. This exemption allows your organization to operate more efficiently and devote more funds to your mission. 
Several additional perks to consider once your determination letter has been received include the following: 
    • Donors may claim their contributions on their annual tax returns. 
    • Your organization will receive discounts...
Continue Reading...

50% Complete

Thank You!

Thank you for signing up to receive valuable information from MPS Grants.