Here are four questions that every board and committee member should be able to answer about their fundraising efforts.

1. What defines a sponsorship versus an advertisement?

For tournaments and other events, it is imperative to know the difference because one qualifies as a possible tax-deductible contribution and the other does not.

2. When do we need to collect Texas sales tax?

From annual banquets and silent auctions to concessions and spirit wear, you may have been remiss in collecting sales tax as required by the state of Texas. The number of events you have, where you have them, and even who runs them may impact your sales tax responsibility.

3. Is our raffle compliant with Texas gambling laws?

Who can conduct raffles, how many you can conduct, how to market them, and what is printed on the tickets are just a few of the details that are regulated by state law.

4. Do our charitable donation receipts meet IRS guidelines?

The IRS has specific guidelines as to what must be included in receipts for different types of gifts such as gala and golf tournament sponsorships, auctions, cash versus in-kind gifts, and more.

Why do these questions matter?

While you may think of yourself as “just a volunteer,” the truth is that as a board member you have responsibilities and liabilities in running the nonprofit corporation you serve. State laws and IRS regulations must be met to avoid penalties or possibly losing your tax-exempt status. Be sure you become–and stay–well-informed of these compliance issues.


Staying informed…

The issues outlined above are a few of the topics that we will discuss at the two-day Nonprofit Management Academy. Start the new year off right by attending one of these informative academy weekends.

Nonprofit Management Academy / Pearland, TX
Saturday and Sunday, January 13 and 14, 2018
9:00 a.m. until 4:00 p.m. each day
Springhill Suites Pearland
1820 Country Place Parkway
Pearland, TX 77584

Nonprofit Management Academy / Katy, TX
Saturday and Sunday, February 3 and 4, 2018
9:00 a.m. until 4:00 p.m. each day
Homewood Suites by Hampton Katy
25495 Katy Mills Parkway
Katy, TX 77494

Your registration fee of $199 includes:

  • the two-day academy
  • course materials
  • breakfast and lunch each day.

Join us for the Nonprofit Management Academy—education and compliance for Texas organizations.