What is a non profit 501(c)(3) corporation?

Non-Profit Corporations are formed for charitable, scientific, religious or educational purposes, etc. If the corporation is to qualify for tax exempt status by donations then it has to qualify with the IRS. Sometimes they are referred to as 501(c)(3) corporations. Without the IRS qualification any donated funds will not be considered a tax free exemption.

The 501(c)(3) is designated by the Internal Revenue Code. The 501(c)(3) qualifies your non profit corporation as being tax exempt.

The non profit corporation will not be a taxable entity as long as its activities are for ** charitable, scientific, religious or educational, or a combination thereof and as long as it is issued the exemption.

Contributors will be permitted to deduct the contribution on their personal tax returns. Once the IRS has issued the tax exempt status, the corporation will be allowed to receive tax free contribution. You must be approved by the IRS before donations are considered tax deductible.

Global Corporate Services will arrange to form your new corporation in such a manner so as to be in compliance with state law and qualify for the special 501(c)(3) exemption status. We are associated with a legal firm who will prepare and submit the paperwork to the IRS to obtain the 501(c)(3) tax exempt status. Once the application has been accepted, you will receive a formal letter of determination from the Internal Revenue Service. This process, once properly submitted, takes about 3 to 6 months.

At this time we have several Non Profit Companies available for immediate use. Please call us for additional information on purchasing an existing company.

Our fee to incorporate your Non-Profit Corporation is $495.00 and includes the following:

Free Name Search for Corporation or Limited Liability Company
Expedited Fee Included for Processing in 24 Hours
Preparation and Recording of the Certificate of Incorporation
State and County filing fees
Certified Copy of Certificate of Incorporation
Registered Agent Fee
Basic First Class Mail Forward
Process Application*(SS4) for the Federal Identification Number

To apply for 501(c)(3) status by having our attorney file the forms click here. Please also note that some non profit corporations must also qualify as a 501(c)(4) Please be sure to speak with a qualified legal and/or financial advisor before making any decisions. You may address your tax questions to our Tax and Accounting Services at tax@delawarecorp.us.

** The following text was taken from the IRS site on qualified exempt not for profit companies.
An organization may qualify for exemption from federal income tax if it is organized and operated exclusively for one or more of the following purposes

Religious
Charitable
Scientific
Testing for public safety
Literary
Educational
Fostering national or international amateur sports competition (but only if none of its activities involve providing athletic facilities or equipment
The prevention of cruelty to children or animals

To qualify, the organization must be a corporation, community chest, fund, or foundation. A trust is a fund or foundation and will qualify. However, an individual or a partnership will not qualify. Examples of Qualifying organizations include:

Nonprofit old-age homes
Parent-teacher associations
Charitable hospitals or other charitable organizations
Alumni associations
Schools
Chapters of the Red Cross or Salvation Army
Boys' or Girls' Clubs
Churches

Disclaimer: You are responsible for making sure that all documents submitted for the purpose of opening an are suitable for such purpose and otherwise legally sufficient. This includes, without limitation, ensuring that the documents are properly dated, executed, and certified where appropriate. Global Corporate Services, Inc. reserves the right to retain any moneys it receives if there is positive evidence of fraud or any other material civil or criminal infractions by the applicant. Intentional falsifying or withholding of information may subject the applicant to prosecution under the laws of the State of Delaware and United States. In select cases, Global Corporate Services, Inc. may be obligated to share information with appropriate state and federal authorities.

Acme Filings Corp.. is a registered agent and document filing service when you start a new business. Our company provides general information and incorporation filing services. We do not offer legal or financial advice, however we do have partners who offer this type of service. The use of our phone numbers on your web site or your corporate stationary is prohibited. Acme Filings Corp. is a division and wholly owned subsidiary of Global Corporate Services, Inc.