Nonprofit and Tax Exempt Problems Solved

• Nonprofit and tax exempt organizations, other than religious organizations, must file a
  form 990 with the IRS every year. Even though an organization does not owe any taxes,
  the penalties for filing late can be substantial, $20 a day up to a maximum of $10,000 per
  return or 5% of the organization’s gross receipts. Attorneys at Holowicki Law have helped organizations abate tens of thousands of dollars in penalties. We have even recovered penalties already paid to the IRS. On one occasion we were able to get a refund for a client of over $10,000 plus interest that had been seized from their bank account.
• A director of a nonprofit came to us with some concerns about the Board he had just joined. The nonprofit was formed more than thirty years ago and no one had looked at their organizing documents since then! We talked about the nonprofit’s mission and their current activities. Then we looked at the organizing documents. As a result we helped the Board to restate their Articles of Incorporation to give more protections to the directors; we updated the bylaws; and we helped the directors craft policies to better guide the directors’ decisions and avoid conflicts of interest. The process not only established a better legal structure but also helped the board to define their mission more clearly.
• Since 2010 many nonprofits have lost their tax exemption because they failed to file an annual return for 3 years. At Holowicki Law PLLCour attorneys have helped many nonprofits reinstate their tax exempt status – usually backdated to the date when it was lost.

Real Estate Problems Solved

Holowicki Law P.C. has taken many cases to the Michigan Tax Tribunal to get tax relief for homeowners and non-profit organizations. All have been successful. Only one hearing was ever held and at that one the assessor who testified could not offer any evidence to offset the precise and overwhelming evidence presented by the taxpayer.

In addition to helping our clients buy and sell real estate, Holowicki Law has had to help them with zoning challenges – big and small. Bob Magill took a zoning law case all the way to the Michigan Supreme Court, establishing new constitutional law for families and households in Michigan. In another case, an intense young zoning inspector challenged the placement and size and roof of a garden shed that had been in place for over 9 years! Bob took the matter to the township Board and worked out a compromise that placated everyone. The shed is still on the property and did not have to be torn down.

Business Law Problems Solved

Holowicki Law attorneys have helped a number of businesses in various ways. One major way has been to help persons to start, buy or sell their businesses. Restaurants, factories for food or electronics, residential contractors, medical and chiropractic practices have all been bought or sold with our assistance. In one sale of a medical practice, after the practice had been marketed and a purchaser found, some significant obstacles in the terms of the sale developed. Bob Magill worked with the attorneys for the purchaser and the matters were resolved. But on the day of the closing, the purchaser made a last minute demand (without any good basis) to change the terms and to lower the price. Bob saw the ploy for what it was and instructed his client to walk out of the building and go to his car, leaving the papers unsigned. He promised the doctor that the purchaser would contact him and drop the demand. Before the doctor could even get to his car, the purchaser called and dropped the last minute demand. The doctor said to Bob “you must be a mind reader” --- Bob replied that he was not a mind reader but he was an experienced negotiator! The deal closed that day.