Quote:
Originally Posted by bendingunit22
All funds still belong to the team, the question is who do they belong to when the team no longer exists.
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The analysis begins with: "Who (or what entity) is the 'Team'"?
Let's say that I am Company XYZ, and I want to donate $1,000 to your team.
Who do I make the check out to?
Where are the funds deposited?
If deposited into a checking about of the Team, what forms were filled out with the Bank? They would want to know what legal entity opened the account.
Are donations to the Team tax-deductible? If so, what entity has the tax-exemption certificate? Who gives the receipt for the tax-deductible contribution?
My team is part of the School. Donations are technically to the School for the Robotics "club".
If you are operating under another entity's 501(c)-3 status, then you are arguably part of that entity, and that entity would decide what happens to your assets (what happens with assets of a tax-exempt entity is controlled by IRS rules).
If you determine that the team is independent of any other organization (not operating under another entity's 501(c)-3 status), then I suggest prior to the dissolution of the Team, the Team gets together, and votes what happens to the assets.