How do I get a 501c3 status from the IRS?

How do I get a 501c3 status from the IRS?

To apply for recognition by the IRS of exempt status under section 501(c)(3) of the Code, use a Form 1023-series application. The application must be submitted electronically on and must, including the appropriate user fee.

Who must file IRS Form 1023?

Unless an exception applies, an organization must file Form 1023 or Form 1023-EZ (if eligible) to obtain recognition of exemption from federal income tax under section 501(c)(3). You can find information about eligibility to file Form 1023-EZ at obtain recognition of exemption.

How much money can a nonprofit have in the bank?

As a general rule of thumb, nonprofits should set aside at least 3-6 months of operating costs and keep the funds in reserve. Ideally, nonprofits should have up to 2 years’ worth of operating expenses in the bank.

What is the difference between Form 3500 and 3500A?

Form 3500A is an abbreviated two-pages, in comparison to the rather lengthy Form 3500 previously required.

What’s the difference between 1023 and 1023-EZ?

Form 1023 is the application filed with the IRS in order to request exempt status under Section 501(c)(3). A new Form 1023-EZ was released in July 2014 to help smaller organizations seeking exempt status. Upon approval, the organization will receive a determination letter from the IRS.

How much does it cost to file a 501 (c) (3)?

The typical investment to set up a 501 (c) (3) nonprofit organization involves startup costs and annual costs: The federal application fee (filing fee for IRS Form 1023) is generally under $1,000.

How to become a 501 c 3?

Religion (such as churches)

  • Charity (such as the Salvation Army)
  • Literacy (such as the Barbara Bush Foundation for Family Literacy)
  • Education (such as scholarships)
  • Prevention of cruelty to animals and/or children (such as PETA)
  • Fostering amateur sports,either locally or internationally (such as the Special Olympics)
  • Public safety (such as Red Cross)
  • How do you apply for a 501 c 3?

    No one person,whether it is an officer or general member,can benefit from the institution financially.

  • All capital earned by organization must be passed on to another nonprofit entity and not a single member upon disbandment.
  • Interference with political campaigns or officially endorsing a candidate is prohibited.
  • How do I Check my 501 c 3 status?

    Name of the organization.

  • Organization’s employer identification number (available on the application form or Form W-2).
  • Application number.
  • Date application was submitted.
  • Indicate if you are an office or director legally authorized to represent the applicant.