David Megginson said:

> So, in the end, my advice is not to do it. If you want to make a living or 
> partial living from FlightGear, set up a separate commercial site and be 
> prepared to learn about CRM, tax laws, incorporation laws, legal fees, 
> insurance, NDA's, contracts, and all the other fun that comes with running 
> your own small business. 

Well...hmm.  This is a little pessimistic in tone.  Non-profit can be handled
with reasonable ease, at least in the US.  Find someone who will set it up for
a reasonable fee (free if possible),  get a cost for registering and solicit
contributions to do so.  It isn't that bad.

However, before doing this, I would consider what is really required here.

You see, at least on the federal level you can collect quite a large sum of
money as "gifts" before you have to put anything on your tax return.  Even if
Curt, or someone handling the money, did have to file a Schedule C (which is
generally a no brainer for something like this) all he'd have to do is make
sure the money got spent to avoid liability.

The main reason for registering as a non-profit is to offer your contributors
a way to take deductions off of their taxes.  The second reason comes into
play if "employees" are hired.  That would be down the road a bit, I would guess.

So in a nutshell my advice is: (1) Think about the project image issue. (2)
Don't be afraid of small business.  People do it every day.  It doesn't have
to be complex or "commercial".

Best,

Jim

P.S. Note, I am not a CPA or a lawyer,  but I've been intimately involved in
starting up corporations (one was my own) and have filed a few schedule C
forms over the years.  Talk to a CPA who understands that you want to "keep it
simple".  Generally speaking business lawyers don't know what "keep it simple"
means (or rather they recognize that "simple" != "legal fees").


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