Purpose of Form

Completed Form 1023 required to ap- ply for recognition of section 501(c)(3) exemption. Use Form 1023, including the appropriate user fee, to apply for recognition of exemption from federal income tax under section 501(c)(3). If approved, we will issue a determination letter that describes your tax-exempt status and your qualification to receive tax-deductible charitable contributions. The determination letter will also show

• An IRS error has caused delays in review of the application.

your specific foundation classification (described earlier) and annual filing requirements.

Form 1023-EZ. You may be

TIP eligible to file Form 1023-EZ,

Streamlined Application for Recognition of Exemption Under Section 501(c)(3) of the Internal Revenue Code, which is a streamlined version of Form 1023. Complete the Form 1023-EZ Eligibility Worksheet in the Instructions for Form 1023-EZ to determine if you're eligible to file Form 1023-EZ. You can visit IRS.gov/Charities for more information on application requirements.

Leaving a group exemption. A subordinate organization under a group exemption can use Form 1023 to leave the group and obtain individual exemption. If you're a subordinate organization and wish to leave a group, you should notify your parent organization of your intention to leave the group ruling before filing Form 1023.

Application for Reinstatement of Exempt Status and Retroactive Reinstatement If your tax-exempt status was automatically revoked for failure to file a return or notice 3 consecutive years, you must apply to have your tax-exempt status reinstated. You must complete and submit Form 1023, including Schedule E (or, if eligible, Form 1023-EZ), and pay the appropriate user fee.

If your application is approved, your date of reinstatement will generally be the filing date of the application, unless you qualify for reinstatement of exemption retroactive to your date of automatic revocation. See Rev. Proc. 2014-11, 2014-03 I.R.B. 411 for details, including additional requirements for retroactive reinstatement.

User Fee The law requires payment of a user fee with each application. You must pay this fee through Pay.gov when you file Form 1023.

Payments can be made directly from your bank account or by credit or debit card. You won't be able to submit Form 1023 without paying the correct fee.

User fee amounts are listed in Rev. Proc. 2020-5, updated annually. For the current Form 1023 user fee, go to Rev. Proc. 2020-5, 2020-1 I.R.B. 241, at IRS.gov/Charities-Non-Profits/User-Fees- for-Tax-Exempt-and-Government-Entities- Division . You can also call 877-829-5500.

Group Exemption Don't use Form 1023 to apply for a group exemption. We may issue to a central organization, a group exemption that recognizes, on a group basis, the exemption of subordinate organizations on whose behalf the central organization has applied. See Pub. 557 for information on how to apply for a group exemption.