| If you are looking to start a charitable organization | | | | as a 501(c)(3) by filing Form 1023 with the |
| in California, there are some matters you will need | | | | Internal Revenue Service. This is a very detailed |
| to consider. Before you get things off the ground, | | | | and lengthy application form which seeks to obtain |
| you will need to formulate a charitable mission. | | | | information about your organization's goals, |
| Once you have a charitable mission in mind, there | | | | activities and operations. It is not necessary for |
| are some steps you will need to take in order to | | | | you to retain an attorney or accountant to fill out |
| formally create your charitable organization. The | | | | the application for you. However, given the level |
| following are the legal steps needed to take to | | | | of detail involved in preparing the application, you |
| create your non profit charitable organization in | | | | might consider getting professional assistance. |
| California: | | | | When you submit the application to the IRS, there |
| First, you must incorporate your non profit | | | | is a fee of either $850 or $400, depending on the |
| organization. This is done by filing Articles of | | | | estimated gross revenues generated by your |
| Incorporation with the California Secretary of | | | | organization. It takes about 3 - 5 months for the |
| State Business Programs Division. Specifically, you | | | | IRS to issue a Determination Letter which |
| must mail the original articles of incorporation, and | | | | recognizes your organization as a 501c3. |
| the $30.00 Secretary of State filing fee, to the | | | | Fourth, as a nonprofit organization, you may |
| Office of Secretary of State, Business Entities | | | | apply for recognition as a tax exempt entity |
| Section, 1500 11th Street, 3rd Floor, Sacramento, | | | | under California state law. To do so, you must |
| California 95814. If the articles are hand-delivered | | | | complete and submit form FTB 3500 with the |
| to the Secretary of State (i.e., not mailed), then | | | | California Franchise Tax Board. The application, |
| there is an additional $15.00 special handling fee. | | | | including all required documentation, must be |
| The Secretary of State will certify up to two | | | | mailed to the Franchise Tax Board, P.O. Box |
| copies of the articles without charge. | | | | 942857, Sacramento, California 94257-4041. |
| Second, once your articles are filed with the | | | | Fifth, prior to soliciting donations, you should |
| State of California, you will need to obtain a tax | | | | make sure that your non profit organization is |
| identification number, or EIN, for your nonprofit | | | | properly registered with the Office of Attorney |
| organization. To obtain your organization's EIN, you | | | | General of the State of California. To do so, your |
| must contact the Internal Revenue Service at | | | | organization must complete and submit Form |
| 1-800-829-4933. | | | | CT-1, along with a $25.00 application fee, to the |
| Third, to become a tax exempt entity, your | | | | Registry of Charitable Trusts, P.O. Box 903447, |
| nonprofit organization must apply for exemption | | | | Sacramento, California 94203-4470. |