In its on-going efforts to disrupt operations of the Harris Ranch Community Infrastructure District (HRCID), the Harris Ranch CID Taxpayers’ Association (HRCIDTA) has reportedly financed its efforts with funds raised from neighbors in the HRCID. In their communications and materials, the HRCIDTA has represented that it is a 501(c)(3) and, with this status, any donations to the cause are tax deductible. Those who have contributed to the HRCIDTA may want to check with their CPA or other financial/tax advisor to determine whether this is, in fact, the case.
Per the Internal Revenue Service:
“To be tax-exempt under section 501(c)(3) of the Internal Revenue Code, an organization must be organized and operated exclusively for exempt purposes set forth in section 501(c)(3), and none of its earnings may inure to any private shareholder or individual. In addition, it may not be an action organization, i.e., it may not attempt to influence legislation as a substantial part of its activities and it may not participate in any campaign activity for or against political candidates.
“The organization must not be organized or operated for the benefit of private interests, and no part of a section 501(c)(3) organization’s net earnings may inure to the benefit of any private shareholder or individual.”
In its legal filings, the HRCIDTA’s describes its purpose as:
“To represent the collective and mutual interest homeowners in our neighborhood before the City Council of Boise, ID and the Harris Ranch CID Board of Directors regarding property tax issues that are unique to our neighborhood and economically affect hundreds of homeowners.”
Based on this description and the HRCIDTA’s actions to date, it appears the HRCIDTA’s mission is solely to benefit only homeowners in the Harris Ranch CID.
Your Barber Valley is not a tax or financial advisor and is not providing tax or financial advice to anyone. Homeowners contributing to the HRCIDTA would be wise to consult their own qualified tax and financial advisors regarding whether contributions to the HRCIDTA are tax-deductible on their own financial filings.
