kbunt
Mar 27, 2012, 04:59 AM
We have a 501(c)6 for wedding professionals. The group used to be a private business so we did a lot of giveaways to brides.
Now that we're non-profit, we want to keep doing giveaways if we can, but we also need to avoid inurement issues. Would it be within the law to structure our annual dues so that part of it was a gift certificate worth $100 from each member, plus $200 in cash from each member? That way we wouldn't be using cash from the group account, but we'd still have something to give to brides at wedding shows, etc.
Would that be okay since we'd be essentially be giving each member a rebate of dues without going into the bank account? Or would it be considered promoting the individual businesses and inurement?
Now that we're non-profit, we want to keep doing giveaways if we can, but we also need to avoid inurement issues. Would it be within the law to structure our annual dues so that part of it was a gift certificate worth $100 from each member, plus $200 in cash from each member? That way we wouldn't be using cash from the group account, but we'd still have something to give to brides at wedding shows, etc.
Would that be okay since we'd be essentially be giving each member a rebate of dues without going into the bank account? Or would it be considered promoting the individual businesses and inurement?