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501(c)(6) Non Profit Refusing To Provide Financial Records On Request
I hope someone can help as I can’t seem to find an answer to this questions anywhere but you all might know.
I recently asked a non profit for their financials for the last three years. They identify as “a 501 c6 membership-based, not-for-profit organization.” They have had had non profit status since 2019 under one name are refusing to provide the information. This was their most recent response:
“The [name removed] is no longer in operation. Additionally, the organization was never registered as a federal nonprofit entity nor did the organization ever receive tax exemption status. You can check the IRS website and the organization’s name will not come up. The [name removed] was registered solely in the state of California as a nonprofit but never on a federal level.”
Here’s the thing. The non profit rebranded last year from after multiple controversies but everything else stayed the same – for example, picking a name at random, the entity was previously called Dave’s Trucks as an entity and also as a brand… but now it’s Dave’s Trucks as the entity and presenting as Trucks by Dave publicly. Also, they updated the information on CEO, CFO etc in March of this year. It has been classed as FTB-Suspended since April but has not been wound down.
Additionally, the entity is still registered at an address in Moorpark, CA but the people running it no longer live in the state. They vacated that address last year (it was a rental) and moved to Las Vegas, NV where they now permanently reside. Not only that but they also set up a new non profit there with a very similar sounding name earlier this year.
So, do they need to provide the requested financial information or can they refuse? Even if they claim the entity is no longer in operation (they claim it ceased to exist in July 2023 when they changed the public facing name), do they still have to provide the financials for the years it did exist when it presented as the original brand?
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1 Reply
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Hi Jamie,
I think it may vary state by state, but if they are a membership organization, they may only be required to provide financial information to their members or a state/federal entity, unless there is some sort of subpoena for the information. If you suspect a problem with this organization, your best bet may be to talk with someone in the state’s division of nonprofits. In California, I believe that is the state’s attorney general’s office.
Cheryl