--- title: "Washington D.C. Nonprofit, Charity, and Legal Entity Setup" slug: "maryland-nonprofit-charity-and-legal-entity-setup" updated: 2022-10-12T03:43:08Z published: 2022-10-12T03:43:08Z canonical: "resourceportal.antientropy.org/maryland-nonprofit-charity-and-legal-entity-setup" --- > ## Documentation Index > Fetch the complete documentation index at: https://resourceportal.antientropy.org/llms.txt > Use this file to discover all available pages before exploring further. # Maryland Nonprofit, Charity, and Legal Entity Setup ### Who is this article for? Anyone wanting to start a nonprofit or charity in the state of Maryland. In Maryland, the first step to starting a nonprofit is determining what type of organization you’ll create. There are three types recognized in the state: - Religious Corporation - Tax-Exempt Nonstock Corporation - Nonstock Corporation Below are the basic steps to starting a nonprofit. For more detailed information, see [Maryland Association of Nonprofit Organizations, Inc](https://www.marylandnonprofits.org/). ### Maryland Nonprofit and Charity Overview - Incorporate with the Maryland State Department of Assessments & Taxation (SDAT) - [Apply for tax-exempt status with the IRS](/v1/docs/applying-for-charity-status-us) - Register for Charitable Solicitation with the Maryland Secretary of State. - Apply for Sales and Use Tax, and State Income Tax exemptions from the Comptroller of the Treasury ### Items Needed During This Process - [Registered Agent](/v1/docs/us-registered-agent) - [Articles of Incorporation](https://marylandnonprofits.force.com/nplnlb/s/ArticlesofIncorporationTemplate) - [Board Members](/v1/docs/nonprofit-board-member) - [Bylaws](/v1/docs/us-corporate-bylaws) --- ### Maryland State Department of Assessments & Taxation ([SDAT](https://sdat.dat.maryland.gov/RealProperty/Pages/default.aspx)) Nonprofit organizations must register as a corporation first. In Maryland, it's *required* by law to conduct an organizational board meeting, elect a slate of officers, and accept the articles of incorporation. **Requirements:** - [Articles of incorporation](https://dat.maryland.gov/SDAT%20Forms/ex_corp_form.pdf) for a tax-exempt nonstock corporation - You can also find a sample [here](https://marylandnonprofits.force.com/nplnlb/s/ArticlesofIncorporationTemplate) - The Board of Directors must consist of at least three members, but the state recomends five to seven unrelated individuals. - You can search for business names [here](https://egov.maryland.gov/BusinessExpress/EntitySearch) - Payment of processing fees. Checks must be made out to the State Department of Assessments and Taxation. - Regular processing (4 to 6 weeks) - $100 fee + $20 Organization & Capitalization Fee - Expedited processing - $50 for each document; other fees may apply Mail documents and fees to: State Department of Assessments and Taxation, Charter Division 301 W. Preston Street; 8th Floor Baltimore, MD 21201-2395 You can also file online at the [Maryland Business Express website](https://egov.maryland.gov/businessexpress). Take note that online filings are considered expedited; they will follow the expedited processing fee. --- ### Maryland Secretary of State You are required to register as a charitable organization and solicit charitable contributions with the Maryland Secretary of State. If your nonprofit receives less than $25,000 per year in charitable contributions, you may instead file an [Exempt Organization Fund-Raising Notice form](https://sos.maryland.gov/Documents/ExemptOrganizationFund.pdf). **Requirements:** - [Charitable Solicitation Form (COR-92)](https://sos.maryland.gov/Documents/COR-92.pdf) - Articles of incorporation and/or other governing instruments (bylaws/charter) - Here’s a sample [template for bylaws](https://marylandnonprofits.force.com/nplnlb/s/SampleNonprofitBylaws) - Copy of the IRS determination letter - Signed copy of IRS Form 990, 990-EZ or 990-PF - Financial statements - Financial review by an independent certified public accountant if your level of charitable contributions ranges from $300,000 to $750,000. - Audit by an independent public accountant if your level of charitable contributions is at least $750,000. - List of board directors with their names and addresses - Copy of all contracts with professional solicitors or fund-raising counsel and subcontracts - Check or money order made payable to the Secretary of State (registration fee). The fee depends on the level of charitable contributions received. - Less than $25,000 - $0 - $25,000 to $50,000 - $50 - $50,001 to $75,000 - $75 - $75,001 to $100,001 - $100 - $100,001 to $500,001 - $200 - $500,001 and above - $300 Mail documents and fees to: Charitable Organization Division Office of the Secretary of State 16 Francis Street Annapolis, MD 21401 When emailing the form, email it to: [dlcharity_sos@maryland.gov](http://dlcharity_sos@maryland.gov). **Note there is no online payment option; you must mail the payment.** --- ### Maryland Comptroller of the Treasury After applying for tax-exempt status with the IRS, you can also apply for sales and use tax, and state income tax exemption with the state Comptroller. After applying for tax-exempt status with the IRS, you may also apply for sales and use tax, and state income tax exemption with the state Comptroller. **Requirements:** - [Sales and Use Tax Exemption Certificate](https://marylandtaxes.gov/forms/current_forms/SUTEC.pdf) (SUTEC) - Use when filing for the first time and operating out of a physical business location in Maryland, Delaware, Pennsylvania, Virginia, Washington DC, or West Virginia. - IRS determination letter - Articles of incorporation - Bylaws, Constitution, or other governing documents - Letter of good standing issued by the Maryland Department of Assessments and Taxation ([SDAT](https://sdat.dat.maryland.gov/RealProperty/Pages/default.aspx)) if physically located in Maryland. Mail documents to: ATTN: Central Registration - SUTEC Comptroller of Maryland Revenue Administration Division 110 Carroll Street Annapolis, MD 21411-0001 --- Next, apply for state income tax exemption from the Comptroller. Below are the requirements: - Letter of request for exemption from Maryland income tax - Explanation of the nature, purpose, and scope of your organization - IRS determination letter - Bylaws - Your organization's latest financial statement Mail documents to: Comptroller of the Treasury Revenue Administration Division Attention: Legal Department 110 Carroll Street Annapolis, MD 21411 1.800.MD.TAXES (638.2937) and 410.260.7980 --- ### Additional Registrations You may also apply for state and local property taxes exemption with the State Department of Assessments. For charitable property, fill out the form [here](https://dat.maryland.gov/Documents/Procedures/009500010_at3.pdf). ## Related - [US Nonprofit Charity Compliance Checklist](/us-nonprofit-compliance.md) - [Starting a Nonprofit or Charity in the US](/how-to-start-a-nonprofit-us.md)