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Nonprofit Newswire | New Haven Eliminating Nonprofits

Rick Cohen
July 30, 2010
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July 26, 2010; Source: New Haven Independent | Sometimes the off-handed remarks of politicians and reporters, frequently blended together in an unattributed mash-up, tell you important things.  In this article covering tax assessment mistakes of New Haven’s tax assessor, the lede is scary:  “New Haven’s tax office will visit more small businesses and putative not-for-profits before raising their tax assessments.”

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Putative?  That means that the City Council is visiting or revisiting whether nonprofits are really nonprofits for municipal tax purposes.  It sounds like nonprofits might get a knock on the door and an unscheduled on-site investigation by the Tax Assessor’s office, which has become a focal point for complaints from citizens who feel that the Assessor has pretty much botched things up.

But what are “putative not-for-profits?”  Buried deep in the article is a throwaway about 13 “small businesses” that lost their tax exemptions for municipal tax purposes.  Apparently, once the city determines a nonprofit isn’t a nonprofit, it becomes a small business.  One way or the other, it sounds like New Haven, home to tax exempt Yale University, may be looking to increase the number of plots that it can classify as no longer nonprofit and therefore taxable.—Rick Cohen

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About the author
Rick Cohen

Rick joined NPQ in 2006, after almost eight years as the executive director of the National Committee for Responsive Philanthropy (NCRP). Before that he played various roles as a community worker and advisor to others doing community work. He also worked in government. Cohen pursued investigative and analytical articles, advocated for increased philanthropic giving and access for disenfranchised constituencies, and promoted increased philanthropic and nonprofit accountability.

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