Kostelanetz LLP advises and represents tax-exempt organizations, primarily in tax controversy, compliance, and governance matters. Kostelanetz LLP’s expertise includes representing tax-exempt organizations in disputes with the IRS, from examinations and administrative appeals to litigation. The firm’s attorneys are skilled in handling challenges to denials or revocations of an organization’s tax-exempt status, and defending tax-exempt organizations in criminal investigations and prosecutions.
Key changes to tax laws affecting non-profits, primarily from the One Big Beautiful Bill Act (OBBBA) enacted in mid-2025, will impact charitable deductions, the excise tax on highly paid employees, and the taxation of large university endowments. Most of these changes are set to take effect for the 2026 tax year. Administrative updates in this area include: Attorneys at the firm have written about the unique issues faced by nonprofits and tax-exempt entities under increased IRS scrutiny, including government challenges to the suspension of tax-exempt status and the threat of grand jury investigations and criminal indictment. They are frequently asked to share their insights with publications and are invited to speak on tax-related topics relevant to exempt organizations, including the following: The firm is recognized for its tax controversy practice, with partners acknowledged as “Highly Regarded” practitioners by ITR World Tax. Kostelanetz LLP is also consistently ranked by legal publications like Legal 500 and Chambers USA for its tax controversy work. Tax Exempt Organizations