Frequently asked questions

What is included in your 501(c)(3) Service?

State

• Incorporation
• If Incorporated already, Articles of Incorporation reviewed for I.R.S. required 501(c)(3) language
• Articles of amendment if needed
• Bylaws and minutes
• (EIN) Employer identification number
• State charitable solicitation registration
• Multi-state charitable solicitation
• State tax exemption
• Sales tax exemption

Federal I.R.S 501(c)(3)

• 501(c)(3) 1023 – EZ eligibility qualification
• 501(c)(3) status within four weeks (for qualified organizations)
• 100% Guaranteed Approval
• (for organization that does not qualify for the 1023-EZ)
• Complete 501(c)(3) 1023 application preparation with all schedules and attachments (signature ready)
• 100% Guaranteed Approval
• Drafting of financials (3-year projection)
• Narrative and keywords reviewed (CMS)
• Conflict of interest
• I.R.S inquires
• Form 990-N (e-Postcard) – Required annually by the IRS. ($50,000 or less in gross revenue)

What are your fees?

Please give us a call at 877-439-3678 for a completely free consultation regarding your organization and which is the best way for you to file. We will go through an eligibility list to determine the fastest and best way to file for your 501(c)(3) with the government.

What are the Filing fees for processing the state required documents?

Incorporation fees vary by each state. They run anywhere for $25.00 to $150.00.
State Solicitation Registration fees run from $00.00 to $75.00.
See HOME page for your exact state filing fees.

Besides Incorporation, what other documents are needed to file in my state?

Most states require that you file a State Solicitation Registration application.
Moreover, most states have a Tax-exempt application process for non-profits to be exempt from state taxes. (Note! The above is Included in our 501(c)(3) services)

What are the government filing fees for processing the Federal 501(c)(3) required documents?

Federal I.R.S. 501(c)(3) application processing fees.

The I.R.S. requires a one-time processing fee. ($275.00 or $600.00)

IRS Fee $275.00

For qualified small organizations, The I.R.S. has a special application process and a fee of only $275.00

To become eligible and to take advantage of the new Form 1023EZ, organizations will need to complete an eligibility

checklist worksheet and have estimated yearly gross receipts not more than $50,000 in any of the next three years, an annual gross receipts not greater than $50,000 in any of the previous three years. Additionally, the organization’s total assets must not go beyond $250,000.

We will complete an eligibility checklist for your organization to see if you are eligible to take advantage of the new form 1023 EZ.

In the event you satisfy the above qualification requirements, we will file the 1023- EZ Form Electronically directly to the IRS. (The I.R.S Processing USER fee is $275.00)

Note! Churches, schools, colleges, universities, hospitals, supporting organizations, HMOS, ACOs, and entities with donor-advised CAN NOT file using the Form 1023-EZ. (see below) IRS fee $600.00

In the event you are NOT eligible for the 1023 EZ process the IRS fee will be either a flat $600.00

Note! Churches, schools, colleges, universities, hospitals, supporting organizations, HMOS, ACOs, and entities with donor-advised MUST file Long form 1023. IRS fee $600.00

How does my organization become eligible for the new 1023 EZ Form?

For qualified small organizations, The I.R.S. has a special application process.
To become eligible and to take advantage of the new Form 1023-EZ, organizations will need to complete an eligibility checklist worksheet and have estimated yearly gross receipts not more than $50,000 in any of the next three years, and annual gross receipts not greater than $50,000 in any of the previous three years. Additionally, the organization’s total assets must not go beyond $250,000. The IRS fee is $275.00

 

Note! Churches, schools, colleges, universities, hospitals, supporting organizations, HMOS, ACOs, and entities with donor-advised CAN NOT file using the Form 1023-EZ.

 

We will complete an eligibility checklist for your organization to see if you are eligible o to take advantage of the new form 1023 EZ.

What organizations are NOT eligible for the new Form 1023 EZ?

The following types of organizations may not use the Form 1023-EZ and must use the standard Form 1023 instead:
(1) Organizations with projected annual gross receipts of more than $50,000 in either the current taxable year or the next two years.
(2) Organizations with annual gross receipts that have exceeded $50,000 in any of the past three years.
(3) Organizations with total assets the fair market value of which is more than $250,000. For purposes of this eligibility requirement, a good faith estimate of the fair market value of the organization’s assets is sufficient.
(4) Organizations formed under the laws of a foreign country.
(5) Organizations that do not have a mailing address in the United States.
(6) Organizations that are successors to, or controlled by, an entity suspended under Code section 501(p) (suspension of the tax-exempt status of terrorist organizations).
(7) Organizations that are not corporations, unincorporated associations, or trusts.
(8) Organizations that are successors to a for-profit entity.
(9) Organizations that were previously revoked or that are successors to a previously revoked organization (other than an organization the tax-exempt status of which was automatically revoked for failure to file a Form 990 series return or notice for three consecutive years).
(10) Churches or conventions or associations of churches.
(11) Schools, colleges, or universities.
(12) Hospitals or medical research organizations.
(13) Cooperative hospital service organizations described in Code section 501(e).
(14) Cooperative service organizations of operating educational organizations described in Code section 501(f).
(15) Qualified charitable risk pools described in Code section 501(n).
(16) Supporting organizations described in Code section 509(a)(3).
(17) Organizations that have as a substantial purpose providing assistance to individuals through credit counseling activities such as budgeting, personal finance, financial literacy, mortgage foreclosure assistance, or other consumer credit areas.
(18) Organizations that invest, or intend to invest, 5 percent or more of their total assets in securities or funds that are not publicly traded.
(19) Organizations that participate, or intend to participate, in partnerships (including entities or arrangements treated as partnerships for Federal tax purposes) in which they share profits and losses with partners other than 501(c)(3) organizations.
(20) Organizations that sell, or intend to sell, carbon credits or carbon offsets.
(21) Health Maintenance Organizations (HMOs).
(22) Accountable Care Organizations (ACOs), or organizations that engage in, or intend to engage in, ACO activities
(23) Organizations that maintain, or intend to maintain, one or more donor advised funds.
(24) Organizations that are organized and operated exclusively for testing for public safety and that are requesting a foundation classification under Code section 509(a)(4).
(25) Private operating foundations.
(26) Organizations that are applying for retroactive reinstatement of exemption under sections 5 or 6 of Revenue Procedure 2014-11, after being automatically revoked for failure to file Form 990, 990-EZ, or 990-N for three consecutive years (in other words, organizations applying for reinstatement within 15 months of the revocation notification date that did not qualify to submit the Form 990-EZ or 990-N for each of the three years, or organizations applying for reinstatement more than 15 months after the revocation notification date).

What if my organization pays the $275.00 I.R.S. fee and my organization goes over 50,000.00 per year in total income?

At the time of application, you need to make a faith-based estimate of your yearly gross income. If you are blessed with more than 50,000.00 per year, it is simply reported on the annual required form 990 Tax return for non-profits.

Why would I want to choose the $600.00 IRS fee instead of the $275.00?

The # 1 reason is and on the list of qualification conditions, for utilizing the Form 1023 EZ is the fact that organizations Are Not Able To maintain separate accounts for donors to advise how the funds are going to be spent!

 

The majority of grants, large or small, have conditions and terms about how the money must be used. Meaning that should you ever want to apply for a grant, you CAN NOT use the Form 1023 EZ.

 

Most private foundations, governments, as well as other contributors will probably be not wanting to fund organizations that acquired their 501(c)(3) status by filing the Form 1023-EZ. Few donors will have the information needed to make a determination that the attestations of the signer made in a Form 1023-EZ are correct.

 

A huge benefit to submitting Internal revenue service Form 1023 and paying $600. instead of Form 1023-EZ is that ultimately the IRS will make the determination after its review that the organization qualifies as a tax-exempt organization under Internal Revenue Code Section 501(c)(3).

How long does it take for the government (I.R.S) to process my application and issue a 501(c)(3) Status?

For the Form 1023 EZ you will usually receive your 501(c)(3) status from four to eight weeks. Note! Our average is within four weeks.
For the Form 1023 (Hard copy) you will usually receive your 501(c)(3) status from three to 4 months. Our average is three months or less.

Can I solicit and start receiving contributions before my application is 501(c)(3) approved is approved?

You can receive but not solicit for until you are approved with your State charitable registration. (This is included in our services)

How will I know I am 501(c)(3) tax-exempt?

Once you receive a Determination letter from the IRS in the mail.
On that letter will explain your exemption status and any annual filing due.
Note IRS does not issue certificates or Tax-exempt numbers.

When does the 501(c)(3) tax-exempt status start?

The IRS will retro act the 501(c)(3) status back to the date of incorporation up to 27 months. This means that the organization’s activities are retroactively tax-exempt and donations are retroactively tax-deductible to the donor. If you are applying after 27 months from the date of formation, then the 501(c)(3) status will be the date the IRS receives the application.