Case Analysis for “Ladder and the Scale: Commitment and Accountability at Project Match”
Introduction
In the case if profitable private or state-owned enterprises are unable to deal with the desired efficiency to meet individual or community needs, private non-profit organizations can show considerable advantages. It includes a variety of voluntary, philanthropic and charitable organizations, which constitute a significant portion of economic activity in the market economies, especially in the area of social services, the importance of which is growing.
Project Match, which financing comes from the Illinois Department of Public Aid budget, is also a non-profit organization that represents a form of institutional hybrid that combines traits …show more content…
On the other hand, state budget of Illinois institutions are allowed to conduct commercial activities and profit. This blending of different institutional forms of enterprises hinders effective regulation of their activities and taxation.
The main point is that in the USA the tax status of a nonprofit organization depends largely on management or the lack of entrepreneurial activity. If non-profit organization provides only the basic, statutory activity, then she is entitled to the tax incentives. However this does not mean that a nonprofit organization is completely released from the payment of all taxes. In the case of doing business and gaining profits the non-profit organization is obliged to pay profit tax and tax on value-added and other taxes and …show more content…
Unlike the profitable enterprises analysis of the effectiveness of the Project Match social and innovative Programs have dual character. In addition to economic estimates, no wonder, great value is given to the analysis of social outcomes, which reflect the degree the main objectives of a non-profit organization.
The Project Match officials argue for the great social effect of NGO’s, as in case of liquidation of the organization, due to legislation, its assets are not supposed to be distributed among stakeholders (creditors, employees, etc.), and is directed to continue stated non-profit activities. Thus, the property the Project Match serves the public benefit purposes regardless of whether valid or not-for-profit
Introduction
In the case if profitable private or state-owned enterprises are unable to deal with the desired efficiency to meet individual or community needs, private non-profit organizations can show considerable advantages. It includes a variety of voluntary, philanthropic and charitable organizations, which constitute a significant portion of economic activity in the market economies, especially in the area of social services, the importance of which is growing.
Project Match, which financing comes from the Illinois Department of Public Aid budget, is also a non-profit organization that represents a form of institutional hybrid that combines traits …show more content…
On the other hand, state budget of Illinois institutions are allowed to conduct commercial activities and profit. This blending of different institutional forms of enterprises hinders effective regulation of their activities and taxation.
The main point is that in the USA the tax status of a nonprofit organization depends largely on management or the lack of entrepreneurial activity. If non-profit organization provides only the basic, statutory activity, then she is entitled to the tax incentives. However this does not mean that a nonprofit organization is completely released from the payment of all taxes. In the case of doing business and gaining profits the non-profit organization is obliged to pay profit tax and tax on value-added and other taxes and …show more content…
Unlike the profitable enterprises analysis of the effectiveness of the Project Match social and innovative Programs have dual character. In addition to economic estimates, no wonder, great value is given to the analysis of social outcomes, which reflect the degree the main objectives of a non-profit organization.
The Project Match officials argue for the great social effect of NGO’s, as in case of liquidation of the organization, due to legislation, its assets are not supposed to be distributed among stakeholders (creditors, employees, etc.), and is directed to continue stated non-profit activities. Thus, the property the Project Match serves the public benefit purposes regardless of whether valid or not-for-profit