Cross-Border Regulations: Exploring Legal Considerations in the United States of Nonprofit Sport Organizations Engaged in International Charitable Work

Abstract

The number of organizations involved in the use of sport as a means for addressing different social issues continues to grow at a fast pace. This increasingly includes nonprofit charitable sport organizations registered in the United States. The purpose of this paper is to examine legal considerations related to how domestic and foreign nonprofit entities navigate U.S. laws and regulations impacting their international sport for development (SFD) efforts. This includes the following: (a) an analysis of the legal limitations on domestic nonprofits involved in foreign activities, (b) an evaluation of relevant Internal Revenue Service (IRS) regulations and rulings related to cross-border giving from U.S. domestic charities, and (c) implications for foreign and domestic organizations operating or supporting SFD programs abroad. Findings from this analysis enhance our understanding of legal aspects in the SFD space. Furthermore, the information presented is also intended to serve as a resource guide for SFD practitioners.