- 12 - In due course, respondent determined in a final adverse ruling that petitioner failed to qualify as a nonprivate foundation under section 509(a)(3). According to the final adverse determination letter, the determination is based upon the fact that "You have failed to establish that you meet the requirements for exemption under section 509(a)(3) of the Internal Revenue Code." In response, petitioner timely filed the instant petition for declaratory judgment with the Court. Discussion The issue for decision in this case is whether petitioner is an organization described by section 509(a)(3), a so-called supporting organization, one type of section 501(c)(3) organization that is excepted from treatment as a private foundation. See sec. 509(a). In order to qualify as a supporting organization, an entity must satisfy the three requirements set forth in section 509(a)(3). Section 509(a)(3) provides, in pertinent part, as follows: SEC. 509. PRIVATE FOUNDATION DEFINED (a) General Rule.--For purposes of this title, the term "private foundation" means a domestic or foreign organization described in section 501(c)(3) other than-– * * * * * * *Page: Previous 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 Next
Last modified: May 25, 2011