cpc0506 Posted September 25, 2019 Posted September 25, 2019 We are working through our list of clients that need the PPA restatement for their current documents. I have come across a plan for a Boys and Girls Club. I know that 'nonprofit recreational clubs' are tax exempt but cannot sponsor a 403b plan. Would a Boys and Girls Club fall under this definition of 'nonprofit recreational clubs'? Does anyone reading this blog have Boys and Girls Club as a client who have a 403b plan? Or is it enough that the Form 990 reflects the company as a 501(c)(3) organization? Thanks for any guidance you can provide.
Luke Bailey Posted September 25, 2019 Posted September 25, 2019 cpc0506, if it's a 501(c)(3) as reflected on its For 990, it can have a 403(b) rr_sphr 1 Luke Bailey Senior Counsel Clark Hill PLC 214-651-4572 (O) | LBailey@clarkhill.com 2600 Dallas Parkway Suite 600 Frisco, TX 75034
Patricia Neal Jensen Posted September 25, 2019 Posted September 25, 2019 As usual, Luke Bailey is correct! I know of no reason that a 501(c )(3) cannot have a 403(b) plan. You might ask for a copy of their 501(c)(3) exemption letter if you have some reason to doubt the 990. Also, just for fun, I googled "Boys and Girls Club 403(b)" and at least a dozen of these showed up. PNJ rr_sphr 1 Patricia Neal Jensen, JD Vice President and Nonprofit Practice Leader |Future Plan, an Ascensus Company 21031 Ventura Blvd., 12th Floor Woodland Hills, CA 91364 E patricia.jensen@futureplan.com P 949-325-6727
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