The Marianas Alliance for Non-Governmental Organizations is hosting its first workshop of 2018 to help organizations apply for local or federal 501(c)3 nonprofit tax-exempt status on June 12, Tuesday, from 5pm to 8pm, at the Westcare office next to Bank of Hawaii on Middle Road.
The workshop will also answer any questions for nonprofits who have not officially received tax-exempt status and are still required to pay taxes.
For many new nonprofits, receiving tax-exempt status can be an overwhelming battle. Nonprofits are only tax-exempt if they have filed a Form 1023 or 1023-EZ and receive an official letter from either the federal government or the CNMI government stating their tax-exempt status was granted.
Paying an accountant to file the Form 1023 can cost between $2,000 and $5,000, on top of over $850 in fees required paid to the local government or federal government for 501(c)3 status. For a new nonprofit with limited resources, financing these costs can be a huge burden.
The MANGO Nonprofit Tax-Exempt Workshop will help newly forming nonprofits walk through the Form 1023 or 1023-EZ so organizations can fill out the paperwork themselves. There will also be a question-and-answer session with a representative from the CNMI Department of Finance’s Revenue and Taxation to answer any questions about the process of filing for tax-exempt status, paying taxes before receiving tax-exempt status, and reporting requirements after receiving tax-exempt status.
Participants are encouraged to bring any financial tracking information they may have (e.g., budgets, ledgers, financial statements). Bringing this information is not required to attend the workshop, but it will make filling out the form easier. The Form 1023 asks for all of an organization’s financial information from inception (or the time the Articles of Incorporation were filed), or if you filed your Articles of Incorporation before Jan. 1, 2015, all financial information post-Jan. 1, 2015.
A light dinner will be provided. This workshop is free for participants.
Both the Form 1023 and Form 1023-EZ are available online.
MANGO’s principal purpose is to serve as an umbrella organization and resource for CNMI non-profits to promote and provide leadership, advocacy, educational awareness, and technical assistance to its members and the community. For more information, email firstname.lastname@example.org or call Maxine at 285-7739. Participants planning to attend are encouraged to call or email ahead of time to RSVP. (PR)