for profit organization - what form file please?

[WITAXLADY]

so with the new IRS format - hard to search - singing group does not have non profit status but basically is but does solicit $$ for youth for costumes, state fair, etc,,, what form do they file please?

less than $25,000

help please thx d

[rfassett]

Without non-profit status, it sounds like a joint venture and/or partnership.  The funds they are "soliciting" is payment for their services.  Certainly they cannot hold themselves out as a non-profit for tax deduction donations, right?

[WITAXLADY]

as I responded to her  - I see they are not even a LLC - and told her Sch C - they need to change something so the donations they are soliciting for are deductible!!

Thank you!

[Lee B]

In the dim corners of my mind, it seems to me that is is considered to be an "association" which ends up filing a Form 1120.

Of course I could be wrong, it wouldn't be the first time ?

[BHoffman]

It also might be considered an exempt social club via Sec. 501(c)7.  This is sticky.  Does it really rise to the level of a Sch C business?  Are they in it for making profits?  Is the group specifically paid for performing?

[Evan S. Golar]

If the organization wishes to become a tax exempt, then I suggest as BHoffman states apply for a 501(c)(7) status by filing Form 1024 and submit the appropriate application fee - Form 8918. However, donations to non 501(c)(3) entities (charities) don't qualify as charitable donations to donors.

[WITAXLADY]

thank you !