What is a Fiscal Sponsorship?
A fiscal sponsorship is when a 501(c)(3) public charity extends its tax-exempt status to select groups and/or projects engaged in activities aligned with the charity’s mission. This allows the designated group/project to ask for grants and tax-deductible donations under the sponsor charity’s tax-exempt status in order to pursue charitable work instead of creating a new nonprofit organization.
In a fiscal sponsorship arrangement with A Child’s Hope, the foundation, as the sponsor, accepts grants and tax-deductible donations on behalf of the sponsored project/organization, such as a children’s home or identified project. The sponsor also accepts responsibility for the use of those funds, ensures their application toward charitable purposes, and observes any other donor restrictions. The IRS requires the sponsor to have “complete discretion and control” over the funds to guarantee charitable dollars do not merely pass-through the 501(c)(3) charity to the project.
Request a Fiscal Sponsorship Project
All Fiscal Sponsorship must first be reviewed and approved by our Fiscal Sponsorship Committee (FSC) to ensure the project being funded aligns appropriately with our mission and is feasible to complete. If you’d like to request a Fiscal Sponsorship, please follow the instructions below:
1
Fill out the fiscal sponsorship request form:
2
Await notice from an FSC member regarding approval
3
A Child’s Hope will provide a receipt for your tax records
Please reach out to info@achf.org with any questions.
