Churches, synagogues, temples and other religious organizations generally qualify for favorable tax treatment as nonprofit, tax-exempt corporations. The federal laws governing tax-exempt entities are found in Section 501(c)(3) of the United States Code. Organizations designated as tax-exempt are often referred to as "501c3 companies," entities or organizations. To keep your tax-exempt status, your church must refrain from lobbying activities, fundraising for purely political purposes, attempting to have the law changed or altered, and the organization must not have been founded primarily for the benefit of its founders.
Instructions
1. Ensure the name of your organization is still available in the State of Indiana. You can do a check on corporation names via the State of Indiana, Office of the Secretary of State. See Resources.
2. Obtain an employee identification number from the Internal Revenue Service. This number allows the IRS to monitor and credit any employee taxes you pay on your employees' behalf, and account for taxes you have withheld from their paychecks, such as Social Security and federal income tax. See Resources.
3. File articles of incorporation with the State of Indiana. You must specifically use the form for nonprofit, tax-exempt 501c3 organizations. A copy is located in the Resources section. You will need to provide the principal address, the purposes for which you have formed the church, and the name and address of the agent, or person responsible for the timely filing of tax documents. Check the second block, "religious corporation, which is organized primarily for religious purposes."
4. Return the articles of incorporation to the State of Indiana, together with the $30 filing fee, to the State of Illinois, Secretary of State, Corporations Division, 302 W. Washington St., Room E018, Indianapolis, IN 46204.
