How Do I Start a 501c3 in South Carolina?

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Starting a 501(c)(3) Nonprofit Organization

The steps include choosing a name, writing purpose statement and bylaws, establishing a board of directors, filing articles of incorporation, applying for federal tax-exempt status as a 501(c)(3) and filing for state recognition of tax exemption.

Secretary of State’s Website and Filing Application

  • Visit the Secretary of State’s website to access the filing application.
  • You can also download the Articles of Incorporation form.
  • The fee to incorporate as a nonprofit corporation is $25.
  • Sales of tangible property by a church or nonprofit organization are exempt from the Sales and Use Tax.

Starting a 501(c)(3) Nonprofit in South Carolina

  • To start a 501c3 nonprofit in South Carolina: start a nonprofit according to state rules then apply for 501c3 status with the IRS.
  • Our 501(c)(3) formation packages start at $1,799 plus filing fees.
  • We prepare and file registrations needed to become a 501(c)(3) nonprofit, saving you hours of time.

Maintaining 501(c)(3) Status and Filing Properly

  • Once you receive federal tax-exempt status from the IRS, take steps to maintain 501(c)(3) status by filing an annual report and avoiding activities that would jeopardize status.
  • For example, nonprofits must avoid lobbying.

Requirements and Regulations

  • Proper filing is extremely important when starting a 501c3 nonprofit.
  • The steps required: take time to consider the work your organization will do and if a 501c3 is the right entity.
  • Apply with the IRS for official 501(c)(3) status.
  • Select your purpose, choose a structure, and decide on a name.

Director and Officer Requirements

  • The IRS requires nonprofits to have at least three directors.
  • The majority should not be related.
  • Officers include: A president, a secretary, and a treasurer.
  • Officers can hold multiple titles if allowed.

Adopting Bylaws and Policies

  • Adopt bylaws and a conflict of interest policy before applying for tax-exempt 501c3 status.
  • Bylaws contain rules for meetings, electing officers, and directors.
  • They are the internal operating manual.

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