Alabama nonprofit corporation cost
Official fees for forming and keeping a nonprofit corporation in Alabama, from Alabama Secretary of State, Business Entities Division, and the IRS fee for tax exemption.
Formation, the IRS Form 1023-EZ fee and recurring state fees and taxes. Excludes registered agent costs. Adjust in the calculator.
Alabama nonprofit corporation cost at a glance
Forming a nonprofit corporation in Alabama costs $475 to start: $200 in state filing fees plus the $275 IRS Form 1023-EZ user fee. After that, Alabama charges no annual report fee. Over five years the state's own charges and the IRS Form 1023-EZ fee come to $475, the 37th lowest of the 51 states with full nonprofit corporation figures here (the median is $399). The IRS user fee is $275 for Form 1023-EZ or $600 for Form 1023. Registered agent service and local licenses are extra.
Line by line
| Item | Amount | Official source |
|---|---|---|
| Formation filing fee | $200 | www.sos.alabama.gov |
| Annual or biennial report fee Corporations (which includes domestic nonprofit corporations) no longer file an annual report with the Secretary of State. | $0 | www.sos.alabama.gov |
| Foreign registration (another state's nonprofit corporation) One state form covers foreign business and non-profit corporations: Application for Registration. | $150 | www.Sos.Alabama.Gov |
| IRS user fee, Form 1023-EZ Form 1023-EZ, the streamlined application for smaller organizations. | $275 | www.irs.gov |
| IRS user fee, Form 1023 Form 1023, IRS application for tax-exempt status. | $600 | www.irs.gov |
What to know
- Easy to miss Alabama requires a Certificate of Name Reservation to be obtained before the nonprofit formation documents are filed. source
How to form a nonprofit corporation in Alabama
- Check the name. Search the Alabama Secretary of State, Business Entities Division business records to confirm the name is free. State filing page.
- File the articles of incorporation. The Alabama Secretary of State, Business Entities Division charges $200 to form a nonprofit corporation.
- Name a registered agent. The agent needs a physical address in Alabama. You can serve as your own.
- Get an EIN. The IRS issues it free on its own website.
- Apply for federal tax exemption. The IRS user fee is $275 for Form 1023-EZ or $600 for Form 1023. IRS user fee page.
- Stay in good standing. Alabama charges no annual report fee. See What to know above for the details that are easy to miss.
Other business types in Alabama
An LLC costs $200 to start, with no annual report fee. A corporation costs $200 to start, with no annual report fee. Compare them in the calculator.
Registering an out-of-state nonprofit corporation in Alabama
A nonprofit corporation formed in another state registers in Alabama as a foreign nonprofit corporation. The Alabama Secretary of State, Business Entities Division charges $150 for the registration.
Common questions
How much does it cost to start a nonprofit corporation in Alabama?
$475 to start: $200 in state filing fees plus the $275 IRS Form 1023-EZ user fee, and Alabama then charges no annual report fee.
What does a nonprofit corporation in Alabama cost over five years?
$475 in state fees and taxes plus the IRS Form 1023-EZ fee, counting formation and every recurring charge.
How much is the IRS fee for a nonprofit tax exemption?
The IRS user fee is $275 for Form 1023-EZ or $600 for Form 1023.
How much does it cost to register a foreign nonprofit corporation in Alabama?
$150, paid to the Alabama Secretary of State, Business Entities Division.
Compare with nearby states in cost
- Mississippi $450 over 5 years
- Wyoming $450 over 5 years
- New Jersey $475 over 5 years
- Tennessee $475 over 5 years
Guides
- Delaware LLC annual tax: $400 a year
- Form 5472 for foreign-owned single-member LLCs
- How to start a business: the steps and what each costs
- New York LLC publication requirement: six weeks, two newspapers, $50
- Registering an LLC in another state: steps and every state's fee
- LLC annual fees by state, ranked
What you'll need to start a nonprofit in Alabama
- 1
File your Articles of Incorporation
$200The document that creates your nonprofit with the state of Alabama.
Do it yourself
File with Alabama Secretary of State, Business Entities Division. You pay only the state fee.
Have it done
- LegalZoomfrom $99 + state feestate filing (Articles of Incorporation), name clearance, tax consultation. IRS 501(c)(3) application not included
- Registered Agents Inc$300 + state feestate filing, registered agent (1 yr), domain (1 yr). Registered agent $200/yr after year 1; IRS Form 1023-EZ $275 or Form 1023 $600 paid separately
Lowest listed price first, from each company’s own pricing page.
- 2
Name a registered agent
$0 yourself, or $99 to $200 a yearA person or company with a street address in Alabama who receives legal and state mail for the nonprofit.
Do it yourself
Be your own agent if you have a street address in Alabama.
Have it done
- ZenBusiness$99/yrregistered agent (first year). Renews at $199/yr
- Zenind$99/yrregistered address, mail scanning and forwarding. $99 per year
- Registered Agents Inc$200/yrannual report filing. $200 per year
Lowest listed price first, from each company’s own pricing page.
- 3
Get an EIN (tax ID)
FreeThe federal number banks and the IRS use for your nonprofit.
Do it yourself
Apply on IRS.gov. The IRS states you can get one "in minutes for free".
- 4
Apply for federal tax exemption
$275 or $600Nonprofit corporations are organized to do charity, education, religious, literary, or scientific work.
Do it yourself
IRS Form 1023-EZ or Form 1023: $275 for the 1023-EZ, $600 for the full 1023, per the IRS.
- 5
File the annual report
$0The recurring filing that keeps the nonprofit in good standing.
- 6
Open a business bank account
$0 a monthKeeps business money separate from personal money. Banks ask for your EIN.
Options
- Bluevine$0/mono minimum balance, no overdraft fees. Opening deposit: no minimum balance requirement
- Mercury$0/mono minimum balance, no account opening fee. Opening deposit: none stated
- Relay$0/mono minimum balance. Grow $30/month; opening deposit none (no minimum balance)
Lowest listed price first, from each company’s own pricing page.