CharityWatch Analysts perform an in-depth analysis of charities' audited financial statements and IRS tax filings, and often review other documents such as state filings, annual reports, and fundraising contracts during their evaluations. Below are select notes that CharityWatch believes may be of interest to donors.
Any time an Analysts' Note refers to a charity's Audited Financial Statements or IRS tax form, CharityWatch encourages interested donors to obtain a copy of the referenced documents so that they may view the information in context. Please contact the charity directly to request a copy of any referenced document. Charity tax forms and audits may also be obtained from a number of online databases. For a list of sources, please visit our LINKS page.
|CharityWatch's rating of The NRA Foundation is for the 501(c)(3) public charity (tax ID #52-1710886).|
CharityWatch issues a separate rating for the related 501(c)(4) tax-exempt, social welfare organization, the National Rifle Association of America (NRA) (tax ID #53-0116130).
CharityWatch does not provide a rating for the other NRA Foundation affiliates, which according to Note 9 of The NRA Foundation 2017 audit, include the following: NRA Civil Rights Defense Fund, NRA Freedom Action Foundation, and NRA Special Contribution Fund.
CharityWatch issues separate ratings for 501(c)(3) & 501(c)(4) organizations, even when the financial activities of the entities are included together in a consolidated audit, due to their differing tax treatments by the IRS. For more information on this topic, please see our sections on Types of Non-Profits, Tax Status, and Treatment of Related Organizations, which can be found in "Criteria & Methodology" under the "About Us" navigation header.
For more information about things to consider when donating to organizations that have related public charity and social welfare entities, click on the "Donor Alerts & Articles / Media" tab (above), and read "Sorting Out Non-Profit Pairs."
|According to The NRA Foundation audit of December 31, 2017 (Note 9, Related Parties):|
"The Foundation is affiliated with the NRA by virtue of the control vested with the NRA's Board of Directors to appoint the Trustees of the Foundation. The Foundation has received certain benefits from this affiliation at no cost, among which are various administrative and support services. Management has determined that the fair value of these benefits is minimal, and accordingly, no amounts are reflected in these [audited] financial statements.
"The Foundation reimburses the NRA for certain expenses, such as salaries, benefits, and general operating expenses, paid by the NRA on the Foundation's behalf. These expenses totaled $6,017,801 and $8,862,322 for the years ended December 31, 2017 and 2016, respectively...
"The Foundation extended a short-term loan in the amount of $5,000,000 to [the] NRA dated November 2, 2017, at an interest rate of 7% per annum and secured by the NRA's accounts receivable. Interest for the first three months of the loan in the amount of $88,219 is due February 2, 2018, with interest payments due monthly thereafter through the term of the loan. The entire principal amount of the loan, together with all accrued or unpaid interest, is due by June 2, 2018...
"The Foundation funded certain qualified NRA programs with grants totaling $18,812,141 and $19,276,495 for the years ended December 31, 2017 and 2016, respectively..."
|According to The NRA Foundation 2017 tax filing, the Foundation reports receiving contributions of in-kind collectibles on which it placed a total value of $881,295 (IRS Form 990, Schedule M).|
[Note: CharityWatch generally excludes the value of in-kind (non-cash) donations of goods and services from its calculations of Program % and Cost to Raise $100. More information on how grades are calculated and the treatment of in-kind donations can be found by clicking on "About CharityWatch" from the navigation bar and then clicking on "Criteria & Methodology".]
|According to The NRA Foundation 2017 tax filing, the Foundation reports re: Business Transactions Involving Interested Persons, a transaction in the amount of $3,065,031 for fundraising event and grant fulfillment paid to Crow Shooting Supply (IRS Form 990, Schedule L, Part IV).|