New from Fergy BY-lawsby Ron Poness on 08/10/17
While we were in San Antonio, I advised you all of potential problems with the IRS, they sent me a letter telling me
that our non-profit status was being revoked, hell, I never knew that they were going to treat us as a non-profit
corporation in the first place. There was no paperwork from them after I processed and answered the questions
that they asked me. That was three years ago and now they are telling me that we are no longer a non-profit
Corporation. No one that I know of has ever processed the request for non-profit status under IRS Code
Section 501 (c) 3 as they would have to:
1. File Articles of Incorporation and be Incorporated, to the nearest of my knowledge was never done.
2. Our Association By-Laws would have to be filed, I cleaned up our Corporate By-Laws per the minutes
of our San Antonio reunion. Changes suggested to our By-Laws by Attorney Russ Mazzola, a member
in good standing of our association were approved by our association.
3. File IRS Form 1023 Application for non-profit status. An approximately 20 page application form. To the
nearest of my knowledge, none was ever filed.
I completed three years of Corporate Income Tax's for them as they requested in their letter that they
had sent me. For Fiscal Year Ended (Fye) 9/30/2014, the tax was $552; For Fye 9/30/2015 it was $83 and
for Fiscal Year Ended 9/30/2016 we had a slight Net Operating Loss ($270) that I elected to carry forward to
9/30/2017. The IRS has since cashed both checks.
The next step is to Incorporate our association. Lt. Russ Mazzola has generously stated that he would
draft the Articles for free. The only problem that we have with that is that I believe we need to Incorporate
in Arizona as that is where the books of record are located. I have an Attorney friend here that I believe
could assist us in getting the Incorporation completed in Arizona. Once that is completed, I can file form
1023 requesting non-profit status.
If you are asking yourself, what is the benefit. First we will be operating legally for the first time, the
IRS requires it. Second, we will have the benefit of deducting contributions that are being given in cash,
or the items donated at the auction, lower of cost or market value of the item.
If you have any questions, please feel free to contact me at my home phone - 623-780-1819.