[cgbg]

Your discussion of the law is valid—but there are lots of non-profits (large and small) that violate these rules in a thousand different ways.

Among the games they play are paying themselves for professional or other services or padding the expense accounts.

The IRS would need a million more auditors to catch all of them.

[oldbrowser]

A time honored tradition among politicians.
The Kennedy's were among the first to enter the "doing well by doing good" rackets.

[Freee-dame]

Or having meetings and conferences at 5 star resorts where they discuss the challenge that they claim to help.

[whitney69]

There is a lot more than just 501 money being used here.

The Sacramento Bee reported that a nonprofit Siebel Newsom founded, The Representation Project, which has promoted her causes, financed her documentary films and paid her $290,000 annual salary also has received donations from a host of companies that have lobbied the administration or are involved in significant regulatory issues before the state. They include PG&E and Kaiser Permanente which has done at least $35M in business with the state in the past two-and-a-half years — as well as AT&T and Comcast. Besides the annual salary of $290K, she gets residuals from the films the 501 was financing.

“Among the games they play are paying themselves for professional or other services or padding the expense accounts.”

These are legal loopholes. But according the Fox News, Jennifer Siebel Newsom, received $2.3 million in total salary from her nonprofit, The Representation Project, between 2011 and 2018, according to the nonprofit’s tax returns highlighted in an investigation by The Sacramento Bee. Siebel Newsom’s foundation billed itself as a gender watchdog organization releasing films to “challenge limiting gender stereotypes and shift norms.” Newsom has appeared in two of The Representation Project’s films, the Bee reported. Both paid her as an actress.

She’s milking it. And hubby is protecting her.

wy69