Busting the Myths About Journalism and the IRS via YouTube. The following blog post is written by Jeff Hermes, the director of the Digital Media Law Project at Harvard University’s Berkman Center for Internet & Society. It is cross-posted from the Digital Media Law Project. Today, the Digital Media Law Project has launched a new version of its resources for journalism organizations seeking a Section 501(c)(3) tax exemption for the IRS. As a project, we have been concerned with non-profit journalism from the beginning, providing informational resources for news ventures seeking to form as non-profits. Since the launch of our attorney referral service, the Online Media Legal Network, in late 2009, about a third of our clients have been non-profit journalism organizations; more have been individuals or for-profits interested in starting a non-profit news venture. We have worked with more than forty groups to find counsel to assist them in applying to the IRS for recognition of tax-exempt status. But the path to tax-exempt status has not always run smooth. From 2010 to 2012, the IRS was reevaluating its standards for journalism organizations, causing these organizations to face long delayswhile struggling to stay afloat without an exemption in place. In fact, the now-infamous IRS "BOLO" listsflagged "newspaper entities" for special scrutiny [PDF] as of February 2011. Several journalism applicants were questioned by the IRS about various aspects of their operation, without understanding why the IRS was interested in those issues -- and sometimes those questions seemed to verge into areas that should have been irrelevant under federal law. To help applicants satisfy IRS scrutiny, in April 2012 the DMLP released a detailed guide to the agency's decision-making process for granting tax exemptions to journalism non-profits. In late 2012, it appeared that the logjam at the IRS was beginning to break, with a couple of high-profileapplications accepted after delays of more than two years, and a steady stream of additional applications granted since then. And yet, the process remains complex, and there is substantial confusion about both how to obtain Section 501(c)(3) status and what that status allows you to do. For that reason, Eric Newton of the John S. and James L. Knight Foundation reached out to the DMLP and offered Knight's support for the development of a video debunking some of the more common myths and misconceptions, which we're pleased to present above (thanks also to Dan Jones, Digital Media Producer for the Berkman Center, and Ogmog Creative).