Nonprofits

Forming a nonprofit organization in Virginia can easily be established.

A nonprofit is set up and established just like a for-profit enterprise venture, yet with one additional step where you must apply for tax-exempt status with the Internal Revenue Service (IRS).

For Virginia, a nonprofit must be either a non-stock corporation or a limited liability company (LLC). In order to conduct fundraising, you must file a registration with the Virginia Department of Agriculture and Consumer Services. In addition, Nonprofits must obtain a local business license if required, and register with the Virginia Department of Taxation.

A nonprofit organization becomes tax-exempt, which allows businesses and individuals who donate to deduct their gifts when filing their federal income tax returns. So a nonprofit must file an application to become classified as a 501(c)(3) organization. You can find out further information from reading IRS publication 557, Tax-Exempt Status for Your Organization. All IRS forms can be obtained by calling 1-800-TAXFORM or you can also download the forms from the IRS website www.irs.gov

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s