To What Extent Can NIL Collectives and Other 501(c)(3) Organizations Rely on a Favorable Determination Letter from the IRS?

Elizabeth A. Prendergast | Michael Best & Friedrich LLP

Beth devotes her practice to advising nonprofit organizations in complex tax, governance, and compliance matters. Her tax exempt clients range from grassroots organizations to international establishments and include private foundations, public charities, religious organizations, educational institutions, advocacy groups, and trade associations, among others.

Beth focuses in the areas of tax-exempt entity formation, social enterprise, public-private partnerships, nonprofit governance and compliance, complex tax-exempt structuring, nonprofit mergers and consolidations, and compliance with state charitable solicitation laws.

As a seasoned corporate attorney with a passion for community development, Beth also helps mission-driven companies design and implement market-based strategies to maximize both financial and social returns.

As a co-leader of Michael Best’s Environmental, Social & Governance (ESG) group, Beth advises clients on ESG initiatives, working with leadership teams and external stakeholders to successfully reach organizational goals while achieving positive social change.

Before joining our firm, Beth founded her own firm, providing corporate legal services to social ventures and nonprofit organizations. She also practiced with a Chicago-based law firm where she helped mission driven organizations reach maximum impact at the intersection of business and social impact.

I. The tax-exempt status of NIL collectives after recent IRS guidance | 2:00pm – 2:15pm

II. Tax-exempt organization reliance on favorable IRS determination letters | 2:15pm – 2:30pm

III. Retroactive vs. prospective revocation of tax-exempt status | 2:30pm – 2:45pm

IV. Strategies for guarding tax-exempt status | 2:45pm – 3:00pm