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THE OMINOUS SIDE OF HORSE RESCUES

Posted by on Mar 4, 2019 in BREAKING NEWS, COW HORSE NEWS, CUTTING NEWS, HORSE ABUSE, HORSE NEWS, INDUSTRY NEWS, REINING NEWS, RICK'S CORNER, WHO, WHAT & WHERE | 4 comments

THE OMINOUS SIDE OF HORSE RESCUES

By Richard E. “Rick” Dennis
For ALLABOUTCUTTING.NET
March 4, 2019

FEEDING THE HORSE SLAUGHTER PIPELINE:

Through time and memorial, I’ve written a litany of articles on horse slaughter, horse abuse and the many sufferings horses are subjected to in their often-times short lifespan.  Perhaps, the most unsavory of them all is:  The FRAUD associated with individuals posing as legitimate horse rescues which turn out to be nothing more than FRAUDULENT SCAM ARTISTS whose sole purpose is to acquire horse(s) from owners under nefarious pretenses, in order to supply the horse-slaughter pipeline with fresh horse meat for their own greed and monetary reward.

Over the years, my research has revealed a myriad of reasons why the once revered and adored household pet (the horse) ends up in a foreign slaughter house. However, the primary factor can be contributed to economic hardship for the private owner.  Once the owner can no longer sustain the financial responsibility of owning and caring for a horse, the owner undergoes a gut-wrenching dilemma of what to do with their revered and adored pet.  On one hand their emotional attachment to the horse demands that the horse be cared for, while on the other hand they have no idea how to find that forever-caring home for their pet. Primary care of the horse is the viable option, while the foreign horse slaughter house is viewed as an abhorrent alternative.  After a period of vacillation, the owner eventually explores the “HORSE RESCUE OPTION.”

There are a lot of reasons why horses enter the foreign horse-slaughter pipeline but the primary contributing factor is the over population of horses in the United States.  As a Quarter Horse breeder, my opinion is that “Over population is primarily motivated by greed and big money”.  Each spring, a new supply of foals are born, with each one having a chance of entering the foreign horse-slaughter pipeline due to their inability to become a superstar in the show pen arena or on the race track. Other factors include accidents or injuries during training or showing. The success versus the washout ratio is very high with the “washout factor” being an important component to the equation.

UNORTHODOX BREEDING METHODOLOGIES:

Scientific advances in horse breeding is another contributing factor in the over-population of horses in the United States and include:  Frozen semen that allows stallions to breed from the grave long after they’ve crossed over the rainbow bridge; multiple-embryo transfer that allows a single mare to produce multiple foals in a single year, as well as shipped cooled semen that allows a single stallion to remain stationery in a single geographical location while breeding mares in multiple states as well as in the international marketplace.

ILLEGAL DRUG USE:

Another motivating factor for a horse’s entry into the foreign slaughter horse pipeline is illegal drug use.  In order to have a horse perform at a higher pace, run faster and jump higher, the unscrupulous trainer incorporates a regiment of illegal cocktail injections or ingestions into the horse’s daily training regiment.

However, these illegal concoctions actually do more harm to the horse in the short term than in the long run.  To quantify this assertion, I previously authored an article on the subject entitled:  THE MECHANICAL HORSE, A HORSE UNDER THE INFLUENCE OF DRUGS.  Essentially, illegal drug use allows the musculature of a horse to develop faster than the bone structure; therefore, the horse’s bone frame can’t withstand the energy exerted on it by the powerful built muscles attributed to illegal drug use.  This is the direct causative factor for broken bones, ruined hocks and stifle ligament damage. Click on the following link for a review of the article:

☛ Mechanical Horse Under the Influence 8-6-14

HORSE RESCUES:

As the name implies, Horse Rescues are privately owned organizations whose mission statement and objective is to provide a sanctuary for unwanted, neglected, abused and/or abandoned horses.  A horse rescue usually occupies one of three business categories:  1) Non-profit, 2) 501 (C) 3 non-profit and 3) privately owned.  As previously discussed in a previous article, the Federal 501 (C) 3 is a charitable organization with tax exempt status, the Non-Profit is a state-organized entity with tax-exempt status and the privately owned business has no tax exempt status. Of the three categories, the only one which affords a tax write off is the 501 (C) 3.  

However, each one has to adhere to either state or federal [public] financial disclosure laws.

The fact of reality is:  There are a lot of professional organizations in existence who meet or exceed their mission statement and objective. However, on the other hand, there are a lot of unscrupulous individuals in existence whose sole purpose is to defraud the horse owner out of his or her horse under false pretenses and for personal gain.  The “scam artist” is usually a very smooth-talking and accomplished individual who could sell ice cream to an Eskimo “so-to-speak.”  Of late, the Internet is reporting an increase in arrests, prosecutions, convictions and imprisonments of individuals who have been identified by law enforcement as being the “fraudulent type”.  The reported cases do not occupy one specific geographical location or region in the United States. Instead, they comprise a litany of states. Two such cases are identified as follows:

HAL PARKER:

According to a Union Parish, La.  Sheriff’s Office press release printed in The Blood Horse: “Horseman Tied To Rescue Outfit Faces Cruelty Charges”, Hal Parker, a Louisiana man involved with a controversial horse-rescue operation, was arrested Feb. 19 and charged on multiple counts of cruelty to animals and theft of a horse. To read the entire article click here: Link:

Hal Parker, 60, of Marion in northern Louisiana, near the Arkansas state line, was taken into custody following a five-week investigation into his involvement in acquiring horses, mostly Thoroughbreds, from auction houses known for selling animals for slaughter, that Parker would then re-sell,

Parker was charged with two counts of aggravated animal cruelty, two counts of simple animal cruelty and one charge of theft related to allegations that a woman in Iowa paid for a horse she never received, according to the Sheriff’s Office.  Parker’s bond was set at $250,000.  The investigation is currently on-going.

FALLON BLACKWOOD:

Another  example was reported by FOX NEWS on Jan. 17, 2019. A third-year veterinary school student in Alabama was arrested Saturday after allegedly promising to care for rescue horses but instead selling them to slaughterhouses in Mexico.

Fallon Blackwood, 24, was taken into custody at a rodeo in Blount Count, Alabama, three months after she was indicted on 13 counts for bringing into the state, property obtained by false pretense elsewhere.

The 24-year-old was also arrested at a veterinary school in Macon County, Alabama, eight months ago on an outstanding North Carolina warrant on similar charges, according to the Birmingham News.  Blackwood is accused of telling owners of older horses that she would take their horses to live on her farm in Boaz, Alabama, according to the criminal complaint.  But many of the owners said that instead of providing a place of refuge, the 24-year-old sold the horses to slaughter houses in Mexico for meat. The previous owners filed complaints with authorities after Blackwood could not account for their horses. To read the complete article, click on the following link:

https://www.foxnews.com/us/alabama-veterinary-student-arrested-accused-of-selling-rescue-horses-to-slaughterhouses-in-mexico

FORENSIC AUDIT OF A RESCUE:

The primary instrument used by law enforcement to reconcile a horse rescue’s books during an investigation is by the use of a “forensic audit”. A forensic audit is an examination and evaluation of a firm’s or individual’s financial records and information for use as evidence in court.  A forensic audit  can be conducted in order to prosecute a party for fraud, embezzlement or other financial crimes or claims.  As a Risk Manager and Risk Analyst, a forensic audit is my primary tool of choice to reconcile a set of books during a Risk Management Audit.  It’s concise, complete and separates the wheat-from-the-chaff, so to speak.  

In Drug Enforcement, I used this exact same investigative tool to dismantle a myriad of illegal drug cartels. I can personally attest to its effectiveness.  I was trained by the IRS and the FBI.  Therefore, my advice for any horse rescue is: Maintain an impeccable set of financial records to ensure he or she can pass a forensic audit if the need arises.  Every donation, horse, horse-related expenditures and adoption records should be accounted for.  If not, the end result could be dire for the owner of the horse rescue.

There are a lot of very fine horse rescues out there; you just have to find one.  My recommendation for the prospective individual requiring the services of a horse rescue is to perform a due diligent search, including Guidstar, to ascertain they are really a 501 (C) 3 non-profit, and ask for references as well as checking with the local law enforcement to ascertain whether or not any animal-abuse complaints had been filed against the facility.

“Until Next Time, Keep Em Between The Bridle!

Richard E. “Rick” Dennis
Managing Member
Wind River Company LLC
Freelance Writer and Author
Phone (985) 630-3500
Email:  richardedennis@yahoo.com
Web Site:  http://www.richardedennis.net

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FINANCIAL DISCLOSURE REQUIREMENTS FOR FEDERAL AND STATE NON-PROFITS

Posted by on Mar 2, 2019 in BREAKING NEWS, COW HORSE NEWS, CUTTING NEWS, HORSE ABUSE, HORSE HEALTH, HORSE NEWS, INDUSTRY NEWS, RICK'S CORNER, WHO, WHAT & WHERE | 6 comments

FINANCIAL DISCLOSURE REQUIREMENTS FOR FEDERAL 501 (c) AND STATE NON-PROFITS

By Richard E. “Rick” Dennis
for Allaboutcutting.net
March 2, 2019

Since my last article,  “WHATS THE DIFFERENCE BETWEEN A NON-PROFIT AND A 501 (C) 3 NON-PROFIT,” released on February 24, 2019 on http://www.allaboutcutting.net, I’ve received a flurry of phone calls requesting guidance on acquiring financial information on a specific non-profit organization about whether it’s a Federal 501 (C) or a state-organized non-profit.  More specifically, the main topic of concern can be summed up into one question:  “Exactly, what financial records are nonprofits required to disclose to the general public, including donors?”

My research revealed that essentially, non-profits are broken down into two distinct categories: Federal non-profits and State non-profits. Federal non-profits are generally tax exempt, charitable organizations and are assigned the 501 (C) designation along with a number after the “C” such as (3) which correlates to its exact Federal non-profit classification.  For example, the 501 C (3) designation correlates to a charitable organization.

State non-profits are comprised of being either a Sole-Owned Proprietorship, a Limited Liability Company, a Corporation, etc. In most cases, the privately owned non-profit may choose to not apply for a Federal tax-exempt status and elect to remain a State non-profit.  For the record, each type of non-profit enjoys some tax-exempt status.  However, the main difference between the two non-profit organizations is that “each one adheres to different financial disclosure laws and requirements, but the Federal non-profit allows for tax write-offs”.

FEDERAL 501 C NON-PROFITS:

The Federal 501 (C) 3 etc., is only required to disclose to the general public certain financial records, via the IRS Form 990, which can be found on Guidestar.org. An excellent IRS publication on the subject can be found by clicking on the following link:

 

STATE-ORGANIZED NON-PROFITS:

The state of the organization of a non-profit will list each state’s specific requirements pertaining to the disclosure of financial and other information to the general public, if any. Generally, and as stated in the foregoing, state-organized non-profits are generally comprised of private ownership; therefore, disclosing finances to the general public are limited, if at all, and in some cases non-existent.  A privately held non-profit absent of the 501 C moniker, such as a Limited Liability Company, a Sole-Owned Proprietorship or a Corporation, enjoy the same privacy and nondisclosure laws as a private citizen owning a business of the same type, except in certain circumstances when state funding comes into play and requires reporting and an audit.  However, the non-profit moniker may subject the non-profit to a completely different set of parameters.  The safe avenue to proceed, in regard to investigating a specific non-profit prior to donating, that is in a specific state, is to contact the Department of Revenue or the Secretary of State in the state of its organization for the correct answers and guidance.

The “National Council of Non-Profits” has an excellent article on the subject entitled, “STATE LAW NON-PROFIT AUDIT REQUIREMENTS”.

Click on the following link and review this excellent article on the subject:

NEFARIOUS ACTS:

As previously reported, the Internet is chock full of examples of cyberbullying, harassment and nefarious acts,  including, but not limited to threats, extortion, coercion, slander and harassment of private individuals and horse rescues.  My queries included a myriad of social media examples of this unorthodox, criminal and in some cases, “the perception of possibly libelous behavior”.  However, in my few exchanges with such individuals, I determined their allegations to be completely unfounded and without legal proof or merit, In fact, most of my reviewed character assassinations were being disseminated by erroneous  “rumor-mill linguistics” and were not based on any factual, legitimate and legal proof of their reporting, which is simply harassment and cyberbullying at its finest. In fact, some of the methods used by certain individuals could be likened to the tactics used by the KKK or a terrorist organization.  In an abundance of caution, I would suggest for such individuals to cease from this unorthodox behavior prior to someone taking them to task with legal action – more specifically, having him or her arrested for criminal acts, filing a lawsuit against him or her or both.

As a former Drug Enforcement Agent and Law Enforcement Officer as well as a current Private Security Professional and Risk Manager/Analyst, my professional standings, in the community has dealt with a fact or fiction mentality. It’s sort of like a woman being pregnant:  Either she is is or she isn’t. There’s no in between.

However, it seems their “cover story” is that they are performing such nefarious acts for the sake of and welfare of the horse.  As a freelance writer, I’ve written a lot of articles on the subject of horse abuse as well as horse slaughter and not once have I ever “crossed-the-line” and succumbed to this type of nefarious and in some cases criminal and perhaps libelous behavior to make a point in a conversation.  More specifically, accusing an individual of specific allegations absent of legitimate or legal proof while using a “rumor-mill linguist,”cyberbullying, threats, harassment and extortion to ruin a person’s reputation is very much, and without question, violating the law.  All of my reporting has been performed with verified legal backup.

It’s also against the law to use unfounded allegations to character assassinate the owner of a non-profit horse rescue, in order to recommend a favorable rescue of their choice. 

HOW TO PICK A HORSE RESCUE TO DONATE TO:

In picking a horse rescue for donations, my main concerns would be:  How long has the rescue been in business, who owns the rescue, determine whether the horse rescue is a Federal 501 C non-profit or a state-organized non-profit, as well as the length of service in the business.  It would be prudent to visit with the rescue itself, (i.e.) on-site, as well as interviewing the owner. Also, it would be prudent to ask for a list of randomly picked references who could enlighten the prospective donor of the professional character of the organization.

Another prudent proposal to the donor is to suggest that he or she contact law enforcement and inquire whether or not any horse-abuse or animal-cruelty complaints have been filed against the rescue or the owner. The same goes for animal shelters and animal organizations in a particular area. If, by chance, the donor is contacted by one of these so-called self-proclaimed animal rights activists for the sole purpose of discouraging an individual from donating to a particular horse rescue, the donor should immediately request legal proof from the activist substantiating all allegations to corroborate his or her claim(s). If proof positive can’t be delivered, the donor should discard this information as being non-factual and non-relevant.

In order to verify a particular businesses 501 C or state non-profit status, simple Google Guidestar.org for Federal Tax Exempt status or the Secretary of State in the state of organization.

“Until Next Time, Keep Em Between The Bridle!”

Copyright 2019, All Rights Reserved

RICHARD E. “RICK” DENNIS
WIND RIVER COMPANY LLC
MANAGING MEMBER
FREELANCE WRITER AND AUTHOR
PHONE:  (985) 630-3500
Email:  richardedennis@yahoo.com
Website:  http://www.richardedennis.net

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NCHA EXECUTIVE COMMITTEE MINUTES

Posted by on Feb 28, 2019 in BREAKING NEWS, CUTTING NEWS, FROM THE EDITOR, HORSE ORGANIZATIONS, WHO, WHAT & WHERE | 0 comments

NCHA EXECUTIVE COMMITTEE MINUTES

By Glory Ann Kurtz
Feb. 28, 2018

The NCHA Executive Committee has posted their minutes on their website for meetings held Nov. 7, 2018, Dec. 20, 2018 and Jan. 22-23, 2019.

The Nov. 7 minutes include the steps to be taken for the selection of the Vice-President Nominating Committee as well as a restructuring proposal for the NCHA Leveling classes, weekend show prorated added money and entry fees, a request from NCHA Europe to support their national show and awards, a request for creation of a Perpetual NCHA Inspiration Award, the Todd Drummond Award, a report from the Finance committee, communication regarding Chain of Command for the NCHA Office Staff, a Presidential update and a Parking Tag proposal for major aged events.

Nov. 7, 2018 meeting

 

The Dec. 20, 2018 Executive Committee telephonic Meeting included discussion regarding negative comments and concerns from members regarding the recent changes to Standing Rule 14 (no entry fee-jackpot). It was decided to rescind the action taken during the Nov. 7, 2018 EC meeting and lastly, information on the filling of the Director of Judges position regarding the retirement of Russell McCord in June 2019.

Dec 20, 2018 telephonic-meeting

The first Executive Committee meeting of 2019 was held Jan. 22-23 welcoming Sharon Overstreet who took over the position vacated by Jay Klamon. Competition Committee Chairman Frank Merrill distributed a list of activities of the Competition Committee and subcommittee on leveling and restructuring. 

NCHA lobbyist Jim Short addressed the members on the status of the PAC actions, updating the Executive Committee of the MERP funds from the state and how it was originated; Andy Adams was introduced as the new Director of Judges, a Finance Committee update, a discussion on how best to provide a report to the Directors regarding financial and other updates to the Directors, besides the posting of Executive minutes on the NCHA website and sending out information to Directors in an email blast. Phil Rapp noted he will include that item on the March Executive Committee meeting agenda.

The Executive Committee discussed a previous agreement with Dennie Dunn whereby Dunn was told that should his felony conviction be reduced to a misdemeanor, NCHA would consider reinstating his lifetime Director At Large Status. It was reported that such a reduction in category from a felony to misdemeanor has occurred and a motion was made by Ron Pietrafeso and seconded by Ernie Beutenmiller to reinstate Dunn to a Lifetime Director at Large and the motion passed unanimously; the EC accepted Gail Holmes resignation as Chair of the Stallion Breeders Group;  an update from the Long-Range Planning Committee that included the potential reduction in the size of the Executive Committee; potentially electing an NCHA President from a member of the Executive Committee; potentially changing the term of the President from 1 to 2 years; potential reduction in the number of standing committees and a potential change in the reporting structure of the NCHA Treasurer from the Executive Committee to the NCHA Executive Director; a discussion of the European Challenge proposal with agreement in principal that the idea is a good one but concern on how to promote its and an update on Box Seat sponsorship sales and Reserved Seating Status.

At the Jan. 23 Executive Committee meeting, two candidates were selected for the office of Vice President; an update on NCHA Marketing Department efforts presented; discussion regarding the NCHA official photographer as well as issues with the Cutting Horse Chatter; the reduction of sponsorship from Protect the Harvest; the withdrawal from the American Horse Council; Stallion Breeders Group loan status and committee update; the Super Stakes scheduled Summer Spectacular schedule, IT issues and feedback from the Finance Committee; a Team penning event plan and a Challenger series questions. 

EC meeting 1-22-23-2019

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PRO RODEO HALL OF FAMER DEB COPENHAVER PASSES AWAY AT AGE 94

Posted by on Feb 27, 2019 in BREAKING NEWS, RODEO & BULLRIDING NEWS, WHO, WHAT & WHERE | 0 comments

DEB COPENHAVER PASSES AWAY AT AGE 94

Press release from PRCA
Feb. 27, 2019

ProRodeo Hall of Famer and two-time Saddle Bronc Riding World Champion, Deb Copenhaver passed away late at night after going to sleep Feb. 6 at his home in Cresston, Wash, just a few weeks after his 94th birthday, according to his son Jeff Copenhaver. 

“He went to sleep and woke up in heaven,” said Jeff. “He was reunited with Cheryl, his wife of over 50 years. He was excited about seeing her.”

Copenhaver is considered one of the greatest bronc riders to come from the Pacific Northwest. He was known as a “thinking” rider. He started the style of the “dehorned” saddle, now required in saddle bronc riding competition. He did it partly by accident after a bronc mashed the horn when it ran into the unsaddling chute. Copenhaver shuttled off the rest of the horn and a new style was born.

Rodeo was in the Copenhaver family’s blood as Jeff was the 1975 tie-down roping World Champion and his daughter, Deborah, is a former Miss Rodeo Washington and a respected bronze sculptor.

Deb was born in Wilbur, Wash., on Jan. 21, 1925 and began breaking horses and exercising racehorses as a young boy. He entered his first rodeo at age 15. He enlisted in the Navy Seabees at 17 and spent two years in North Africa during World War II. After the war, Copenhaver worked as a logger in the Northwest for a couple of years before embarking on his rodeo career full time in 1948.

He won saddle bronc riding world championships in 1955 and 1956, was runner-up to Casey Tibbs three times (1951,’53 and ’54) and was inducted into the ProRodeo Hall of Fame in 1992.

He was nicknamed “Fireplug” as much for his fiery, competitive nature and his stocky build. The 5-foot-8 Copenhaver won plenty of big rodeos, including Calgary in1953, ’55 and ’58; Madison Square Garden in 1952 and ’55; Pendleton, Oregon in 1954; Salinas, Calif., in 1952; Denver in 1956 and Fort Worth, Texas in 1954.

He went on to serve on the PRCA Board pf Directors from 1986-1989. When he was 88 years old, he built a tiny roadside chapel on his ranch about 50 miles west of Spokane, Wash. He is survived by his children: Jeff, Deborah, Matt, Kelly and Guy, as well as numerous grandchildren.

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BINION LONG IN HOSPITAL FOLLOWING ACCIDENT

Posted by on Feb 26, 2019 in BREAKING NEWS, HEALTH AND WEALTH, INDUSTRY NEWS, WHO, WHAT & WHERE | 0 comments

WAYLAND AND LISA LONG’S SON IN HOSPITAL FOLLOWING ACCIDENT

Feb. 26, 2019

Binion Long, the son of Wayland and Lisa Long of Decatur, is in ICU at Harris Hospital in downtown Fort Worth following an accident last Tuesday when in the drizzling rain and dark of night he ran into the back of a semi-truck trailer just south of the ranch that was  making a delivery, but had no trailer lights on. 

“Scans show nothing broke but his pancreas enzymes were elevated, but did not rise through the night following the wreck,; however they are keeping him for further observation,” said Lisa.

“God has his hand on my son. Being in the biz, I have seen a lot of wrecked trucks and this was one of the worst,” said Lisa. “But after the response team got him cut out, he stood up and walked to the stretcher. God has something planned for this boy. Mark my words. Thank you for the flood of calls and please say a prayer that nothing takes a turn for the worse.”

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WHAT’S THE DIFFERENCE BETWEEN A NON-PROFIT AND A 501(C)(3) NON-PROFIT?

Posted by on Feb 24, 2019 in BREAKING NEWS, COW HORSE NEWS, CUTTING NEWS, FEATURE ARTICLES, HORSE ABUSE, HORSE ORGANIZATIONS, INDUSTRY NEWS, RICK'S CORNER, WHO, WHAT & WHERE | 4 comments

WHAT’S THE DIFFERENCE BETWEEN A NON-PROFIT CORPORATION AND A 501(c)(3) NON-PROFIT?

By Richard E. “Rick” Dennis
February 24, 2019

DONATION WRITE OFF’S FOR TAX RETURNS.

On social media, a “Hot-Button-Issue” is being debated among horse enthusiasts. With specificity, the topic of conversation pertains to donating to horse rescues whose sole purpose is the care of horses no longer wanted by society, including horses who are abandoned, abused, rescued from the slaughter pipeline or in distress from sickness or disease. Aside from the welfare of the horse itself, the other main interest to the donor can be summed up in one question, “What’s the difference between a non-profit corporation and a non-profit corporation with an IRS 501(c)(3) designation?  More specifically, Which one allows the donor to write off his or her donation on their annual tax return filing? 

My due diligent research into this topic, included an Internal Revenue Service publication as well as similarly related internet articles. An excellent article on this topic is written by Sam Ashe-Edmunds from which excerpts are included in this article.

Non-Profit Corporation:
A non-profit corporation is a state entity that does not automatically come with a federal tax exemption. A non-profit corporation that has been given 501 (c)(3) status by the Internal Revenue Service is not only tax exempt but also allows donors to write off donations. Not every nonprofit organization needs to apply for federal tax-exempt status.

The first step in becoming a non-profit organization begins with a state registration as a non-profit corporation. The entity can make a profit but all of its profits must be put back into the corporation and no members may take profits from the organization. Individuals can be paid a salary, wages or contract fees but they may not take profits that the entity earns.

Each state has its own requirements for a non-profit corporation status and you can find the rules for your state by visiting the website of your Secretary of State. The process is usually simple, requiring paperwork you can file online for a small fee, which is usually less than $100. State non-profit incorporation does not come with federal tax-exempt status but the organization can apply for and receive some tax relief at the state level, such as sales or income tax. Simply stated, some state non-profit organizations never apply for federal tax-exempt status. Therefore, please consult with your Secretary of State in your State of organization.

Tax-exempt Status:
An organization might want to become a state non-profit corporation to avoid paying certain state taxes, never opting to become a federal tax-exempt organization. Once a non-profit organization has incorporated, it can file for a federal tax-exempt status with the Internal Revenue Service or within its state. The IRS will review the application and determine what type of organization the entity is. The 28 different classifications include such categories as: charity, trade, research, civic and religious associations.

501(c) Status:
A 501 (c)(3) is considered a charity and the IRS allows donors to take a tax deduction for contributions of goods, cash and other assets. A 501 (c)(6) organization is a business entity that doesn’t necessarily seek to promote the public good but rather the interests of a select group of business people. Donations to 501 (c)(6) organizations are not tax deductible, which is why many trade associations set up 501 (c)(3) foundations. These related foundations solicit funds for scholarships, research or education.

Either type of organization can make a profit from its operations but if the entity consistently makes a significant annual profit, the IRS might remove its tax-exempt status. For this reason, tax-exempt organizations try to operate at or near a break-even basis. If you join a trade association, your membership dues might not be tax deductible unless you itemize your business expenses and declare your dues as an expense, not a donation.

Form 990:
Federal, tax-exempt organizations file an annual financial return to the IRS called a Form 990, which is available to the public each year. This document lists the organization’s board of directors, key employees, income, expenses, assets, mission and major activities. You can download a free copy of many tax-exempt organizations’ Form 990 at web sites such as GuideStar.org and FoundationCenter.org.

Verification of Status:
The easiest way to verify the claimed status of a specific entity is to contact the Secretary of State in the state of organization or directly contact the Internal Revenue Service.  If the organization is claiming a 501 (c)(3) status, just proceed to guidestar.org, enter the name of the organization and obtain the desired result in the search query. If the organization is a legitimate 501 (c)(3) and this organization files tax returns, it will show up here as legitimate.  If an organization previously holding a 501 (c)(3) tax exempt status has lost its exempt status, this information will also be available to the searcher.

The final result is: There’s a lot of very fine horse rescues out there. However, the donor should perform due diligent research into an organization prior to handing over your hard-earned cash to help horses. During my research, I also noticed a lot of bashing by one rescue organization against another. In my opinion,  in some cases, it appeared some of this bashing was for the demise of one organization to support the favorable competition. In law enforcement, this cyber bullying could be interpreted as “impeding commerce” or a violation of U.S. Code 1951.

Interference With Commerce by Threats or Violence:
Whoever in any way or degree obstructs, delays or affects commerce or the movement of any article or commodity in commerce, by robbery or extortion, or attempts or conspires to do so, or commits or threatens physical violence to any person or property in furtherance of a plan or purpose to do anything in violation of this section, shall be fined under this title or imprisoned for not more than 20 years, or both.

As with all things.  “Trust, But Verify!”

“Until Next Time, Keep Em Between the Bridle!”

Copyright 2019, all rights reserved

WIND RIVER COMPANY LLC
Richard E. “Rick” Dennis
Managing Member
Freelance Writer and Author
Office/Mobile: (985) 630-3500
Email:  HYPERLINK Mailto: richardedennis@yahoo.com or richardedennis@yahoo.com
Web Site:  HYPERLINK http://www.richardedennis.net or http://www.richardedennis.net

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