Legal Way to Start a Nonprofit Tax-Exempt Church – Jared Ellis, Destiny 508
Matthew 5:15 says, No one lights a lamp, and then sets it under a basket. Rather, a lamp is placed on a stand, where it gives light to everyone in the home.
I would like to share with you briefly the value of forming your religious organization as a church, a few examples of IRS approved churches, and also the best way to register a church.
Why do you need church status for your ministry?
The worth of your church compared to any other nonprofit is greater rights, and fewer constraints.
First, churches do not file income tax returns. The rest of the 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 special audit protections, where all other nonprofits don’t.
In case you’re wondering if your organization can qualify, here’s a few 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 contributions.
Young Life, a non-denominational church that focuses on youth and meet at recreation places.
The Billy Graham evangelical Association, among the most significant evangelism ministries in America approved 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 guidance and counseling on parenting, marriage and other subjects through radio, books and social media.
The law firm, Liberty Counsel, an integrated auxiliary of Thomas Road Baptist Church.
Besides the various types of churches, there are different ways to organize a church.
There’s no statute anywhere that says a church must be a 501c3.
A church could be organized as a 501c3, a 501c4, a 501d, a for-profit company or a 508c1a.
How your church is organized is crucial to what it can and can’t do.
The best way to register your church is a 508c1a because it doesn’t wave rights and also have speech restrictions, when compared with 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 everyone on earth.
Contact us to get started today.