Nonprofit Tax and Legal Compliance

Scholz Nonprofit Law helps organizations obtain and maintain tax-exemption or decide whether it is necessary. We also advise on other legal obligations and opportunities applicable to nonprofits, including:

Federal tax-exempt status, such as 501(c)(3) charitable or educational organizations, 501(c)(4) social welfare organizations, 501(c)(6) trade or business associations

  • Federal Tax Exemption (Form 1023 or 1024)
    • Initial application
    • Auto-revocation and reinstatement
  • Public charity qualification (509(a) classification)
  • Private foundation compliance, including self-dealing issues
  • Unrelated business income tax issues
  • Annual tax filings (Form 990)
  • Group exemptions
  • IRS audits

State compliance, including:

  • Sales tax issues and exemption
  • Property tax exemption
  • Open Records and Open Meetings

Other organizational options, including:

  • Fiscal sponsorships
  • Taxable mission-driven entities – e.g., benefit corporations
  • Coalitions and collaborations

Fundraising, including:

  • License to solicit donations at state level and state reporting requirements
  • Raffles
  • Grant compliance
  • Gift agreements and donation policies
  • Endowment policies
  • Donor advised funds and related agreements
  • Impact investing
  • Private investors and disclosures
  • Fundraising strategy


  • Compliance with Wisconsin Ethics Laws
  • Compliance with federal law, including 501(h) election

See also Operations and Business Transactions, for a list of other services related to operations and business matters, including agreements, governance, real estate, employment and any other issue that contributes to a well-run, compliant organization. See also Representative Projects.

Driftless Development

For Driftless Development, Scholz Nonprofit Law obtained 501(c)(3) status for this economic development organization in southwest Wisconsin. In the process we consolidated city and county economic development activities through a merger to pursue a regional approach.

Collaborative Summer
Library Program

Scholz Nonprofit Law serves as general counsel to the Collaborative Summer Library Program (CSLP), a national non-profit organization composed of volunteers who create, produce, and provide public libraries with high-quality summer reading materials for children, teens, and adults across the U.S. We assist this large, member-based organization with a range of legal and strategic issues, including: Board and membership policies, contracts with service providers, request-for-proposals for vendors, collaboration agreements with for-profit and non-profit partners, licensing arrangements, and compliance with 501(c)(3) requirements.