Start a nonprofit · North Carolina
How to Start a Nonprofit in North Carolina
North Carolina charges $60 to file the articles of a nonprofit corporation, and its form has a checkbox for organizations that will seek 501(c)(3) status. Two rules catch new founders. A charity must hold a state solicitation license before it asks the public for money, unless it fits a narrow exemption, and North Carolina does not exempt nonprofits from sales tax at the register. Nonprofits pay the tax and claim it back.
Every fee and rule on this page was checked against the agency's own publication on November 8, 2026. Sources are linked under each item.
At a glance
The North Carolina requirements in one table.
| Type of entity | A North Carolina nonprofit corporation under the state's Nonprofit Corporation Act, created by filing Articles of Incorporation (Form N-01) with the Secretary of State. Sources: Form N-01, SOS fee schedule |
|---|---|
| State filing fee | $60 for Form N-01. Expedited review costs an additional $100 within 24 hours, or $200 the same business day for documents received by noon Eastern. Sources: SOS fee schedule, Form N-01 |
| Board size | At least three natural persons, with the exact number set in the articles or bylaws, unless G.S. 55A-1-50(b) provides otherwise. Sources: G.S. 55A-8-03 |
| Registered agent | Named in the articles, with a North Carolina office street address and county. The form says the agent must meet residency or business-office requirements. Sources: Form N-01 |
| Federal exemption | Form 1023 ($600) or Form 1023-EZ ($275), filed electronically on Pay.gov. Sources: IRS fee page, IRS e-filing notice |
| State income and franchise tax | No formal application or fee. A letter of exemption from the Department of Revenue is optional. Sources: NCDOR nonprofit publication |
| Sales tax | Not exempt at purchase. Eligible nonprofits register for a refund account and claim refunds twice a year. Sources: NCDOR nonprofit sales tax |
| Charity license | Required before soliciting contributions in North Carolina unless an exemption applies. Renewed each year. Sources: Charities licensing, Exemption list |
The steps
Six steps, in the order they happen.
Seat a board and choose a registered agent.
North Carolina requires a board of at least three natural persons. The articles or the bylaws fix the exact number. Recruit the board before you file so the people who will govern the organization have read the articles.
The articles also name an initial registered agent, the person or business that receives legal papers for the corporation, and give the agent's North Carolina street address and county. The form states that the agent must meet residency or business-office requirements, so read that language before you pick one.
Sources: G.S. 55A-8-03, Form N-01
Prepare the articles on Form N-01.
The form asks for the complete corporate name, the registered agent and office, each incorporator's name and business address, and the corporation's principal office. It also asks whether the corporation will have members. Optional items let you list officers and give a business email for the Secretary of State's notification service.
Item 2 is a checkbox for charitable or religious corporations, such as one seeking exemption under Section 501(c)(3). Item 7 requires an attached provision for distributing assets on dissolution, and the Secretary of State publishes sample language as Form N-14. Unless you set a date, the articles take effect on filing, and a delayed date can be up to 90 days out.
Sources: Form N-01
File the articles and pay $60.
File Form N-01 with the Secretary of State with the $60 fee. Expedited review is available for an extra $100 within 24 hours, or an extra $200 the same business day for documents received by noon Eastern. Expedited fees apply to every filing type.
Sources: SOS fee schedule, Form N-01
Apply to the IRS for 501(c)(3) status.
Incorporating in North Carolina does not make the organization tax-exempt. The federal application is Form 1023, with a $600 user fee, or the shorter Form 1023-EZ, with a $275 user fee, for smaller organizations that pass the eligibility worksheet in the form instructions. Both are filed electronically on Pay.gov, and the IRS returns paper applications. The IRS notes that the amounts can change.
The IRS answers with a determination letter, the written ruling that recognizes the exemption.
Sources: IRS fee page, IRS e-filing notice
Get the charitable solicitation license, or an exemption.
Any organization that plans to solicit contributions in North Carolina, or to hire someone to solicit for it, must first get a license from the Secretary of State's Charities Division. The license fee follows a sliding scale based on contributions received, and the scale is in the section below.
An organization that received under $50,000 in contributions and paid no compensation to any officer, trustee, organizer, incorporator, fundraiser or solicitor can request an exemption in writing, with supporting documentation. If the Department approves, it sends a letter of exemption, and it may review or cancel the exemption at any time. Operating without a license when one is required can bring administrative penalties, fines, or civil or criminal prosecution.
Sources: Charities licensing, Exemption list, Charities fee scale
Handle state income tax and sales tax.
For state franchise and income tax, a North Carolina nonprofit corporation has no formal application and no fee. The organization decides whether to request a letter of exemption, and to do so it sends the Department of Revenue a copy of its articles, bylaws and federal determination letter, if it has one. The Department does not issue exempt numbers, so the organization uses its federal EIN on state returns. An organization that never requests a letter is treated as subject to franchise and corporate income tax.
Sales tax works differently. North Carolina does not exempt nonprofits from sales and use tax on purchases. A nonprofit pays the tax to the seller, then registers for a refund account with Form E-585NPA and claims refunds on Form E-585. If the nonprofit makes taxable retail sales, it also needs a separate, free sales tax account to collect and remit tax on those sales.
Sources: NCDOR nonprofit publication, NCDOR nonprofit sales tax
Charitable solicitation license fees
What the Secretary of State charges, by contributions received.
Fees follow a sliding scale based on the contributions an organization received. The Secretary of State also lists other exemptions, including religious institutions, government agencies, accredited educational institutions, licensed hospitals, qualified community trusts, YMCAs and YWCAs, and volunteer fire and rescue organizations. The full list is on its exemptions page.
Under $50,000 received and no compensation paid.
Exempt from licensing on a written request that the Department approves. The fee page lists no fee for the exempt category.
Sources: Charities fee scale, Exemption list
Under $5,000 received, with compensation paid.
A license is required. The fee page lists no fee for this tier.
Sources: Charities fee scale
$5,000 to under $50,000 received, with compensation paid.
The fee is $50.
Sources: Charities fee scale
After you form
Staying in good standing.
Three things recur after the articles are filed.
Renew the charitable solicitation license each year.
Charitable organizations must renew their licenses every year to stay licensed. An organization that held an exemption should expect the Department to review its financial information each year.
Sources: Charities licensing, Exemption list
Claim sales tax refunds on time.
Purchases made January 1 to June 30 are due October 15 of the same year. Purchases made July 1 to December 31 are due April 15 of the following year. Claims filed more than three years after the due date are barred, and each claim needs documentary proof that the tax was paid.
Sources: NCDOR nonprofit sales tax
File a corporate return only for unrelated business income.
Form CD-405 is the franchise and corporate income tax return. An exempt organization files it only to report unrelated business income.
Sources: NCDOR nonprofit publication
Common questions
Quick answers.
How much does it cost to start a nonprofit in North Carolina?
The government fees are $60 to the Secretary of State plus the IRS user fee, which is $275 for Form 1023-EZ or $600 for Form 1023. That totals $335 or $660 as of the date this page was verified. A charitable solicitation license adds $50 to $200 for organizations above the exempt tier.
How many directors does a North Carolina nonprofit need?
At least three natural persons, with the exact number set in the articles or bylaws, unless G.S. 55A-1-50(b) provides otherwise.
Do I need a license to raise money in North Carolina?
Generally yes, before you solicit. An organization that received under $50,000 in contributions and paid no compensation to officers, trustees, organizers, incorporators, fundraisers or solicitors can request an exemption in writing.
Is a North Carolina nonprofit exempt from sales tax?
Not at the register. North Carolina law does not exempt nonprofits from sales and use tax on purchases. Eligible nonprofits pay the tax and claim a refund on Form E-585 twice a year.
After the filing
What comes next for a North Carolina nonprofit.
The state filing is the short part. These are the next four jobs, and the book that handles each.
- Book I
Get the federal application and first-year budget right
The name, bylaws, the IRS application, a founding board and a first-year budget that balances.
- Book X
Start from finished documents
Forty annotated documents, including bylaws, budgets, policies, job descriptions and board papers, as editable Word files.
- Book VII
Build the board on purpose
What a board is for, recruiting for the skills you lack, working with the chair and running meetings that reach decisions.
- Book VIII
Stay in good standing
Charitable solicitation registration, operating in a second state, insurance and annual filings.
The complete set
All ten books and forty documents, $149.
All ten books in PDF and EPUB, plus the forty documents from Book X as editable Word files. The books are not sold separately.
Free when you join the list
Every Document a New Nonprofit Needs
Articles, bylaws, minutes, the exemption application, the policies and the filings: the whole sequence a new organization has to produce, in the order it arrives.
Sources
Where each figure comes from.
- North Carolina Secretary of State, Business Registration fees
- North Carolina Secretary of State, Articles of Incorporation Nonprofit Corporation (Form N-01)
- North Carolina General Statutes, G.S. 55A-8-03, Number of directors
- North Carolina Secretary of State, Charitable Solicitation Licensing
- North Carolina Secretary of State, Charities fees
- North Carolina Secretary of State, Charitable Solicitation Exemption List
- North Carolina Department of Revenue, Nonprofit Sales and Use Tax Information
- North Carolina Department of Revenue, State Taxation and Nonprofit Organizations
- IRS, Form 1023 and 1023-EZ: amount of user fee
- IRS, Changes to the exempt organization determinations process
Last verified November 8, 2026. Fees and rules change, so confirm with the agency before you file. This page is general information and not legal or tax advice.