As a 501C3 Not-For-Profit, FilmLab is able to offer significant discounts and advantages for attaining everything production related, including fiscal sponsorship for select, qualifying projects.  

 

Fiscal Sponsorship

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Michael J. Burke, Randy Rubin, Will Winner, & Aaron Dean Eisenberg on the set of Night Tales

Night Tales BTS-54.jpg
 

FAQs of Fiscal Sponsorship

Q. WHAT IS A FISCAL SPONSOR?

A. FISCAL SPONSORSHIP IS AN AGREEMENT BETWEEN AN ESTABLISHED 501(C)(3) CHARITY AND A RELATIVELY NEW, UNINCORPORATED ORGANIZATION THAT LACKS ITS OWN TAX EXEMPT STATUS BUT IS INTERESTED IN SOLICITING DONATIONS AND GRANTS. UNDER THIS ARRANGEMENT, A TAX-DEDUCTIBLE CONTRIBUTION CAN BE GIVEN USING THE SPONSORING AGENT’S EXEMPT STATUS. THE FISCAL AGENT FOR AN ORGANIZATION THEN AGREES TO ACCEPT AND BE RESPONSIBLE FOR MONIES ON YOUR BEHALF. UNDER THE LAW, THE SPONSORING AGENT AND THE NEW START-UP NONPROFIT ARE CONSIDERED ONE LEGAL ENTITY, AND LIKEWISE BOTH CAN BE HELD RESPONSIBLE FOR EACH OTHERS’ ACTIONS.  AS A FISCAL SPONSOR, WE ARE LEGALLY RESPONSIBLE FOR THE FUNDS RECEIVED ON BEHALF OF YOUR SPONSORED PROJECT AND WE MUST INSURE THAT THE PROJECT USES THE FUNDS FOR NON-COMMERCIAL CHARITABLE ACTIVITIES IN ACCORDANCE WITH THE AGREED UPON TERMS BETWEEN THE DONOR AND YOUR PROJECT, AND THAT THE DONOR REPORTING REQUIREMENTS ARE MET BY THE PROJECT IN A TIMELY FASHION

 

Q. DO I NEED TO KEEP TRACK OF MY EXPENSES? 

A. YES. FILMLAB IS NOT YOUR PROJECT’S BOOKKEEPER. YOU MUST KEEP TRACK OF ALL OF YOUR EXPENSES AND INCOME. YOU MUST ALSO REPORT TO FILMLAB HOW YOU SPEND THE CONTRIBUTIONS YOUR PROJECT RECEIVES BY SUBMITTING COPIES OF RECEIPTS AND INVOICES.

 

Q. WILL FILMLAB WRITE CHECKS FOR EACH OF MY BILLS? 

A.NO. WE DO NOT WRITE CHECKS FOR YOUR INDIVIDUAL VENDORS. CHECKS ARE ONLY MADE PAYABLE TO PROJECT DIRECTORS, A PRODUCTION COMPANY OR ANOTHER INDIVIDUAL. DISBURSEMENTS ARE MADE TO ONE NAME ONLY PER PROJECT AND YOU ARE RESPONSIBLE FOR PAYING YOUR VENDORS AND CONSULTANTS..

 

Q. CAN I USE Filmlab's TAX EXEMPT STATUS TO AVOID PAYING RETAIL SALES TAX ON PURCHASES? 

A. NO. WE CANNOT LEGALLY LEND OUR TAX-EXEMPT STATUS FOR INDIVIDUAL PROJECT PURCHASES. 

 

Q. WHAT ARE MY RESPONSIBILITIES TO FilmLab IF I AM FISCALLY SPONSORED?

A.YOU MUST KEEP TRACK OF ALL YOUR EXPENSES CONNECTED WITH THE PROJECT AND SUBMIT DISBURSEMENT EXPENSE REPORTS TO FILMLAB WITH COPIES OF RECEIPTS AND INVOICES AFTER EACH DISBURSEMENT IS MADE TO YOU. YOU ALSO AGREE TO SPEND FUNDS ADMINISTERED TO YOU BY FILMLAB IN ACCORDANCE WITH THE BUDGET APPROVED BY FILMLAB AND YOUR FUNDER. AN ANNUAL NARRATIVE AND FINANCIAL REPORT HAS TO BE FILED WITH FILMLAB AT THE END OF EACH YEAR  YOU MUST ALSO FILE REPORTS TO YOUR FUNDERS IN ACCORDANCE WITH THEIR GUIDELINES AND DEADLINES.

 

Q.  DOES FISCAL SPONSORSHIP ALLOW THE PROJECT TO BE ABSOLVED FROM TAX REPORTING?

A.  NO. CONTRIBUTIONS RECEIVED AND DISBURSED BY FILMLAB WILL LIKELY BE TREATED AS INCOME BY THE IRS. FILMLAB WILL ISSUE FORM 1099-MISC FOR TOTAL PAYMENTS OVER $600 DURING THE CALENDAR YEAR TO EACH PROJECT, EXCEPT IF THE PROJECT IS A CORPORATION. NOTE THAT AN LLC IS TREATED AS A PARTNERSHIP AND NOT AS A CORPORATION, EXCEPT IF FILMLAB HAS RECEIVED CERTAIN WRITTEN NOTIFICATION FROM THE LLC STATING THAT EACH MEMBER OF THE LLC IS A CORPORATION. CONSULT A TAX ADVISOR TO DETERMINE YOUR SPECIFIC LIABILITY.