State Tax-Exempt Status

  • For the following states, there is no tax-exempt status (usually because there is no corporate tax): Nevada, New Hampshire, South Dakota (but do file for sales tax exemption), Washington, Wyoming.
  • For the following states, merely filing your nonprofit Articles of Incorporation gives you tax-exempt status: Ohio, Rhode Island (but certain exempt organizations may have further filing requirements), Tennessee.
  • For the following states, you are automatically tax-exempt when you receive your IRS 501(c)(3) status: Alaska, Colorado, Connecticut, Hawaii, Idaho, Illinois, Kansas, Louisiana, Michigan, Mississippi, Missouri, Nebraska, New Mexico, North Dakota, Oklahoma, Oregon, South Carolina, Virginia, West Virginia, Wisconsin.
  • For the following states, you are tax-exempt upon notifying the state that you have IRS 501(c)(3) status (requirements differ as to what must accompany the notification, whether just the IRS Determination Letter, Articles, Bylaws, etc.): Alabama, Arizona, Arkansas, Delaware, Florida, Georgia, Indiana, Iowa, Kentucky, Maine, Maryland, Massachusetts, Minnesota, New Jersey, New York, Texas, Utah, Vermont, Washington D.C.
  • For the following states, you must apply and qualify for separate state tax-exempt status, but it is not burdensome: Montana, North Carolina, Pennsylvania.
  • For California: after you receive your 501c3, attach it to a filled-out Form 3500A and send it to the Franchise Tax Board.
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