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pamperedchristine said:I asked a similar question also, but the answer is we DO do better.
Pampered Chef gives 15% of all product sales to the organization. They do not mark up their products in order to do this! Many consultants give an extra 5-10% of their profit as a donation to the fundraiser as well.
As far as sales tax goes, we don't choose to charge it, it's a state law.
However, we have a flat rate shipping charge, instead of charging upwards of 10% to each customer.
HTH
A non profit organization is a type of organization that is formed for a specific cause or purpose, rather than to make a profit. These organizations are often focused on charitable, educational, or social causes and are exempt from paying taxes.
A non profit organization is different from a for-profit business in that it does not aim to generate profit for its owners or shareholders. Instead, any funds raised or revenue generated by a non profit organization are used to further its mission and goals.
In most cases, non profit organizations are exempt from paying federal and state taxes. However, they may still be responsible for paying other taxes such as payroll taxes and sales tax. It is important for non profit organizations to understand their tax obligations and seek guidance from a tax professional if needed.
Starting a non profit organization involves several steps, including choosing a cause or mission, forming a board of directors, obtaining tax-exempt status, and creating bylaws. It is important to research and understand the legal and financial requirements for starting a non profit organization before beginning the process.
Yes, non profit organizations rely on donations from individuals, corporations, and other organizations to support their cause and operations. Donations may be in the form of money, goods, or services and are often tax-deductible for the donor. Non profit organizations are responsible for properly managing and reporting all donations they receive.