Bruce-

 

I have spoken with two attorneys, and there has to be some entity.  You can not run a business, collect money, and operate without establishing some type of entity.  Either a sole prop, partnership, corporation, some type of LLC, or a non-profit status.  The only way donations can be deductible legally, is if we are a non-profit.  If not, monies brought in that are not given out in a particular year would be subject to tax.  Bank will open accounts either as personal accounts, or businesses.  If a business, there must be some legal entity.  Your figure of $25,000 may pertain to certain types of state tax filing.  I do not know.  I know of no way to run an public operation without some type of formal, legal entity.  If you are aware of something other, I think the alumni association should see the documentation.  We can not assume things.  We can not allow people to think their donations are deductible because we omit to tell them that their donations will not meet the regs as a charitable donation.

If you have any comments or questions, please call.  953-5546

Jon Kehl