2007-05-02 09:50:27 · 5 answers · asked by jeff g 1 in Business & Finance ➔ Small Business
Sure.
A nonprofit organization simply means that it will not have any taxable profits.
A nonprofit organization can pay salaries, bonuses, and other means of compensation to anyone it wants to. It's not unheard of for the founder to receive payments.
A friend of mine who directs a non-profit once told me that "non-profit" is a misnomer. Nonprofits are just as responsible to their constituents for balancing budgets and bringing in revenue as for-profits are to their stockholders.
2007-05-02 09:55:00 · answer #1 · answered by Scotty Doesnt Know 7 · 0⤊ 0⤋
It may depend on the State but in general, as long as they avoid excess benefits, they are okay.
See the non-profit reference http://www.nonprofitissues.com/public/features/point/48.html?PHPSESSID=...
2007-05-02 16:55:37 · answer #2 · answered by no_such_reality 2 · 0⤊ 0⤋
Yes, they will pay themselves a salary. They just won't be able to take earnings from the company.
2007-05-02 16:54:26 · answer #3 · answered by Anonymous · 0⤊ 0⤋
It sure works for George Soros.
2007-05-02 16:58:28 · answer #4 · answered by Anonymous · 0⤊ 0⤋
yes, but you pay tax on what you get paid
2007-05-02 17:27:18 · answer #5 · answered by Jo Blo 6 · 0⤊ 0⤋