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Yes, your volunteer fire department can qualify for tax exempt status under 501(c)(3). All you need to do is file form 1023 with the IRS and apply for tax exempt status.
Here's a step by step guide to becoming a 501(c)(3) for your organization. CLICK HERE
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Revenues in excess of $25,000 we need to file form 990 I believe it said. Do we take into account our tax revenues or just donations and money from fundraisers?
It's gross receipts, so you would have to consider your tax revenues as well.
okay, so we will need to file the form. Do we need to hire an auditor each year for compliance purposes?
Not for tax purposes, but you could based on the requirements of lenders, creditors, or regulatory agencies
I couldn't say with certainty given my limited knowledge of your organization
and we have no lenders or creditors so we should be okay.
Yes, I would run it by a nonprofit lawyer to double check for certainty
But for tax purposes there's no need for an audit
Okay, and I can ask neighboring departments who are already in the 501 c 3 status.
Thanks so much for the help tonight Megan.
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I most certainly will!! You have been a great help!!