As a practical matter, most organizations dedicated to the advancement of the arts that regard themselves as within the scope of I.R.C. section 50l(c)(3) find it imperative to obtain a favorable ruling or determination letter from the Internal Revenue Service (IRS) in order to qualify for listing in the Service's blue book (Cumulative List of Organizations Described in Section 170(c) of the Internal Revenue Code of 1954, Publication 78), since many prospective donors and/or their advisors will check to verify that listing before contributing any significant sums. The need for judicial relief thus stems primarily from the need for that listing, since it constitutes an essential prerequisite to successful fundraising.

The question has been posed as to the circumstances under which organizations dedicated to the advancement of the arts in the United States might be denied, in the first instance, or threatened with the loss of, after having attained, any of the four classifications above described. With respect to I.R.C. sections 501(c)(3) and 170(c)(2) treatment (which go hand in hand), a sampling of the cases handled by the author should illustrate the types of situations that may confront an organization. ( p. 666-667).

CONTENTS
Introduction.

1. Events leading to enactment of declaratory judgment provision.

2. Explanation of operation of declaratory judgment provision.

A. General explanation.
B. Consideration of restraints on utilizing the declaratory judgment remedy.
C. Outline of mechanics of declaratory judgment litigation:
     1. Tax court litigation.
     2. District court litigation.
     3. Court of claims litigation.

3. Impact of declaratory judgment litigation on contribution deductibility.

4. Effective dates of statute.

Conclusion.

As a practical matter, most organizations dedicated to the advancement of the arts that regard themselves as within the scope of I.R.C. section 50l(c)(3) find it imperative to obtain a favorable ruling or determination letter from the Internal Revenue Service (IRS). The question has been posed as to the circumstances under which organizations dedicated to the advancement of the arts in the United States might be denied, in the first instance, or threatened with the loss of, after having attained, any of the four classifications above described.