Why is WebOfCharity considered a For-Profit organization?
While researching the IRS documentation to apply for 501(c)(3) non-profit status we uncovered the following paragraph regarding contributions: If the donor receives or expects to receive goods or services in return for a contribution to your organization, the donor cannot deduct any part of the contribution unless the donor intends to, and does, make a payment greater than the fair market value of the goods or services. If a deduction is allowed, the donor can deduct only the part of the contribution, if any, that is more than the fair market value of the goods or services received. You should determine in advance the fair market value of any goods or services to be given to contributors and tell them when you publicize the fund-raising event or solicit their contributions how much is deductible and how much is to the goods or services. See Disclosure of Quid Pro Quo Contributions in chapter 2. In the case of WebOfCharity.com, the donor is actually the Advertising Sponsor. Our site is
