Our Practice Areas

  • Taxation.
  • With representation.
  • And results.

Advising Nonprofits

Charity begins with good planning.

Nonprofits generally fall into one of two categories: family foundations and broadly based, publicly-supported organizations. Our experience encompasses both, and falls into the following categories:

  • Formation. We advise new nonprofits on a wide variety of legal and tax issues such as choice of entity, formation and governing documents. We also assist nonprofit clients apply for tax-exempt status with the IRS, and register with the state to ensure that they will be recognized as charities.
  • Governance and compliance. We assist nonprofits with fundamental governance and operational issues, such as compliance with federal and state laws, including tax laws. The tax deductibility of donations, for example, is a fast-evolving area, and nonprofits as well as the donors who support them need to ensure that contributions to the charity will be deductible. Strict adherence to the tax laws is critical in order to avoid the imposition of a variety of excise taxes.
  • Termination. If it is necessary to wind down a nonprofit organization, careful planning is crucial, as the stakes can be high: terminations are subject to significant oversight (in particular from the state Attorney General) and penalties for failing to strictly adhere to the governing documents and applicable laws can be costly.

We also assist in setting up specialized kinds of charitable split interest trusts — such as charitable lead trusts and charitable remainder trusts — which are principally estate planning tools for our clients who are charitably inclined.

  • Lourie & Cutler, P.C.
  • 60 State Street, Boston, MA 02109
  • 617-742-6720