How to Get 501(c)(3) Status for a New Church (Step-by-Step, 2026)

Good news first: if you're planting a church in the United States, you're already tax-exempt under federal law — whether you apply for it or not. The IRS automatically considers churches to be 501(c)(3) organizations under Internal Revenue Code Section 508(c)(1)(A).

So why does any church apply for formal 501(c)(3) recognition? Because "automatically exempt" and "officially recognized" aren't the same thing. Here's the practical case for going through the process, and exactly how to do it.

Why Get Formal 501(c)(3) Recognition?

The IRS says churches don't need to apply. So why do most church planters do it anyway? Four reasons:

1. Donor confidence. When donors look your church up on the IRS Tax Exempt Organization Search database (formerly Pub. 78), they want to see you listed. Many major donors and grant-makers won't give to organizations not in that database.
2. Banking and credibility. Some banks, vendors, and landlords want to see your determination letter before they'll extend credit, accounts, or leases.
3. Denominational requirements. Many networks and denominations require a formal determination letter for church plants they support or credential.
4. State-level tax exemption. Most states grant state income and sales tax exemption based on your federal 501(c)(3) status. Without the determination letter, you may still owe state taxes.

The short version: you almost certainly want the determination letter, even though the law doesn't require it.

Before You File: The Prerequisites

There are three things you must have in place before filing:

1. Legal Formation Documents

You need to be legally formed as an organization in your state. For most churches, this means filing Articles of Incorporation as a nonprofit corporation with your state's Secretary of State office. Some churches form as unincorporated associations or religious trusts, but incorporation provides the clearest structure and best liability protection.

Your articles of incorporation must include specific language for 501(c)(3) eligibility:

• A statement of your charitable/religious purpose
• A "dissolution clause" specifying that assets go to another 501(c)(3) if the organization dissolves (not to individuals)
• A statement that the organization will not operate for the benefit of private individuals (no private inurement)

2. Bylaws

Your bylaws govern how your church operates. You'll need them completed before applying. They don't need to be submitted with Form 1023-EZ, but they must exist and contain appropriate language. See our Church Bylaws Template article for what to include.

3. An EIN (Employer Identification Number)

An EIN is your church's federal tax identification number — like a Social Security Number, but for an organization. You need one before filing for tax-exempt status.

How to get an EIN: Go to IRS.gov and apply online. It's free, takes about 10 minutes, and you receive your EIN immediately. Apply using the organization's information, not your personal information. Select "View Additional Types, Including Tax-Exempt and Governmental Organizations" and then "Church or Church-Controlled Organization."

Choosing Your Application: Form 1023-EZ vs. Form 1023

The IRS offers two application forms. Most new church plants will use Form 1023-EZ.

Form 1023-EZ: The Streamlined Application

Form 1023-EZ is a shorter, online-only form for smaller organizations. The IRS fee is $275.

You can use Form 1023-EZ if:

• Your organization projects annual gross receipts of $50,000 or less in each of the next 3 years
• Your total assets are $250,000 or less
• You are not a church that is a subordinate in a group exemption
• You meet all other eligibility criteria in the Form 1023-EZ Eligibility Worksheet (in the Instructions for Form 1023-EZ)

Most new church plants qualify. Complete the Eligibility Worksheet before you file to confirm.

Form 1023: The Full Application

Form 1023 is the full application — longer, more detailed, requires financial statements, and costs $600 in IRS fees. You must use this form if you don't qualify for 1023-EZ (for instance, if your projected revenue exceeds $50,000 in year one, which is possible for well-funded church plants).

Form 1023 requires narrative descriptions of your activities, a financial history (or 4-year projection for new organizations), and supporting documents. It takes significantly more time to prepare.

Step-by-Step: Filing Form 1023-EZ

Step 1: Complete the Eligibility Worksheet

Download the Instructions for Form 1023-EZ from IRS.gov. Complete the Eligibility Worksheet at the end of the instructions (about 30 questions). If you answer "No" to all questions, you're eligible to file 1023-EZ. Keep this worksheet — you don't submit it, but save it for your records.

Step 2: Register at Pay.gov

All tax-exempt applications are submitted electronically through Pay.gov. Create a free account at Pay.gov. You'll use this to file the form and pay the user fee.

Step 3: Search for Form 1023-EZ on Pay.gov

Once logged in, search for "1023-EZ" in the Pay.gov search box. The form appears as "Application for Recognition of Exemption Under Section 501(c)(3) — Streamlined."

Step 4: Complete the Form

Form 1023-EZ asks for:

• Your organization's legal name, EIN, and address
• Date and state of formation
• Your organizing document type (e.g., Articles of Incorporation)
• Your organization's NTEE code (National Taxonomy of Exempt Entities) — churches typically use X20 (Christian) or the applicable religious category
• A brief mission statement (250 characters maximum)
• Your organization's activities (check all that apply)
• A series of attestations (checkboxes confirming your organizing documents contain required language)
• Officer/director information

The form is genuinely short. Plan 30–60 minutes to complete it carefully.

Step 5: Pay the $275 User Fee

Payment is submitted through Pay.gov by credit/debit card or bank account. The fee is $275 for Form 1023-EZ and is non-refundable regardless of outcome.

Step 6: Wait for IRS Processing

The IRS typically processes Form 1023-EZ applications within 1–3 months, though processing times vary. You can check your application status using the IRS Tax Exempt Organization Search tool. If the IRS needs more information, they'll contact you directly.

Step 7: Receive Your Determination Letter

Once approved, you'll receive a determination letter from the IRS confirming your 501(c)(3) status. This letter is your proof of tax-exempt status. Keep multiple copies — you'll need it for your bank, for grant applications, and for denominational requirements. Your church will also appear in the IRS Tax Exempt Organization Search database.

Important Timing Note

File within 27 months of your legal formation date. If you file within that window and are approved, your exemption is effective back to your formation date — meaning donations before your approval date are still tax-deductible. File after 27 months, and your effective date starts when you file, leaving a gap in deductibility.

DIY vs. Paid Service

Most church plants can file Form 1023-EZ themselves. It's straightforward, especially with the 1023-EZ. The IRS instructions are clear, and the form itself is short.

Consider using a paid service if:

• Your situation is complex (unusual structure, prior activities, or you need Form 1023)
• You want the process handled quickly and don't want to spend time learning the requirements
• Your denomination or network has specific requirements that complicate the application

Paid services range from $200–$1,500+ depending on whether you're using an online service (like Foundation Group or Harbor Compliance) or a nonprofit attorney. For a standard church plant filing 1023-EZ, a paid service is optional — not necessary.

If you use Form 1023 (full application), strongly consider working with an attorney who specializes in church law or nonprofit law. The longer form has more room for mistakes, and a rejected application means starting over.

What Happens After Approval

Once approved, a few things to address:

• Apply for state income and sales tax exemption. Most states grant this based on federal 501(c)(3) status, but you usually need to apply separately. Check your state's requirements.
• File annual Form 990-N (e-Postcard) if your gross receipts are normally $50,000 or less. This is a brief online filing due by the 15th day of the 5th month after your fiscal year ends. Failure to file for three consecutive years results in automatic revocation of your tax-exempt status.
• Issue giving statements to donors. You're now officially required to provide written acknowledgment for any single contribution of $250 or more. Year-end statements for all donors are standard practice.

Common Mistakes to Avoid

• Using the wrong EIN. Use your organization's EIN, not your personal Social Security Number.
• Missing the dissolution clause. Your articles of incorporation must specify where assets go if the church dissolves. Without this language, the IRS will reject the application.
• Filing as an individual. The application is for the organization, not the pastor or founder.
• Waiting too long. The 27-month window matters. File early.
• Using Form 1023-EZ when you're not eligible. Complete the eligibility worksheet. If you don't qualify, you must use Form 1023.

---