For many years, people have donated money to improve amenities at Lake Panorama or provided gifts in memory of loved ones. Yet those donations could not be deducted on the giver’s taxes.
The Lake Panorama Association is designated by the IRS as a 501(c)(4) nonprofit organization. Although it is a nonprofit, donations made to the LPA are not tax deductible as a charitable contribution. In addition, funds bequeathed through an individual’s estate to the LPA would be subject to a 15% inheritance tax.
A new group should change that. Articles of Incorporation for the Friends of Lake Panorama were filed with the Iowa Secretary of State’s office November 1, 2013. This is a corporation organized and operated exclusively for charitable purposes, and is completely separate from the Lake Panorama Association.
A seven-member Friends of Lake Panorama board of directors has been formed. Board members are Kirk Fischer, Bob McCleeary, Jan Reinicke, James Spradling, Tricia Steffen, Kent Stephenson and Jodi Sutton. Susan Thompson is assisting the group.
At its first meeting, the board developed a list of current needs already known, as well as new projects that could be undertaken immediately or planned for the future. Emphasis during the discussions was both on improving existing facilities, and developing new amenities that will benefit the Lake Panorama community.
An application for 501(c)(3) designation was submitted to the IRS January 17, 2014. Once approved, contributions to the Friends of Lake Panorama would be tax-deductible and estate gifts exempt from inheritance tax.