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Definition
The nonprofit sector has
and continues to grow exponentially, but the sector's growth worldwide
has been uneven. There are still many countries where the right to
associate is not protected in a country's basic legal system, the
provisions governing the basic establishment of nonprofit organizations
is arduous and onerous; there are few or no fiscal and related
advantages accorded to such organizations; and the nonprofits operate
under strict guidelines and control. Legal systems influence the
financial viability of nonprofit organizations. In an enabling legal
environment, nonprofit organizations not only receive tax exemption on
their income, but there are also special tax treatments for
contributions by others to the organization. Enabling legal systems
also support the nonprofit sector by establishing accountability
standards and ensuring that nonprofits operate in ways that are
legitimate and credible.
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Tags/Keywords
Associations, corporation,
tax benefits, public benefit organization (PBO),memberships,
registration requirement, NGO law, nonprofit law, foreign funding,
domestic funding, tax-exempt organization, nonprofit organization
(NPO), community-aased organization (CBO), civil society laws, legal
framework for civil society, public charitable trust, freedom of
association, freedom of information, freedom of expression
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