Proving 501(c)(3) status.
Donors looking to verify the federal tax-exempt status of a Parent Booster USA member organization may do so via our Official Subordinate Listing .
What should Parent Booster USA members provide to donors?
Members under Parent Booster USA's IRS group exemption ruling should provide donors with:
- their Parent Booster USA membership certificate
- their CP-575 letter verifying their EIN
- Parent Booster USA's IRS determination letter which details its group exemption ruling
Associate members of Parent Booster USA with independent IRS federal tax-exempt status should provide donors with:
- their IRS determination letter
- their CP-575 letter verifying their EIN
What if our organization is not yet listed in the IRS Business Master File (BMF)?
Many donor platforms rely on the BMF as their main source to verify tax-exempt status. It can take around a year for organizations to appear in the BMF, whether under Parent Booster USA's group exemption or applying independently, which often takes even longer.
Parent Booster USA is unique in that our group exemption allows donors to rely on our Official Subordinate Listing as proof of a member organization's 501(c)(3) federal tax-exempt status. Organizations are considered tax-exempt as soon as they're added to the list.
Nonprofits in the process of applying for independent tax-exempt status can share a copy of their 1023-EZ, 1023, or 1024 application with donors as proof they've applied. The IRS has stated that it allows organizations to operate as nonprofits in good faith while awaiting approval. If any attached schedules include private information, they can (and should) be removed before sharing the packet.
Are there any other sources of online information for donors?
It's important that organizations claim their profile on GuideStar, another tool used by donors to look up charity information. Parent Booster USA members are typically listed under Parent Booster USA's name in the BMF, with the subordinate name in a separate column. GuideStar allows charitable organizations to claim their profile and update the display name to reflect the organization's actual business name within their system.
Finally, the IRS Tax-Exempt Organization Search (TEOS) can be used to find information about exempt organizations, including determination letters and past Form 990 filings.
Show off your organization!
Parent Booster USA offers a unique tool for its member organizations that allows them to quickly and easily share information with donors and booster parents, including important exemption documents, links, posts, an image gallery, and more. Get started with crafting your perfect public presence today!
