Tax-Exempt Status for Lake Associations in Maine

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Tax-Exempt Status for Lake Associations in Maine

Tax-Exempt Status for Lake Associations in Maine

Meditative Tranquility On Parker Pond, Fayette, Maine

by Leigh Macmillen Hayes
All lake associations should formally incorporate with the State of Maine as a nonprofit legal entity. To take the next step requires seeking recognition as a federally tax-exempt organization under section 501(c)(3) of the Internal Revenue Code. This allows contributions to the lake association to be eligible for deductibility as a charitable contribution and meets the eligibility requirement for most direct grant programs.

 

 

 

 

 


The following is from The Secretary of State’s Nonprofit Corporation resource page.
As you take important first steps toward creating your nonprofit corporation, it is important to be aware there is a network of resources available to help you here in Maine. The Office of the Secretary of State wants you to know about these resources:
Maine Association of Nonprofits – “The Maine Association of Nonprofits is a statewide, membership organization representative of and a champion for Maine nonprofits. Our mission is to strengthen the leadership, voice, and organizational effectiveness of our state’s nonprofits so that they can better enrich the quality of community and personal life in Maine.” – MANP Web site
Maine Office of the Attorney General – Their Web site has information about charities under Consumer Protection/Charities at www.maine.gov/ag/. The Attorney General produces a Guide for Board Members of Charitable Corporations that you may find useful.
Maine Office of Professional and Financial Regulation, Office of Licensing and Registration – Charitable Solicitation. Their Web site has important information about registering to do charitable solicitation.
IRS Federal Tax Exemption Information – If you intend to apply for IRS federal tax exemption as a charitable organization, your articles of incorporation must contain a required purpose clause and a distribution of assets provision. Valuable information on 501(c)(3) qualification is on the IRS Web site. It includes sample articles of the incorporation. Click the “Charities and Nonprofits” link and then the “Life Cycle of a Public Charity” link.
Determining Your Type of Nonprofit Corporation – Public Benefit or Mutual Benefit. On January 1, 2003, the Maine Nonprofit Corporation Act, Title 13-B, was changed to require that all registered nonprofit corporations designate whether their corporation is a public or mutual benefit corporation.
Maine Department of Environmental Protection – Road Associations. Their Web site has helpful information regarding forming a Road Association.
If the Office of the Secretary of State can be of further assistance, please call the Division of Corporations in the Bureau of Corporations, Elections and Commissions at (207) 624-7752 or by email at cec.corporations@Maine.gov. We look forward to serving you.
To learn more about lakefront properties for sale on Parker Pond in the Belgrade Lakes Region of Maine, click on the green box above.
To learn more about the Belgrade Lakes Region of Maine, check out the blog links below.
Tranquil Beauty Surrounds the Belgrade Lakes Region Town of Fayette, Maine
Parker Pond in Fayette and Vienna, Maine: A Perfect Place to Let the World Slip By
Echo Lake, Torsey Pond and Lovejoy Pond Form a Pristine Triangle in the Belgrade Lakes Region of Maine

 

 

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