To maintain your 501(c)(3) Nonprofit Public Charity in good standing in Oregon, follow this advice.
8 Ways to Keep Your Nonprofit Legal
In order to keep a 501(c)(3) nonprofit company in Oregon, you must:
Apply for a state tax exemption.
Tax-exempt organisations must file annual federal returns.
Keep a Registered Agent on file.
Submit periodic reports
Request permissions and licences
Registration of Charities
Follow the Public Inspection Rules.
1. Apply for a state tax exemption.
A. Exemption from state income taxes
Your charity will be immediately exempt from corporation income tax after you obtain your 501(c) decision letter from the IRS.
2. Tax-exempt Organizations’ Annual Federal Returns
A. Federal Annual Returns
The IRS requires most tax-exempt charitable organisations to submit an annual return (Check the IRS website for a list of exceptions).
An organization’s yearly gross receipts dictate which form should be utilised to submit the annual federal return.
The IRS defines ‘gross receipt’ as “the total sums the organisation received from all sources throughout its yearly accounting period, before deducting any expenditures or expenses.”
B. Unrelated Business Profits
If an organisation earns more than $1,000 from a trade or company that is unrelated to the organization’s declared purpose, it must submit Form 990-T to pay taxes on that revenue.
If your organisation anticipates to pay $500 or more in unrelated business income taxes for the year, you must pay a quarterly estimated tax on the unrelated business income using Form 990-W.
3. Keep a Registered Agent.
Any incorporated nonprofit must have a registered agent with an office location in Oregon. If you change your registered agent or their office address, you must submit an Information Change form with the Secretary of State so that your Articles of Incorporation may be changed.
Your company may be terminated if you fail to inform the Secretary of State of this change.
4. Submit Periodic Reports
The Oregon Secretary of State requires nonprofits to file an annual report (also known as a business renewal) by your organization’s anniversary date each year. You may submit your information to the Secretary of State’s website online.
Failure to submit the required reports may result in the termination of your company.
5. Obtain Permits and Licenses
Depending on the operations of your organisation, you may need to get a business licence in order to lawfully function. The Oregon Business Xpress License Directory may assist you in determining if your organisation requires a certain licence.
Furthermore, if you intend to conduct any kind of charity gaming event (bingo, raffles, etc.), you must register with the Oregon Department of Justice. You may finish your registration online at their website.
6. Registration of Charities
Nonprofits in Oregon that are charitable must register with the Oregon Department of Justice. Fill out form RF-C to register your nonprofit.
Registered charities must also submit an annual report to the Oregon Department of Justice. Charities may submit their annual reports online through the DOJ’s website.
If your organisation intends to hire anybody, you must register with both the Oregon Department of Revenue and the Oregon Employment Department.
Registration is simple and may be conducted online using the integrated registration form. Contact information is also available on the websites of the Departments of Revenue and Employment.
8. Obey Public Inspection Rules
To comply with federal requirements governing 501(c)(3) organisations, you must make the following papers available to any member of the public who wants them:
Annual returns for your organisation may be filed up to three years after the due date (including the following Forms: 990-PF, 990-EZ, 990-T, and 990)
Any supporting documentation and attachments for the 990 forms listed above. For Schedule B, however, you simply need to indicate the kind of the gift and the amount given.
Official IRS documentation demonstrating that your group is tax-exempt.
Your organization’s exemption application and any supporting documentation filed with it (including Form 1023).
Your company is NOT required to share the following papers or information with the general public:
Any part of Schedule B of Form 990/990-EZ that names donors.
Anything deemed an adverse judgement, including past rejections of tax-exempt status.
Any extra information that the IRS is entitled to withhold, such as trade secrets, patents, and so forth.