On Friday, while we were putting on our annual conference at Columbia Law School, a puff of near-apocalyptic rhetoric about us was published by SFLC’s former employees, Karen Sandler and Bradley Kuhn, who now manage the Conservancy, which was originally established and wholly funded by SFLC, and still bears our name. We were busy with our conference when this happened, which seems to have been the point. We are glad to have the chance now, after a little much-needed rest, to help everyone avoid unnecessary hyperventilation.
The US Internal Revenue Service has ushered in a new and much more favorable treatment for free software projects seeking to have 501c3 tax exempt non-profit organizations of their own. After years of suffering from a specially prejudicial environment at IRS, free software projects—particularly new projects starting out and seeking organizational identity and the ability to solicit and receive tax-deductible contributions for the first time—can now do so much more easily, and with confident expectation of fast, favorable review. For lawyers and others counseling free software projects, this is without question “game-changing.”