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Ben
@jarmen
@wylin post duna we can own real-world assets. Seeing as the coffee shop isn't purchased is it possible to get it owned by us now?
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wylin💎↑
@wylin
this one’s messy yes, a DUNA can own real property and could run a coffee shop ie Prop 580 re: Prop 450 if we’re gunning for 501c3 status, all of Nouns’ previous activity will be reviewed by the IRS. even before achieving 501c3 status; an org’s activity needs to fit within the boundaries of public benefit for the most part Nouns will be good. a multi-hundred thousand dollar grant for the private ownership of a coffee shop/ expansion of an existing for-profit business is likely to pretty squarely fall into the category of private benefit and would likely be considered an excess benefit transaction if Nouns is a 501c3 and EBTs occur, the recipient will face a 25% tax penalty, and any of the organization’s managers, (in this case the voters,) will personally face a 10% penalty (capped at $20k) if they knew the transaction was improper the recipient will also need to return the funds within the tax year, or face an additional 200% penalty https://www.blueandco.com/nfp_03152012.html
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wylin💎↑
@wylin
should add: Nouns won’t face penalties for previous Props that don’t fit into the public benefit box, just will need to retroactively restructure problematic ones if becoming an independent c3 is the goal otherwise the IRS will simply decline assuming independent c3 status is achieved, those are the about the only rules: no excess private or insider benefit. it’s fairly simple to frame the vast majority of previous props and any future props as public benefit
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Ben
@jarmen
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