Do Nonprofits Have To Register As A Corporation In Utah

Welcome to our Utah Nonprofit Startup Guide! If you lot're passionate about helping others and have an thought to serve your customs, starting a nonprofit is a neat way to turn your vision into a reality. There are many different types of nonprofits - religious, educational, human service oriented, animal welfare, and more. What all nonprofits have in common is a focus on helping others and benefiting their customs. You are genuinely committed to these goals then you lot are already well on your way!

According to the National Center for Charitable Statistics, there were over 7,000 nonprofit organizations in Utah in 2012. Earlier you offset a new nonprofit, make sure you have identified an unmet need in your community and know that in that location are not any existing organizations serving your cause. If another organisation exists, consider working together, as that may be a ameliorate way to brand an impact in your community and employ existing resource.

When you are ready to showtime your nonprofit, plan to incorporate and use for 501(c)(3) status, equally these are important steps to fully achieve your goals. As a 501(c)(three) nonprofit, you volition exist able to apply for grants and accept donations, be exempt from federal corporate income tax, and limit the liability of your organization'due south officers and directors. Most chiefly, yous will proceeds credibility and legitimacy for your cause, instilling the public with confidence in your system.

This guide will walk you lot through the basic steps to start your nonprofit in Utah. Let's get started!

Your organization's proper name establishes its make and is also important for incorporating with the country. The legal proper name of your nonprofit corporation may not conflict with whatever other organization registered in the state. Make sure the proper name is available and meets state requirements.

Name Search:	Utah Section of Commerce - Division of Corporations and Commerical Code Name search
Suffix:	The corporate proper noun of a nonprofit corporation: (a) may, but need not contain: (i) the discussion "corporation," "incorporated," or "company"; or (2) an abbreviation of "corporation," "incorporated," or "company". Utah Code §sixteen-6a-401

The incorporator is the person who signs the Articles of Incorporation for your nonprofit. Yous will need at least ane, but tin can accept more than one. Directors brand up the governing body of your nonprofit corporation and are stakeholders in your organization'southward purpose and success. You lot'll want to identify three, unrelated individuals to meet IRS requirements. Y'all will also want to exist aware of any age or residency requirements.

Utah director requirements:	Number: minimum three Qualifications: Natural person eighteen years of age or older. No residency requirement. No membership requirement. Term: 1 twelvemonth Quorum: majority Commission: minimum 2 directors
Utah officer requirements:	Divers in bylaws or lath resolution. One officer prepares minutes of the directors' and members' meetings, keeps required records, and authenticates records. Qualifications: Natural person 18 years of age or older. Need not be a director. Two or more than offices may exist held past the same private.

A registered agent is responsible for receiving legal notices on behalf of your arrangement. The appointed registered agent must be physically located in the state and maintain an office that is open during regular business concern hours. Every bit a nationwide registered agent, our service is designed to receive your legal documents and provide secure access to those documents through your online account. Our local Utah registered agent office is located in South Hashemite kingdom of jordan, UT. Nosotros offer registered agent service independently or as part of our nonprofit formation packages.

Your nonprofit'south manufactures of incorporation officially mark the creation of your organization. They certificate where and when the arrangement was formed and capture other information necessary to verify its existence. While requirements for linguistic communication vary from land-to-state, there are some basic provisions that the IRS will look for when yous apply for 501(c)(3) exemption. It is important to customize the articles for your system and brand sure you meet the country and IRS requirements. Meeting these requirements from the get-go will aid avoid having to make amendments subsequently or risk getting your 501(c)(3) application rejected. Some states will also require you to publish your articles of incorporation, so be mindful of any deadlines and publishing instructions.

Agency:	Utah Department of Commerce - Division of Corporations and Commerical Code
Class:	Articles of Incorporation
Instructions:	Class SS-4418 - Instructions and Preparing Articles of Incorporation For a Nonprofit Corporation in Utah and Guide sheet: Data on Incorporating a Nonprofit Corporation
Filing Method:	Mail service, fax, in-person, or online
Bureau Fee:	$30
Turnaround:	~fourteen business concern days by mail or fax. ~1 business day online.
Law:	Utah Code - Title xvi: Corporations - Chapter 6a: Utah Revised Nonprofit Corporation Human action
Notes:	A certificate of incorporation is issued upon approval.

Afterward filing articles of incorporation, you must file an initial report.

This unique, nine-digit number is assigned by the IRS to place your nonprofit. All types of nonprofits will utilize for an EIN, not only those that rent employees. You volition utilize your EIN to open a bank account, apply for 501(c)(3) status, and submit 990 returns to the IRS.

Bureau:	Internal Revenue Service (IRS)
Form:	IRS Form SS-4
Filing Method:	Mail, phone, fax, or online.
IRS fee:	$0
Turnaround:	Immediately online or by phone. 4 business organisation days past fax. 4-5 weeks by mail service.
Notes:	The IRS website is only bachelor during sure hours. Print your EIN before endmost your session. For additional guidance, see IRS Pub 1635: Understanding Your EIN.

Equally you launch your nonprofit, you lot will receive a number of official documents. Organizing these documents in one place will save you headaches down the road. You will soon take numerous items to go on in your records including your EIN letter, bylaws, coming together minutes, 501(c)(3) determination letter, and more.

A bang-up way to maintain necessary documentation is Records Manager, our software for storing records deeply, tracking directors and officers, and getting notified of meetings.
Your bylaws are the governing document for your nonprofit. They serve equally your organization's operating transmission and should be consistent with your articles of incorporation and the police force. When your Board of Directors meets for the kickoff time, you'll review and ratify the bylaws and they will be a roadmap for governance from there.

At the same time, you'll as well want to create and adopt a disharmonize of interest policy. A conflict of interest is when someone in a fundamental position in your nonprofit has competing interests and is making choices that could benefit themselves to the harm of the organization. Personal interests should be fix aside and organizational interests prioritized. If a conflict of interest does arise, it should exist disclosed immediately.

Your application to the IRS for 501(c)(iii) exemption will crave that both the bylaws and the conflict of interest policy are canonical and adopted. Once they've been adopted, safely store them in your Nonprofit Records Kit.
The initial organizational coming together of your Board of Directors will be incredibly productive. At this meeting yous will approve the bylaws, adopt the conflict of interest policy, elect directors, engage officers, and approve resolutions such as opening the organization'southward bank account. Important decisions are being made then be sure to record them in the meeting minutes.
Utah offers a consolidated registration application for new business state tax registration.

Applying for 501(c) tax exemption can experience like the most daunting step in bringing your nonprofit dream into reality, but obtaining tax exemption comes with many benefits. You lot volition exist able to apply for grants and abound your fundraising success in addition to existence exempt from IRS income tax. 501(c) is the chapter of the Internal Acquirement Code that regulates nonprofit organizations. Like others, y'all may be most familiar with 501(c)(three) nonprofits, including charities and foundations. 501(c)(3) nonprofits employ using Form 1023 or Form 1023-EZ. Review the criteria for each application and make sure yous run across the eligibility requirements set out by the IRS. Other types of nonprofits, including 501(c)(4)s and 501(c)(6)s, apply using Form 1024. After reviewing and approving your application, the IRS will return a Decision Letter officially recognizing your exemption.

Completing the federal application for tax exemption is significantly easier with the assistance and support of a professional. Find someone with the expertise to ensure the correct application is existence used and is completed accurately. A well-prepared application takes time, over 100 hours past IRS estimates, so put yourself on the path to success by finding a specialist to walk alongside you in the journey - from showtime to revenue enhancement-exempt terminate!

Agency:	Internal Revenue Service (IRS)
Form:	IRS Form 1023, IRS Class 1023-EZ, or IRS Form 1024
Instructions:	IRS Instructions for Form 1023, IRS Instructions for Form 1023-EZ, or IRS Instructions for Course 1024. As well run across guidance IRS Pub 557: Tax-Exempt Status for Your Arrangement.
Filing Method:	Mail
Bureau Fee:	$275 for organizations filing Form 1023-EZ and $600 for organizations filing Form 1023.
Turnaround:	1023-EZ average: <1 month. 1023 average: 3-6 months.

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With your IRS Determination Letter in paw, make sure you familiarize yourself with your state'due south requirements for recognizing your nonprofit's tax-exempt status. This is an expanse where requirements vary state-by-state. Many states issue their ain revenue enhancement-exempt certificate that tin can be used for sales and use tax purposes, but information technology may require application and periodic renewal.

To file to obtain exemption from land income tax:

To file to obtain Sales Tax Exemption:

This is another area where laws differ from state to state, but most states require any nonprofit soliciting donations to register to do so on an almanac basis. This means registering in the land prior to soliciting any resident of that land. Registering in your home state is essential, merely yous may also need to register other states depending on the scope of your system.

Utah Charitable Organization Permit

Bureau:	Utah Department of Commerce - Division of Consumer Protection
Law:	Utah Code Annotated §13-22-ane thorugh 13-22-15; Utah Authoritative Code, Rule R152-22-1 through R152-22-five
Foreign Qualification is Prerequisite:	No
Registered Agent (Special Agency) Required?	Yes

I-Fourth dimension Exemption Registration

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Exemption Eligible Organizations:	A religious, ecclesiastical, or denominational organization described in § xiii-22-5(a) A solicitation by a broadcast media endemic or operated past an educational institution or governmental entity, or any entity organized solely for the support of that broadcast media An individual soliciting a contribution for the relief or benefit of some other individual, who is specified by name at the fourth dimension of the solicitation if all contributions are turned over to the named beneficiary later on deducting actual expenses necessary for the toll of solicitation, if any and all individuals that carry out whatsoever fund-raising role for the do good of the named individual are unpaid, directly or indirectly, for services rendered A political party authorized to transact the political party'due south affairs within this state and any candidate and entrada worker of the political political party if the content and manner of any solicitation make clear that the solicitation is for the benefit of the party or candidate A political action group or group soliciting funds relating to issues or candidates on the ballot if the committee or group is required to file fiscal information with a federal or state election commission A public schoolhouse; a public institution of higher learning; a school accredited by an accreditation trunk recognized within the land or the United States; an establishment of college learning accredited by an accreditation trunk recognized inside the state or the The states; an organization within, and authorized by, one of the previously described educational entities; a parent organisation, teacher organization, or student arrangement authorized by one of the previously described educational entities A public or higher education foundation established under Title 53E, Public Educational activity Arrangement -- Country Administration, Title 53G, Public Education System -- Local Assistants, or Championship 53B, State Organization of Higher Education A idiot box station, radio station, or newspaper of general circulation that donates air time or print space for no consideration as role of a cooperative solicitation effort on behalf of a charitable arrangement, whether or not that organization is required to register under this chapter A volunteer fire department, rescue team, or local civil defense force organization whose financial oversight is under the control of a local governmental entity Any governmental unit of any country or the The states Any corporation established past an act of the United states Congress and that is required by federal law to submit an annual report to the Usa Secretary of Defense A solicitation past an applicant for a grant offered past a state agency if the terms of the grant provide that the state agency monitors a grant recipient to ensure that grant funds are used in accordance with the grant's purpose and the sum of the amount available to the bidder under grants offered by a state agency that the bidder applies for in a calendar year is less than or equal to $1,500 A chapter of a charitable organization or a person who solicits contributions for a charitable system, if the charitable organisation is registered with the division pursuant to § 13-22-5 or is exempt from registration under this section if sure weather certain conditions are met A solicitation in an obituary A solicitation made exclusively to a family fellow member of the individual making the solicitation
Filing Method:	Online
Agency Fee:	$0
Police force:	UT Code § 13-22-eight
Notes:	Exemptions practice non expire equally long equally the system continues to qualify nether the exemption criteria.

Initial Registration

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Filing Method:	Online
Agency Fee:	$75
Turnaround:	i week
Notes:	You lot may not solicit until you receive your document of registration dorsum from the state. It takes ~i calendar month for the state to process your application. Some Utah counties and municipalities may crave charities that solicit in-person to register prior to fundraising.
Earlier you Apply:	Domestic Applicants: Check the available exemptions to come across if your charity is eligible for exemption from the full registration requirement. Appoint a registered agent to receive legal documents in Utah. Look through the list of required attachments and make sure that you lot have each required document in hand before starting the registration awarding. Foreign Applicants: Cheque the available exemptions to run across if your clemency is eligible for exemption from the full registration requirement. Appoint a registered amanuensis to receive legal documents in Utah. Look through the list of required attachments and make sure that yous have each required document in paw earlier starting the registration application. If you will foreign authorize in Utah, obtain a certificate of expert continuing from your home country to submit during the strange qualification process. The certificate cannot be more than 90 days old when filing foreign qualification documents.
How to Apply:	Domestic Applicants: File entity formation documents with the Utah Section of Commerce - Segmentation of Corporations and Commerical Code. Create an online account and consummate the online charitable registration through the Utah Department of Commerce - Division of Consumer Protection. Foreign Applicants: Determine whether or not your clemency will need to foreign authorize based on your activity in Utah. If non required, skip to number 3. File strange qualification documents with the Utah Department of Commerce - Partition of Corporations and Commerical Code. Create an online business relationship and complete the online charitable registration through the Utah Department of Commerce - Partition of Consumer Protection.
Required Attachments:	IRS class 990 Articles of incorporation Bylaws IRS determination letter Listing of officers and directors Professional fundraising contracts

Registration Renewal

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Filing Method:	Online
Agency Fee:	$75
Due:	Annually by the upcoming quarterly due date based on registration appointment: January 1, Apr 1, July 1, or October 1. So if your allow was issued on April 15, information technology will expire on July ane.
Due Date Extension:	Utah does non grant extensions for charitable organization registration.
Penalties:	There is a belatedly fee of $25 for each month that passes later on the due date.
Required Attachments:	IRS grade 990 List of officers and directors Professional fundraising contracts Only if amended: IRS determination letter of the alphabet, articles of incorporation, and bylaws

Contract Filing

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Form:	At that place is no class. Just submit the contract to the state.
Filing Method:	Email the contract to dcp-charities@utah.gov
Agency Fee:	$0
Turnaround:	1 business week.
Due:	Every charitable organization which agrees to permit a charitable sales promotion to be conducted past a commercial co-venturer on its behalf shall file with the partition a notice of the promotion prior to its commencement within this state.
Notes:	There is no form. Notices of sales promotion must include: ane) The names of the charitable system and commercial co-venturer; 2) That the charitable organization and the commercial co-venturer will conduct a charitable sales promotion; and 3) The appointment the charitable sales promotion is expected to commence.
How to Utilise:	The charity must be registered to solicit charitable contributions or otherwise exempt for the contract to be accepted.

Alter of Fiscal Year

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Filing Method:	Online
Agency Fee:	$75
Notes:	Submit the short year financials during the standard renewal procedure.

Counterfoil

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Bureau Fee:	$0
Notes:	To shut out your registration, send (email accepted) a letter of the alphabet indicating that your organization wishes to abolish its registration. No final report or renewal is required.

To fundraise nationally or online, delight come across our Fundraising Compliance Guide. Our services manage your initial, renewal, and exemption filings in every state.

Running your nonprofit corporation legally also means securing all applicative licenses and permits. The range of local, state, and federal requirements is broad. Access resources like the Small Business Administration Business concern License & Permit look-upward tool and search by your business type and locality.

You've fabricated it! Y'all turned your passion into a legitimate nonprofit corporation exempt under IRS 501(c) and are benefiting your community. That solid foundation on which you lot built your arrangement requires ongoing maintenance. Investing in maintaining compliance with all of the authorities agencies is an ongoing responsibleness and commitment needed to ensure your vision continues long into the future. Bank check out our compliance guide to larn more!

Once you have registered your nonprofit per the steps listed to a higher place, you will need to maintain compliance with all of the regime agencies. Staying current with the IRS and state requirements is an ongoing responsibility. Go along reading our Utah nonprofit compliance guide to learn more!

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Fast Facts

Below is an overview of the paperwork, toll, and time to start an Utah nonprofit.

Paperwork

Grade SS-4418: Charter Nonprofit Corporation
Bylaws
IRS Form SS-iv: Obtain an EIN
IRS Course 1023: 501(c) Tax Exempt Application
IRS Decision Letter
Form TC-69: Utah State Concern and Tax Registration
Utah Business License Registration
Form TC-160: Awarding for Sales Taxation Exemption Number for Religious or Charitable Institutions
URS Charitable Registration, if applicable
Utah Charitable Organization Let Application Grade or Asking for Exemption pursuant to Charitable Solicitations Act

Cost

Incorporation: $30
501(c): $275 or $600 IRS fee
Utah charitable registration: $100 ($0 if exempt)

Time

Incorporation: ~14 business days by post or fax. ~1 business 24-hour interval online.
501(c): ii weeks to three months

Revised September 07, 2021. Consummate data last reviewed April 03, 2017.