What is the corporate structure best suited for a nonprofit organization that desires to lobby?
A. It depends on the amount of lobbying you intend to conduct. You should seriously consider applying for 501(c)(3) status and chose to come under the 1976 Lobby Law. Under that law, the amount you can spend on lobbying is ample and the definitions are clear as to what constitutes lobbying. In addition, gifts to your organization will be tax deductible. (p. 55) If, after review the foregoing, you decide you need more latitude to lobby then you should consider setting up a 501(c)(4) organization. There are no restrictions on the amount of lobbying you can conduct as a (c)(4), but gifts to your organization would not be tax deductible. (p.
