bsa fundraising rules
Whenever your unit is planning a money-earning project, this checklist can serve as your guide. And why this decision may have a bit more bite and harder to ignore than leaders would like is because if COs get a whiff that their non-profit status is in jeopardy they may crack down as well. The Boy Scouts of America Rules and Regulations outline more fundraising rules that may apply to your troop. The official uniform is intended to be worn primarily for use in connection with Scouting activities. Before any person in your unit signs a contract, he must make sure the venture is legitimate and worthy. A: BSA hopes that each troop will be helpful towards the other troop as well as friendly, courteous, cheerful, and kind. Its a clarification in order to protect your tax-exempt CO and your Scouts (that is, unless you *want* to spend time to fill out that tax form as per http://www.irs.gov/pub/irs-pdf/p929.pdf. The BSA Unit Money-Earning Application (Form No. Im guessing that the paragraph prohibiting individual benefit was dropped in to the document without revising what was already there. If we now talk about changing chartered partners, the IRS has not issued any guidance.. They teach Scouts to be thrifty and to manage money. You would then need to use social engineering to encourage (dare I say shame?) A unit can give funds to scouts, but this represents a bit of a grey area. Adult and youth members shall not be permitted to serve as solicitors of money in support of personal or unit participation in local, national, or international events. For example: Boy Scouts/Cub Scouts and leaders should not identify themselves as Boy Scouts/Cub Scouts or as a troop/pack participate in The Salvation Armys Christmas Bell Ringing program. However, council executive boards may approve use of the uniform for any fundraising activity. And now I am doing my research via Google because that seems to be the only way to learn anything. Fundraising Policies and Procedures Manual 1 Introduction If there is one consistent theme for fundraising in the Boy Scouts of America, it is that effective fundraising must be planned and coordinated using sound fundraising principles. PackTroop CrewNo. 6. How can scouts add money to their accounts to cover the Many Costs of Scouting? Before any person in your unit signs a contract, they must make sure the venture is legitimate and worthy. BSA has issued a 15-page Fundraising Policies and Procedures Manual which describes the rules and regulations for conducting fundraising activities to accomplish the above objectives and ensure that fundraising is planned and coordinated using sound fundraising principles. The BSA Eagle Scout Service Project Workbook is your guide to everything you need to complete the last step on the road to becoming an Eagle Scout! A large number of Units are Chartered by Religious organizations which hold the 501(c)(3). If they are saying that your family just saves that amount by using the discount card then how can the council get $100 and your Scout get $100? So, if a scout collects funds from popcorn sales, it must primarily be used for the whole troops benefit. For example, certain providers require excess funds be used solely for the project, not just turned over to the project beneficiary. COMMISSIONER OF INTERNAL REVENUE, Respondent Check with your chartered organization representative and your district executive to make certain that your chartered organization and the council agree on the dates and type of fundraiser. Youll be asked to estimate how much youll earn from your fundraiser and how the money will be used. This means if you intend on venturing into a neighboring city, you need to check to ensure that another troop isnt already conducting fundraising activities in that area. PDF GUIDE TO SAFE SCOUTING - Boy Scouts of America I will refer Scouts with questions regarding these topics to talk to their parents or spiritual advisor. While individual scout accounts were very common in the past, according to Scouting forums, some troops are starting to do away with them entirely to avoid the legal complexities. Below, Ill go over the main pros and cons for having individual scout accounts in your unit: Depending on your troops number of scouts, committee size, and wealth disparity amongst families, setting up individual scout accounts might be a great call. :), link to How To Plan An Eagle Scout Project: An Easy 5-Step Guide, link to The Personal Fitness Merit Badge: Your Ultimate Guide in 2023, the Value and Real-world Benefits of Earning the Eagle Scout Rank, All Eagle-Required Merit Badges: Difficulty Rankings And Guides, Terms and Conditions & Privacy Policy For ScoutSmarts.com. The reverse side of the form contains the eight guidelines for unit money-earning projects to assist in completing the application and to ensure compliance with BSA rules and regulations. Seems like there is really two issues here getting jumbled into one: So maybe Im jaded but it isnt like my concerns are unfounded. What happens to the money raised when a Cub Scout becomes a Boy Scout, for example? BSA has issued a 15 page Fundraising Policies and Procedures Manual which describes the rules and regulations for conducting fundraising activities to accomplish the above objectives and ensure that fundraising is planned and coordinated using sound fundraising principles. * Whether or not the donations are tax deductible thus causing the Chartered Org potential issues with their non-profit status. One thought which should be considered is using the IRS Guidelines against them. I touched on the definition earlier, but lets take a second to dive into the individual scout account and how it works. For example, they must not include raffles or other games of chance. Fundraisers - Troop Leader Resources This site is a participant in the Amazon Services LLC Associates Program, an affiliate advertising program designed to provide a means for sites to earn advertising fees by advertising and linking to Amazon.com. BSA Unit Money-Earning Project Guidelines - Powhatan This is probably why the BSA painted with such a broad brush, prohibiting all activities resulting in private benefit. Why do you say that this I a move from National to keep more money from Units? 2. Evergreen Industries understands how being prepared The BSA prefers there not be any fundraising at all for an Eagle project. 1. Join 11,954 people who get Aaron on Scouting in their inbox. How To Plan An Eagle Scout Project: An Easy 5-Step Guide. The typical arrangement where all or a portion of the profit from the sale of a product such as popcorn or holiday greens, or work done stadium cleanup, for instance is credited to a boys Scout account has been in almost universal use. I believe that the BSA as a whole is going to have to addresses all of the ramifications quickly on this otherwise Units may begin to fold and Council and District camps will suffer tremendously from the decreased attendance. Im only able to speak from my own Scouting experience. January 20, 2014 by Frank New policy prohibits individual Scout fundraising accounts "A Scout works to pay his own way and to help others." This wording, or a version of it, has been in the explanation of "A Scout is Thrifty" in the Scout Law for decades. BSA chartered units may participate in approved fundraising projects provided BSA Rules and Regulations and guidelines are followed. And while a Scout might have a part-time job in order to earn money for his Scouting activities, many troops have long provided a means by which a Scout can earn money for his troop expenses through fundraising. What has me confused is if the fiscal policy is talking about scout accounts, then why not spell it out in unambiguous terms? Until next time, I'm wishing you all the best on your journey to Eagle and beyond! But, that seems just more red tape to get to the same place. Units can still conduct fundraisers to fund unit operations, but cannot require a minimum fundraising amount per Scout or family and cannot allocate proceeds to individual members.. PDF Rules Regulations Sept20 - Scouting The product must not detract from the ideals and principles of the BSA. or Should we be radical and just wipe them out? Fundraising vs Soliciting "At no time are units permitted to solicit contributions for unit programs." (BSA National Fund-raising guidelines, 510-274) Does the site have an auto-shut off upon reaching the funding goal? Again hand it to the wonderful bureaucrats, what is the area between 2% and 30%. Again, why should this be any huge concern to the IRS anyway? Crowdfunding options Put on your uniform and let's get started! Are they all in violation? However, I do believe that it will change the criteria used to establish how scholarships are awarded. Boy Scout fundraising ideas. If your answer is Yes to all the questions that follow, it is likely the project conforms to Scoutings standards and will be approved. Although Scouting might seem rather expensive at first glance, know that the time any young person spends as a scout is a huge investment in their future! If youd like my two cents, we need to follow A Scout is Obedient (He obeys the laws of his community and country. If other than a council-sponsored product sale, before decidingon a fundraiser, troop leadersshouldrefer to Guides to Unit Money-Earning Projects. So. (Interesting how popcorn sales come in at about 30% back to the Troop.) PDF FAQs for Linked Troops - Scouting BSA discourages unit-owned credit cards, debit cards - Aaron On Scouting If one family does 6 of our activities, and another does 0, do we really have to give that family a share? It was the first time in a long time the IRS has done that, he says. Units should not engage in money-earning projects merely because someone has offered an attractive plan. Thats absolutely prohibited, he says. This can be a little confusing, but Ill try my best to keep things simple. If each of the kids and their parents are properly encouraged to be a part of the organization and do what they can, then the organization will be able to reduce the cost for everyone. your complimentary copy of our I confirm that I have fully disclosed and will disclose in the future any of the following: Each dollar earned must benefit scouting as described in the Rules and Regulations for the Boy Scouts of America. 2023, Boy Scouts of America. In our case, we have deposited money into the scout account to pay for activities, so it isnt even money earned via a fundraiser. Aaron Derr is the senior editor of Aaron on Scouting and Scout Life magazine, and also a former Cubmaster and Scouts BSA volunteer. So, all the BSA is doing is ensuring that its long-standing policy by raising the visibility and nothing more. Just a thought? Or am I wrong here. In the rulings it was mentioned that an insubstantial part was deemed acceptable. Theres nothing wrong with the traditional unit deposit account that many councils offer, because they are merely holding for future use funds that were deposited by troops and packs. 6. You only need to look at the hasty retraction of the recent item on the Scouting Magazine blog to get a sense for how complex (and counter-intuitive) these rules can be. If a donor or fundraising participant wants a receipt, this too, must be provided in the name of the beneficiary. It would be very easy to set up a reward system for a fundraiser that is similar to the popcorn fundraiser. When they grow up and go to work in the real world, everyones wages arent pooled & split equally despite Fred being more skilled or working more hours than Bob NO, you are rewarded for your hard work. Even if a chartered organization isnt a 501(c)(3) charitable organization (there are several, such as hospitals or fire departments), BSAs wide-reaching blanket prohibition would seem to ban units that wouldnt otherwise be affected from individual fundraising. The new policy was first found buried in a publicationaimed at councils on running effective product sales, which was released late last summer, and most recently appeared in Fiscal Policies and Procedures for BSA Units,a summary of frequently-asked questions about unit finance.The product sales guide acknowledges that conflicting information will be found in publications and websites but states that other references to the now-prohibited method of allocating funds would be changed as they are discovered. Because this fundraising is external, contributing the money to your scout account likely wont violate the IRS rules of private benefit! For this reason, approaches such as online fundraising are acceptable and may be handled exclusively by a parent or unit leader. I am guessing the majority of units out there are not even aware of this document so why doesnt National do a better job of communicating this information. Units are allowed to offer a product or service, but there must be a flat fee charged for that product or service. Its not all doom and gloom, cats and dogs are still bitter play partners. Crowdfunding sites and Eagle project fundraising - Aaron On Scouting Ive pasted it below for yourconvenience: A units money-earning methods should reflect Scoutings basic values. For many years, Trails End has had a scholarship program where boys selling a minimum amount can earn money for college. But we now have a benchmark to use, the 2%. MAIL: 1325 W. Walnut Hill Lane, Irving, TX 75015-2401. section 1.501(c)(3)-1(c)(1), Income Tax Regs., provides: An organization will be regarded as operated exclusively for one or more exempt purposes only if it engages primarily in activities which accomplish one or more of such exempt purposes specified in section 501(c)(3). Watch Cub Chat Live every Friday at 2 p.m. CT on Facebook Live for tips, tricks and ideas to help your den or pack. If your answer is Yes to all the questions that follow, it is likely the project conforms to Scoutings standards and will be approved. Units should not engage in money-earning projects merely because someone has offered an attractive plan. But our Council has never provided us with a rulebook. There youll find a guide to unit money-earning projects with eightquestions and answers about fundraisers. All unit fundraisers must obtainwritten approval from the local councilno less than14 daysbefore committing to the fundraising activity. Fundraisers conductedthrough your local Scout council, such as Scout popcorn sales,are a no-brainer. If a scout individually receives fundraised money for their own benefit, they legally must pay taxes on these funds if theyre substantial. The IRS classifies private benefit into two categories: substantial benefit and insubstantial benefit. These principles include: Either 1) the contributions are gifts to the boys and deposited into an account owned by the chartered organization in trust for the boys that received the gift. If you are not sure, check with your district executive for help. ), doing chores or mowing lawns, but not when the unit gets involved as the de-facto employer, essentially paying the Scout for selling candy bars or manning the tree lot. Watch Troop Talk Live every second Wednesday of the month at 2 p.m. CT on Facebook Live for ideas to help your troop. There are many worthy Eagle Scout Service Projects that can be carried out at minimal cost, if any. They give familieswho might not otherwise be able to afford Scouting a chance to experience it. Christian Snouffer knows that process well. This would be the majority of Scouts in the country. All commercial products must sell on their own merits, not the benefit received by the Boy Scouts of America. PDF Navigating the Eagle Scout Service Project - Boy Scouts of America By completing the application and having it approved by your council service center at least two weeks prior to your fundraiser, youll ensure your fundraising efforts are fully in line with those regulations. Are you required to offer some sort of reward to backers? The IRS has classified 30 percent of the money raised as substantial, and less than 2 percent as insubstantial. The burden of proof that the benefit is insubstantial is on the organization. Under the Camp Discount cards on Page 8 it says: Your son will get $100 for his Scouting program, and your son gets $100:50 percent return to you! and then at the top of the very next page it says The use of individual youth accounts to credit amounts from fundraising to an individual toward their expenses is not permitted.. Your DE may have been a bit crass in the way he characterized the purpose of the unit money-earning application, but the national by-laws do prohibit units from soliciting funds directly. So if the IRS needs to tax boys, then so be it. 34427 BSA Unit Money Earning Application 6. The National Council hasnt had a stellar year, but it isnt to blame for everything good grief. 1) Gourmet Popcorn Fundraiser: Popcorn has always been a staple when it comes to boy scouts fundraisers, but supporters may get tired of the same selection of flavors and format. Selling raffle tickets or other games of chance is a direct violation of the BSA Rules and Regulations, which forbid gambling. During these challenging times, the Boy Scouts of America needs you more than ever. Start by registering as a Scout Leader on the Boy Scouts of America (BSA) website. The whole situation is very sad and makes me angry. Bryan Wendell, an Eagle Scout, is the founder of Bryan on Scouting (now Aaron on Scouting). Can Scouters raise funds for themselves using individual accounts? All commercial products must sell on their own merits, not the benefit received by the Boy Scouts. Fundraising is allowed to the extent required to cover the expected expense but projects whose sole purpose is to raise funds do not qualify as Eagle Leadership Service Projects. If the money goes to benefit the troop at-large, then thats in keeping with the purposes of a 501(c)(3) organization. I'm Cole, the guy behind ScoutSmarts. As a troop reaches out to community members for fundraising dollars, its important that any campaigning not be in competition with another troop. Many Boy Scout troops rely on fundraisers to pay for trips and extra supplies. Can Scouts still accept prizes for their participation, such as those typically given for various levels of popcorn sales? To cite the old joke: If the opposite of pro is con, is the opposite of progress Congress? Ive just read the Product Sales Guide on the BSA site and even this document seems to contradict itself. The article described one units fundraiser bagging groceries for tips in direct violation of BSAs by-laws which prohibit units from asking for monetary donations. Theyve already beenreviewed, meaning they follow all BSA rules and regulations. She was forced to pay a couple hundred dollars in additional taxes and fines. Cub Scout & Boy Scout Fundraising Ideas - GoFundMe UNITED STATES TAX COURT The BSAs prohibition is on allocating proceeds from unit fundraisers in proportion to the amount the Scout sold or hours of work performed. Wikipedia provides a comparison of crowdfunding services. Approval must be given by the chartered organization and the council. It is worth repeating that any funds raised via crowdfunding belong to the beneficiary organization, not the Eagle candidate or the troop. Viewing it as Income would require the boys to fill out IRS paperwork and file tax returns each year ONLY IF their total income from scouting and any jobs they might have is more than $6,100 (assuming the scouts are dependents on their parents IRS returns and single). Am I not understanding something? scholarship awards or payments is based on the number of hours devoted by the And, units can still do fundraisers. But in doing so, well effective cut the ability of some lower income families to participatethose whose scouts use the fundraising to pay for summer camp. When planning a fundraiser, troops should recognize the rules regarding uniforms and fundraisers. Scout unit fundraising: Do's and don'ts - Aaron On Scouting Ill wait to hear this come down from my council. There are a few main ways that Ive seen scouts add funds to their individual scout accounts: These accounts can greatly benefit scouts who have trouble paying for expenses like uniforms, camps, or outings. Mark, chill. How could you just wipe the current funds out? 8. Could it be that local councils are not aggressively announcing this policy because they receive substantial financial benefit from product sales such as popcorn and camp cards? Violating any of these rules can lead to your troop losing their non-profit tax exemption! I hope this article taught you everything you were hoping to learn about individual scout accounts. This may mean that some skate for free, it has been that way for a long time. While investing in Scouting is good for the community (the Ann Curry rescue thats making national news is just one example of Scouts doing good), the IRS sees it all in accounting black & white to our detriment. Very interesting comments. If you continue to use this site we will assume that you are happy with it. We're a 501C3, or a non-profit organization so we're bound to do that or we could put our non-profit status in jeopardy. BSA Individual Scout Accounts (From Fundraising): Everything To Know Written by Cole All Posts Scouting Culture If you've been in Scouting for a while, you may have heard the term "individual scout accounts" used when talking about fundraising or paying for camp.
What Drugs Are Known To Impair Driving?,
Python Format Int To String With Leading Zeros,
Tcc Baseball Schedule 2023,
Articles B