Yes you can qualify. The club I belong to is a non-profit corp. chartered
under sec 501 (c) (7), social clubs.

Here's the link to the IRS: http://www.irs.gov/irm/part7/ch10s10.html

The key is an organization of members with a common social purpose (to fly).
As long as all your income is from members (dues and rentals) and is used
for the benefit of all the members (keeping the planes flying), you've met
the requirements. The most likely disqualifier would be to allow rentals to
non-members, thus generating non-member income.

Talk to a lawyer to set it up. It's not a complicated process.

Gerry


"CHRISTOPHER SPIERINGS" wrote in message
news:gmeOd.22822$uc.12371@trnddc09...
Denny,

I've found that having some prior knowledge often helps to keep the
attorney focused. I'm hopeful that others have explored this and can lend
advice. We certainly aren't set up as a non profit nor do I think we would
necessarily qualify.

Chris

"Denny" wrote in message
oups.com...
Depends on how the club is registered with the state and the feds as a
legal entity (or not registered)... You need the advice of an attorney
in your state, not a beating from usenet (though you will likely get
one anyway

Denny