Form 1023

IRS Form 1023 is the application that is used by organizations to apply for recognition of exemption from federal income tax under section 501(c)(3) of the Internal Revenue Code.

Form 1023 is essential for non-profit organizations seeking tax-exempt status. Tax-exempt status refers to the status granted by the Internal Revenue Service (IRS) to eligible organizations, allowing them to be exempt from federal income tax on income related to their exempt purposes. This also allows your donors to receive a tax-deduction for donations made to your organization. How to Start a Nonprofit will help you with Form 1023.

Here are some key points about Form 1023:

1. Purpose: To determine if the organization qualifies for tax-exempt status under section 501(c)(3).
2. Eligibility: Charitable, religious, educational, scientific, literary organizations, and others that meet specific requirements.
3. Components: The form requires detailed information about the organization, including its structure, governance, finances, operations, and activities.
4. Attachments: Organizations must often provide supplementary documents, such as financial statements, articles of incorporation, and bylaws.
5. Submission: The 1023 form must be filed with the IRS, and there is a filing fee that varies based on the organization’s gross receipts.

Obtaining tax-exempt status can provide significant benefits, such as exemption from federal income tax and eligibility to receive tax-deductible charitable contributions. Using the 1023 form is the first step in getting your tax exempt status.