501c3 Compliance Checklist

This task involves identifying the mission statement of the nonprofit organization. The mission statement outlines the purpose and goals of the organization, serving as a guiding principle for its activities and decision-making. It is essential to clearly define the mission statement to ensure alignment and focus on achieving the organization's objectives. What is the mission statement of the nonprofit?

This task requires filing the Articles of Incorporation with the Secretary of State. The Articles of Incorporation establish the legal existence of the nonprofit organization as a corporation and provide essential details such as the organization's name, purpose, registered agent, and address. Filing these documents ensures compliance with state laws and grants the organization legal recognition. Have you filed the Articles of Incorporation with the Secretary of State?

An Employer Identification Number (EIN) is a unique nine-digit identification number assigned by the Internal Revenue Service (IRS) to a business entity. This task involves obtaining an EIN for the nonprofit organization. The EIN is necessary for various compliance purposes, such as filing taxes, opening bank accounts, and hiring employees. Have you obtained an Employer Identification Number (EIN) from the IRS?

Bylaws serve as the rules and regulations that govern the internal operations of a nonprofit organization. This task involves creating the Bylaws for the organization, which address important aspects such as board structure, decision-making processes, membership, committees, and other essential operating procedures. Developing clear and comprehensive Bylaws ensures organizational structure, consistency, and compliance. Have you created the Bylaws for the organization?

A Board of Directors is responsible for overseeing the activities and governance of a nonprofit organization. This task involves selecting a Board of Directors that aligns with the organization's mission and values. The Board should consist of individuals with diverse backgrounds, skills, and expertise, providing effective leadership and guidance. Have you selected a Board of Directors?

The first board meeting is a crucial step in establishing the nonprofit organization's operations and governance. This task involves organizing the first board meeting, where key agenda items include introductions, adoption of Bylaws, appointment of officers, and discussion of initial strategies and action plans. The first board meeting sets the foundation for the organization's future activities. Have you organized the first board meeting?

Minutes of board meetings document the discussions, decisions, and actions taken during each meeting. This task involves preparing and maintaining minutes of board meetings, ensuring accurate records of proceedings and accountability. Detailed minutes serve as legal records and valuable references for future deliberations and audits. Are you preparing and maintaining minutes of board meetings?

To obtain Federal Tax-Exempt Status, nonprofit organizations need to file IRS Form 1023. This task involves applying for Federal Tax-Exempt Status by completing and submitting IRS Form 1023. The form requires detailed information about the organization's activities, finances, governance, and purpose, demonstrating eligibility for tax-exempt status. Have you applied for Federal Tax-Exempt Status?

Obtaining Federal Tax-Exempt Status requires paying filing fees for IRS Form 1023. This task involves paying the required filing fees to the IRS as part of the application process. The fees vary based on the organization's annual gross receipts. Have you paid the filing fees for IRS Form 1023?

After applying for Federal Tax-Exempt Status, nonprofit organizations receive an IRS Determination Letter. This task involves waiting for and receiving the IRS Determination Letter, which confirms the organization's tax-exempt status. The letter serves as proof of the organization's eligibility for tax-exempt benefits and is essential for fundraising and compliance purposes. Have you received the IRS Determination Letter?

Nonprofit organizations engaging in fundraising activities or soliciting donations often need to register for Charitable Solicitation. This task involves registering the organization for Charitable Solicitation with the appropriate state agencies. Compliance with state-specific registration requirements ensures transparency, accountability, and legitimacy in fundraising efforts. Have you registered for Charitable Solicitation?

Regular board meetings are essential for effective governance and decision-making in a nonprofit organization. This task involves conducting regular board meetings at predefined intervals, enabling discussions, updates, and decision-making on organizational matters. Consistent board meetings foster collaboration, transparency, and accountability within the organization. Are you having regular board meetings?

Proper record keeping is crucial for nonprofit organizations to meet compliance requirements and maintain transparency. This task involves ensuring proper record keeping for financial documents, meeting minutes, bylaws, policies, and other important organizational records. Accurate record keeping facilitates audits, reporting, and decision-making processes. Are you ensuring proper record keeping?

Nonprofit organizations are required to make certain IRS disclosures annually. This task involves observing the annual IRS disclosures as per the organization's tax-exempt status. Disclosures may include public access to Form 990, providing copies upon request, and maintaining transparency regarding the organization's activities and finances. Are you observing the annual IRS disclosures?

Certain nonprofit organizations may require specific licenses and permits to operate legally. This task involves identifying and applying for any needed licenses and permits applicable to the organization's activities, complying with local, state, and federal regulations. Obtaining the necessary licenses and permits ensures compliance and legitimacy in conducting operations. Have you applied for any needed licenses and permits?