UNTAXED TO THE MAX! The Little Church that COULD!
THE CONCEPT OF THE NON PROFIT FOUNDATION
Your government won't help you keep your homes? You
have no place to live? Organize as a church, and get common
housing, land trusts, do it under my aegis.
I have been researching exactly how a nonprofit (a church in particular)
may be structured so that it can be used to hold land -- (to lower a group
of people's housing costs and taxes,) while jumping through enough hoops
that it does not raise the IRS's suspicions that it is a tax avoidance
scheme. I've been squinting at IRS guidebooks and the like all evening.
I used to work for/be on the board of a few nonprofits, one of which
paid its own board some pretty handsome salaries (unfortunately not the one
I was on the board of!). And of course we've all heard of rich
televangelists. So if in addition to 1.) developing all this housing using
innovative land trust and chumcluster methods, this altruistic
church could 2.) get donations from parishioners, 3.) pay salaries to teachers,
minister and staff and board. 4.) create businesses the community needs
and 5) offer support to the disenfranchised in the township.
Now about structure: You wouldn't want to form a church only to be voted
out of power. That part I haven't figured out yet. Maybe have a group of friends
be the board, or your family members, except non-profits salarying relatives is
frowned on, and worse, considered suspicious by the Secretary of State in your
capital city --- the bureau which regulates charities.
It seems you have to spend at least 60% of your revenues on your mission
(therefore 40% or less on overhead, including salaries) if you want to
be considered a "good" nonprofit by various rating agencies, but I think
I remember being told back in the 90's that 10% was the legal minimum
you could spend on your mission. That's for charities. Dunno about
churches. But most churches are 501(c)(3)'s (nonprofit corporations).
Their rules are similar but a little different.
Anyway, if a church buys real estate FOR CASH, it can rent that real
estate out and not pay tax on the rents received. If it takes out a
mortgage to buy the real estate, then it has to pay tax on the rents.
The minister doesn't pay tax on his free housing.
But a church or nonprofit can get in trouble for selling land to its
insiders for less than fair market value, or paying dividends to people,
because that's against the "nonprofit" definition. So I'm thinking that
in order for the group to benefit from forming a church to hold land,
the church would have to only rent out the houses or apts. and not sell
them to the group. BUT - There wasn't anything saying the RENTS had to
be fair market value. They could just be cost.
Of course, there's the problem of how do you raise the money for the
land development? I would assume that anyone who already owns a house
with a mortgage is going to feel like they need to stick with their
existing house. Unless they are looking at it as a retreat to the
country. So mostly you're looking at people who can't afford to buy a
house as your "chumcluster", and they might not have any money for the
land. They mightn't have the business experience to help run a church properly.
If you get a rich guy in your group, they may well think that it's a bid to
get them to buy housing for the others. Perhaps the key is "retreat to the country".
Something that appeals to the township in general as you guarantee getting a lot
of homeless people into farming outside town, shipping organic food into town.
You could probably come up with many ideas that would appeal to your
community. A bakery/cafe and FOOD-CO-OP with super low prices.
An aside: a country retreat from a civil disaster is a great idea: When the S hits
the fan, it would be best to have the retreat NOT on a major road, and
possibly more than one gas tank away from the city (and then you'd take
a full 5 gal. gas can with you so you can get that far). Reason being,
the "sheeple", as some people call them, -- will all try to exodus the
city in a straight line to the next city, and they will all only have
the gas in their car at the moment. Also, don't let on that you are
better prepared than your neighbors, as they will rob you. Actually it's
best to get the whole neighborhood prepared together, so then you can
stick together, but in the city that's difficult. BTW, I prepared myself
a car disaster kit today --- various emergency items
and 4 days worth of food and water.
(This "POSTER" Anita Sands Hernandez has a site for that too )
HOW TO SURVIVE THE MELTDOWN WEBPAGE
a list of four hundred facts you need to be safe in an Apocalypse .
Back to churches, there are 6 major tele-evangelists being investigated by
the Feds right now. All of them have "prosperity" messages and all of
them live very high on the hog. About 3 or 4 of them are categorically
refusing to show their books without a subpoena. One of them said he'd
rather go to jail than show his books. That being said, it's still
pretty hard to audit a church. You need a higher-up in the IRS to
initiate it, and the church gets a chance to respond and explain
whatever it is before the IRS can ask them to open their books.
So look upon those money changers in the Temple of God and
resist temptation to emulate them. A church has to answer to---
A HIGHER AUTHORITY!
Well done, I couldn't have said it better myself.
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