Does my non-profit 501c3 need to file a 990?

Non-for profit or 501c3?

• We are a non for profit travel soccer club that runs non for profit. We recently elected a board and trying to figure things out . We have kids pay $950 for multiple stuff throughout the year, coaching, equipment, fields, indoor facility and many more. at end of year we give coaches 1099 form to file taxes. The club does not have to pay taxes do they?? The coaches are basically " independent contractors " Anyway the board wants to go for profit but I don't want to. I don't see anyone wanting to help the club and I think they only see $$$$ signs . With 501c3 status doesn't this mean you don't need a Board??? please help me out with this. What are disadvantages of 501c3??

• Answer:

  A 501(c)(3) is a nonprofit. If you are a 501(c)(3), you do not normally have to pay taxes. If, however, you have unrelated business income, you would have to pay taxes on that. I can't see any reason that the board would want to become a for-profit. A 501(c)(3) organization requires a board. I think that yours is the kind of organization that should be a 501(c)(3). The people on your board need to talk with someone who has experience with similar organizations. There are also books available about starting nonprofit organizations.