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About Projects Donate More Empower Communities to Live INspired with Fiscal Sponsorship What is Fiscal Sponsorship. Fiscal sponsorship is a dynamic partnership between a 501c3 nonprofit organization the fiscal sponsor and a project or initiative that lacks its own taxexempt status. Through this arrangement the fiscal sponsor extends its legal and taxexempt status to the sponsored project allowing it to receive charitable contributions grants and other forms of financial support. This collaborative model enables nonexempt projects to access funding and administrative support while benefiting from the oversight and guidance of an established nonprofit entity.