The Internal Revenue Service said yesterday that 275,000 nonprofits have lost their tax-exempt status because they did not file legally required documents for three consecutive years. That move trims the number of tax-exempt groups by about 14 percent. Of those 275,000, Alaska accounts for 900. Many of the groups that lost their exemptions are nonprofits, and donors to those organizations cannot claim a charitable deduction for gifts to the groups after the IRS makes the list official. Many of the organizations are believed to be defunct, the IRS said, but groups that are still operating may now apply to get their nonprofit status back. View here-… Read more »

Here are some article summaries posted in the News to Use section of the Economic Response resources on The Foraker Group web site for the week ending December 18. Recession Prompts Watchdog Agency to Loosen Fund-Raising Standards The Chronicle of Philanthropy In recognition of the recession’s severe impact on charities, the Better Business Bureau Wise Giving Alliance announced today that it will allow organizations more leeway in meeting its standards for how much they spend on fund-raising and program activities. Since 2003 the watchdog agency has required charities that meet its 20 standards to spend at least 65 percent on programs (Standard 8) and no more than 35 percent of contributions on fund-raising expenses (Standard 9). But for the fiscal years ending in 2008 through June 2010, the agency announced,… Read more »