Each state has unique requirements for the types of nonprofits and the specific circumstances that qualify for Sales or Property Tax Exemptions. These exemptions can provide significant savings for nonprofit organizations by reducing or eliminating tax burdens on purchases or property ownership.
At this time, Instant Nonprofit does not file Sales or Property Tax Exemption paperwork on behalf of our customers due to the complex and varying rules across states. However, we encourage you to research your state’s requirements and reach out to the relevant department to ensure you comply with local tax laws. Below, we’ve compiled links to each state’s Taxation or Finance Department where you can find more information and obtain the necessary forms for Sales or Property Tax Exemptions.
How to Qualify for Sales/Property Tax Exemptions
While each state has its own process, the basic steps typically include:
Determining Eligibility: Confirm your nonprofit's eligibility for the exemption. Most states require that the organization be formally recognized as tax-exempt under IRS Section 501(c)(3).
Gathering Required Documents: You’ll likely need to provide your IRS Determination Letter, Articles of Incorporation, and other relevant documentation showing that your organization is operating as a nonprofit.
Submitting an Application: Each state will have its own application form, along with specific instructions for filing.
Receiving Approval: Upon approval, your organization will be granted exemption, usually requiring a renewal every few years or as specified by your state.
State-by-State Sales/Property Tax Exemption Links
For more information on your specific state's requirements, please refer to the links below to access the relevant Taxation or Finance Department forms and instructions:
Alabama: Alabama Department of Revenue
Alaska: Alaska Department of Revenue
Arizona: Arizona Department of Revenue
Colorado: Colorado Department of Revenue
Connecticut: Connecticut Department of Revenue Services
Delaware: Delaware Division of Revenue
Florida: Florida Department of Revenue
Georgia: Georgia Department of Revenue
Hawaii: Hawaii Department of Taxation
Idaho: Idaho State Tax Commission
Illinois: Illinois Department of Revenue
Indiana: Indiana Department of Revenue
Kansas: Kansas Department of Revenue
Kentucky: Kentucky Department of Revenue
Louisiana: Louisiana Department of Revenue
Maine: Maine Revenue Services
Maryland: Maryland Comptroller
Massachusetts: Massachusetts Department of Revenue
Michigan: Michigan Department of Treasury
Minnesota: Minnesota Department of Revenue
Mississippi: Mississippi Department of Revenue
Missouri: Missouri Department of Revenue
Montana: Montana Department of Revenue
Nebraska: Nebraska Department of Revenue
Nevada: Nevada Department of Taxation
New Hampshire: New Hampshire Department of Revenue Administration
New Jersey: New Jersey Division of Taxation
New Mexico: New Mexico Taxation and Revenue Department
North Carolina: North Carolina Department of Revenue
North Dakota: North Dakota Office of State Tax Commissioner
Oklahoma: Oklahoma Tax Commission
Oregon: Oregon Department of Revenue
Pennsylvania: Pennsylvania Department of Revenue
Rhode Island: Rhode Island Division of Taxation
South Carolina: South Carolina Department of Revenue
South Dakota: South Dakota Department of Revenue
Tennessee: Tennessee Department of Revenue
Vermont: Vermont Department of Taxes
Virginia: Virginia Department of Taxation
Washington: Washington State Department of Revenue
West Virginia: West Virginia State Tax Department
Wisconsin: Wisconsin Department of Revenue
Wyoming: Wyoming Department of Revenue
Need Additional Help?
If you are still unsure about the process or need more specific guidance, feel free to reach out to Instant Nonprofit for general advice, or consider consulting with a tax advisor for your state-specific needs. Understanding your nonprofit’s tax exemptions can save your organization valuable resources.