Nonprofit

Did you know that there is a difference between nonprofits and charities? Nonprofit corporation is a type of entity structure, formed at the state level. The purpose of a nonprofit is to conduct business for the benefit of the general public without a profit motive or shareholders. A charitable organization is a type of nonprofit organization with the additional purpose of a philanthropic and social well-being (e.g. charitable, educational, religious, safety, health) as defined by Section 501C(3). Donations are tax deductible only if made to charitable organizations (not nonprofits that are not charities such as civic organizations, homeowners organizations, sports leagues, political organizations). 

Charity status is achieved by application to the Internal Revenue Service. My firm can assist with the nonprofit corporation formation at the state level, including the specific articles and provisions required for the later charitable status. Application to the IRS includes purpose statements, budgets, director selections, and other policies to confirm compliance. The process can be a bit overwhelming to do without help. I have completed dozens of such application packages and never had one denied.