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State-By-State Initial Compliance - Alabama

Initial Filings for Alabama Nonprofit Organizations

For a general discussion on starting a nonprofit organization, please refer to our article, Starting a Nonprofit Organization.

  1. To Incorporate in Alabama

    Submit Articles of Incorporation and 2 copies in the county where the corporation's registered office is located. For assistance, contact the Secretary of State's office at:

    Secretary of State
    PO Box 5616
    Montgomery, AL 36103-5616
    Information: (334) 242-5324
    Web Site: www.sos.state.al.us/
    Filing Fee: $20 plus Probate Judge fee
  2. To Obtain 501(c)(3) Tax-Exempt Status

    Submit Form 1023, Application for Recognition of Exemption to:

    Note new address:
    Internal Revenue Service
    P.O. Box 12192
    Covington, KY 41012-0192
    Information: (800) 829-1040
    Forms: (800) 829-3676
    Web Site: www.irs.gov/charities
    Filing Fee: $750 ($300 if revenues less than $10,000/year)
    Note: User fees will increase for all applications for exemption (Forms 1023, 1024, and 1028) postmarked after January 3, 2010:
    $ 400 for organizations whose gross receipts are $10,000 or less annually over a 4-year period
    $ 850 for organizations whose gross receipts exceed $10,000 annually over a 4-year period
    $ 3,000 for group exemption letters.
    For more information on filing fees and for information on the IRS' new web initiative "Cyber Assistant", see the IRS website.
  3. To Obtain Alabama Corporate Income Tax Exemption

    Charitable organizations exempt from federal income taxes are automatically exempt from corporate income taxes in Alabama.

  4. To Obtain Alabama Sales and Use Tax Exemptions

    Charitable organizations are not exempt from sales and use taxes in Alabama. For more information on sales and use taxes, contact the Department of Revenue at:

    Alabama Department of Revenue
    50 North Ripley Street
    PO Box 1274
    Montgomerey, AL 36132
    Information: (334) 242-1490
    Web Site: www.ador.state.al.us/salestax/index.html
  5. To Register with the Alabama Attorney General

    Submit registration form AAG-Charity Form 1 along with a copy of the organization's bylaws, Articles of Incorporation, charitable organizational charter, and IRS Determination Letter to:

    Office of the Attorney General
    Consumer Affairs Section
    11 South Union Street
    Montgomery, AL 36130
    Information: (334) 242-7335
    Web Site: www.ago.state.al.us/
    Filing Fee: $25
    Notes: Educational institutions, religious organizations, and political organizations are exempt from registration. Refer to the consumer charities section of the Attorney General's website for more information.

    Any charitable organization that receives less than $25,000 in contributions during the fiscal year is exempt from registration, provided that all fundraising functions are carried out by volunteers.

    Alabama also accepts the Unified Registration Statement in lieu of AAG-Charity Form 1.

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