Under I.R.C. § 508(c)(1), a charitable organization that is not a private foundation and that has annual gross receipts normally $5,000 or less is not required to file Form 1023 in order to be recognized by the IRS as a 501(c)(3) organization. An organization that falls below the $5,000/year threshold can essentially “self declare” its 501(c)(3) status. These qualifying charitable organizations receive all the benefits of tax-exempt status if they operate in compliance with all rules and regulations that govern other tax-exempt organizations under IRS code 501(c)(3), including filing requirements.This white paper provides more background.#startinganonprofit#reporting