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Can a non-profit league collect a registration fee ($20 per player) for a team of up to 16 kids, and collect referee fee's ($25,$30,$35 per team), per game, around 21 games (2 teams) per Saturday) around 20 games a year, for 42 teams, plus fines they collect during this season, and still be considered a Non-Profit Organization with the money they received. Broken down to Around $12,600 registration fee's a year for 42 teams, around $960 in referee fee's per year per team(42 teams in league), $39,320  a year for league of 42 teams. or is this Illegal and should be reported, and the league refuses to show a financial report

I have in my profile that this free forum is only for general questions about IRS federal exemption issues of 501(c)(3) organizations. Therefore, I am assume you are referring to a 501(c)(3) organization.  If a nonprofit has received IRS exemption determination or files
annual returns (Form 990) with the IRS it has an obligation to provide anyone with certain copies. See FAQs About the Exempt Organization Public Disclosure Requirements

The exempt organization is required, upon request to provide copies of the exemption application that it filed with the IRS along with supporting documents required with those applications, which includes articles of incorporation and bylaws as they existed at the time the exemption application was filed with the IRS.

But, just as some universities, that are 501(c)(3) organizations charge tuition and fees over $50,000 per year, the fact that the league charges fees, in and of itself, does not mean that they are not qualified as a 501(c)(3) organization.

Harvey Mechanic, Attorney at Law -

P.S. This response is intended to be a general statement of law, should not be relied upon as legal advice and does not create an attorney/client relationship.  

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Harvey Mechanic


I am an attorney and I volunteer time to answer general questions about U.S. Federal income tax issues of nonprofit 501(c)(3) public charities only. Those questions could be about establishing and maintaining legal requirements for such non-profit organizations in the United States, including Internal Revenue service filings and requirements. I will not be working on this free forum to answer questions about Nonprofit's possible unrelated or for-profit businesses or how to fill out forms. This forum is only for general questions about federal tax law, not as the law applies to your specific situation. If you do not make your question public then I will not be spending much of my donated time on answers that would not benefit the public. If you have other questions, please contact me at I will reply from my email. In any case, do not reveal confidential information to me until after I have contracted with you to provide personal legal services. My responses on this forum are intended to be general statements of law, should not be relied upon as legal advice, and do not create an attorney/client relationship. For me to consider your individual situation and how the law applies, I would need to gather extensive information about the situation. To search my previous answers you can do a Google search by "" without the quotes and then add your search terms before hitting enter.


I have been practicing law and especially the law of nonprofit organizations since 1990 when I was admitted to the New York Bar and I have maintained my status with the Bar since that time.


B.S. Columbia University in New York City, 1970

J.D. (Law Degree) Brooklyn Law School, 1990 -- Cum Laude.

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