Once you have formed your organization, clarified your exempt purpose, and opened your business bank accounts, you are ready to apply for 501(c)(3) status.

Checklist:

Form 1023, all relevant parts filled out completely (the form itself is 28 pages)
Copy of the certificate of incorporation
Copy of your articles of incorporation, and any amendments in chronological order (be sure to include the conflict of interest policy, nondiscrimination clause, and dissolution clause).
Copy of your bylaws, and any amendments in chronological order
List of your founding officers and directors, and their addresses
List of your five highest compensated employees and their compensation
Budget for the current year and last three years, or, if you have a new organization, your projected budget for the current year and the following two years
A narrative description of your activities
A list of all of the organization’s assets and liabilities
Signature of a person authorized by the board of directors to submit the form, and the proper filing fee.

Simple, right? This is a big application with a lot of moving parts, many of which depend on nuance for getting approved. The IRS reports that the primary cause for delay in granting 501(c)(3) status is missing, hard to locate, or incomplete purpose and dissolution clauses. One of the best reasons to hire an attorney to help with this process is the level of detail required to submit an application that can be reviewed and granted on the first pass. My motto is: Do it once. Do it right. When we expect the process of preparing to file Form 1023 to take 6 months, we give ourselves the space to cross-check documents and ensure that what we represent to the IRS is accurate to the mission and operation of the organization.

For more information, make an appointment for a free consultation.