I'm excited to say that during the past two weeks we've had a substantial increase the number of participants in our weekly lessons. I'm not sure whether it's because the sun is staying out a little longer or something else, but I hope that it at least partially reflects on us providing a quality service that is of value to the community.
As mentioned in a previous post, Move with the Music received notifcation of acceptance as a 501(c)(3) non-profit in December of last year. We are registered as a non-profit in Washington state and are licensed to operate in two cities. With those registrations, we've already filed taxes twice this year. The first filing was for the state and the second was for one of the cities in which we are licensed. If there is a bright-side to not having income, it is that filing taxes is really easy.
A year ago, I would have thought otherwise, but non-profits do have to pay taxes on goods sold and services rendered. However, we do not have to pay taxes on the donations we get and neither do doners as long as nothing of substantial value is given in reciprocation for the donation.
Because taxes can come up quickly (and frequently in our case), it is best to make sure you stay on top of keeping good records for any financial transactions your organization has. This is important regardless of whether you have sales, but all the moreso if you're going to have to deal with the organization's taxes. All of us running MwtM work fulltime, so complicated taxes would be a burden if we had to deal with them.
No comments:
Post a Comment