Question: Ramifications of not following Bylaws
Can we lose our 501c3 status for not following our bylaws? Our board is making up its own rules regarding voting and disregarding our bylaws. In my opinion this is unethical. is there anything that can be done other than trying to get them off next year's board?
Asked by yredford
Answers:
Community Advice
gjcoram writes:I think you lose your 501c3 status for failing to file your Form 990 or failing to abide by the exempt purpose stated in your initial filing. If the votes are for illegal activities, then yes; if the votes are to fund item A instead of item B for your school, then probably the IRS doesn't look that closely at the minutes and by-laws.
Do your by-laws provide for removal of officers? If they're not doing their jobs, then it might be possible to make a case for removal. But that's a very adversarial position to take.
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