Legal Method to Start a Nonprofit Tax-Exempt Christian Organization – 508c1a Faith Based Organization Vs Fed Id Vs State Exemption For New Small Church
Matthew 5:15 says, No one lights a lamp, then sets it under a basket. Rather, a lamp is placed on a stand, where it gives light to everyone in the house.
I would like to share with you briefly the value of forming your Christian organization as a church, a few examples of IRS approved churches, and also the ideal method to form a church.
Why is it that you need church status for your ministry?
The worth of your church in contrast to any other nonprofit is better rights, and fewer restrictions.
First, churches don’t file income tax returns. All other nonprofits do.
Second, churches do not need to supply records of receipts, disbursements, nor do they must provide testimony under oath, of such statements such as the rest of the nonprofits do.
Third, churches have particular audit protections, where each of other nonprofits do not.
In case you were wondering if your organization can qualify, here is some examples of
IRS approved churches and church ministries:
The Salvation Army. Since 1958, classified as a church and association of churches, their principal income comes from thrift sales and donations.
Young Life, a non-denominational church that focuses on youth and meet at recreation places.
The Billy Graham evangelical Association, one of the largest evangelism ministries in America accepted for association of churches in 2016. After 66 years of operation as a nonprofit they were audited by the IRS and subsequently changed the organization to church status.
Focus on The Family, a ministry that provides advice and counseling on marriage,
parenting and other topics through radio, books and social media.
The law firm, Liberty Counsel, an integrated auxiliary of Thomas Road Baptist Church.
Apart from the different types of churches, there are various ways to organize a church.
There’s no statute anywhere that states a church must be a 501c3.
A church could be organized as a 501c3, a 501c4, a 501d, a for-profit corporation or a 508c1a.
How your church is organized is crucial to what it can and can’t do.
The best way to form your church is a 508c1a since it does not wave rights and have speech restrictions, compared to all other nonprofits.
We specialize in 508c1a formation and registration. As a lampstand holds a candle to be a light to everyone, a 508c1a holds your ministry to be a light to everybody in the world.
Contact us to get started today.