Important Update on Camp Onas's Tax-Exempt Status
Unfortunately, Camp’s status as a 501(c)(3) tax-exempt organization status has been automatically revoked. Automatic revocation occurs when an exempt organization that is required to file an annual return (e.g., Form 990) does not do so for three consecutive years.
How is Camp resolving this issue?
-
- We are working diligently to reinstate our 501(c)(3) status retroactively, which would restore tax-deductibility of donations back to the date of revocation. We enlisted support from a firm that specializes in 501(c)(3) reinstatement to guide us through the process, and employed measures to prevent issues like this in the future.
- Today, Camp Onas has the capacity to carry out quality programs without sacrificing administrative or strategic work, and we will continue working with the requisite external partners to increase compliance and transparency going forward.
What led to this?
-
- In 2021, our top priority was to safely welcome campers back to Onas after having to cancel the 2020 season. Resuming our summer programming required the organization’s full capacity at a time when Camp employed one person full-time, and had just adopted a new accounting software. Due to these factors, and the backlog of financial reports they caused, Onas did not file IRS form 990 for three consecutive years.
- We received a notification from the IRS by mail in December, 2023, and though we thought we filed the appropriate paperwork, those filing documents were returned to us in April, 2024 with instructions to complete a different filing form.
What impact will this have on Camp and its supporters?
-
- Automatic revocation means that the IRS does not currently recognize donations to Camp Onas as tax-deductible charitable gifts. The group of people most affected by this are donors who plan to claim donations to Camp Onas as itemized tax deductions on their federal income tax returns.
- For many people, tax-deductibility is not a priority when they consider their charitable giving, especially for individuals who use the standard deduction on their tax returns, rather than itemizing deductions. At the same time, tax deductions for charitable contributions are an important part of financial planning for many families, individuals, businesses, and foundations… and we will absolutely support anyone’s preference to donate only if they are sure a donation is tax-deductible. In those instances, we recommend waiting to make your donation until Camp Onas can properly receive it as a tax-deductible donation.
- While we are temporarily unable to guarantee the tax-deductibility of donations made to Camp Onas, Camp Onas remains committed to our mission – Creating a community of people who are joyful, confident, kind, and engaged. We expect our status to be restored and our tax status should not jeopardize the long-term sustainability of our organization. We do not forsee disruptions to our programs or ongoing projects, and we remain committed to careful of our resources, the programs we provide, and the people we serve.
Can I still donate to Camp Onas?
-
- Yes! People who would like to continue supporting Camp Onas are welcome to do so, and their support is deeply appreciated.
- It is important for donors to understand that donations to Onas, if made while our charitable status is revoked, may not be accepted as a tax deduction unless the IRS approves our request for retroactive reinstatement.
- Your donation will still support our programs and mission the same as donations always have. What is different at this time is that the tax-deductibility of your gift depends on an IRS decision that has not been made yet.
The timeline to resolution ranges from three to twelve months. If you would like to receive updates about our reinstatement process, please use this form to let us know.