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Law Educator, Esq.
Law Educator, Esq., Attorney
Category: Business Law
Satisfied Customers: 117358
Experience:  All corporate law, including non-profits and charitable fraternal organizations.
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I currently have a couple of for profit businesses. I am looking

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I currently have a couple of for profit businesses. I am looking to start up a non for profit (partnership). This will be a charitable company, which initially will include my wife and myself. The goal is to travel (worldwide) and do charitable works (Preaching, feeding the poor, teaching, helping the needy) all of which would be for free and no income is gained from any of these services.

- What is the best, XXXXX XXXXX legal way to setup such an entity ?
- Can my for profit business donate to my non-profit company ?
- Are there any minimum requirements to run such a company. Initially we may do a trip every couple of years ?
- Is it easier just to take the trips and write it off as a charitable contribution ?
Thank you for your question. I look forward to working with you to provide you the information you are seeking.

The first thing you need to do is write your charitable purpose statement that clearly defines the charitable purpose of your organization. Once you have that mission and purpose statement set up, you would form a corporation. Once you form the corporation with your secretary of state, then you would file for a Tax ID number for the corporation and also file a Form 1023 for recognition of the non-profit and you have to include a copy of your articles of incorporation with your charitable mission and purpose statement.

Your for profit entity can fund or donate to your non-profit. Every year you have to file a form 990 (if you raise more than $50K) or a form 990N for taxes to report what you made that year.

Your for profit can donate to your non-profit.

There are no minimum requirements, only that the funds from the non-profit can only be used for reasonable costs of operation and for your charitable purpose and nothing else. The non-profit can pay for the charitable trips.

The only way to write off your charitable trips is if you are doing them in conjunction with some other non-profit, but if you are doing these trips in conjunction with some non-profit entity then there is no real need to set up your own non-profit if it is only for a trip every couple of years.

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Customer: replied 3 years ago.

- So, If we take mission trips with other charitable organizations (e.g churches) Can we just write if off our taxes ?


- What does the IRS consider to be a mission or charitable trip ?



Thank you for your response.

Yes, if you take trips with other charitable organizations you can write it off as a charitable trip. You have to prove the mission and purpose for the trip was not pleasure but to conduct the charitable business of the charitable group you went for and it was a donation of your time to that group.
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