Tax Status Ruling

Two years plus two months and much correspondence after filing a Form 1023, “Application for Recognition of Exemption Under Section 501(c)(3) of the Internal Revenue Code,” with the I.R.S., we received a “final” response at the very end of March of 2010. The IRS ruled that because “you are an action organization, as defined in Treasury regulation[s]...,” we are not considered qualified for 501(c)(3) status. However, “[y]ou may qualify as a section 501(c)(4) organization, [and], as such you are permitted to conduct your activities in the manner in which you have been in the past.” Because of a looming deadline, we immediately filed the required Form 1024, as we simply do not have the funds to fight this decision in court, despite the contrary opinion of legal counsel. Fundamentally, what all this means is that, although The Hippocratic Resource is still considered a tax-exempt organization that will not have to pay taxes, “Contributions … will not be deductible.”

Given the type and amount of putatively officially designated non-profit organizations whose solicitations constitute the overwhelming bulk of the copious junk mail that jams our mailboxes daily, it seems clear that the I.R.S. is simply not interested in providing new 501(c)(3)-favored status to well-credentialled health professionals who support the biologic and medical truth that serves as the basis for a Hippocratic respect for human life.

It should be noted, however, that we have been a bona fide, registered, non-profit Corporation in Louisiana since February 7, 2008, and that Louisiana law pertains to State tax obligations. It is unclear, as yet, how this will affect us; as it becomes defined, we will be sure to communicate with you.