Should your homeschool group be a 501c7 social club?

Your website has been very helpful, but I would like to ask you some questions.  Now that we have the EIN are we required to file for any type of status? Are we going to have to fill out any IRS forms yearly or be responsible for any tax payments?
Also, when I applied for the EIN I listed us as a social organization because I thought that described our group better than the other choices since we only meet so that our families can socialize and enjoy activities together; was that an accurate description or do homeschool groups classify as something else? Any insight you have on our situation would be much appreciated.
Sincerely,
Catherine R in  Alabama
Catherine,
I’m glad my website was helpful.  It sounds as if your getting your group onto the right track.Here’s a blog post that you might find helpful: Will getting an EIN put us on the IRS’s radar?Many homeschool groups classify themselves as nonprofit educational organizations because they are co-ops or offer educational activities like classes and field trips. A support group could be considered a social club as you chose.

I have helped homeschool organizations apply for tax exempt status with the IRS several times. Homeschool groups typically apply for 501c3 status as an educational organization, but a few apply for 501c7 status as a social club.

IRS and Your Homeschool Org cover

I  discuss the difference between a 501c3 educational organization and a 501c7 social club in this article:

Homeschool Groups As Social Clubs

A more in depth explanation of 501c3 and 501c7 status can be found in my book The IRS and Your Homeschool Organization.

Carol Topp, CPA

Comments

  1. Ms Sunny Birney says

    Ms Carol,

    If I order your book, Tax Exempt 501c3 Status for Homeschool Organiztions, will I also receive the handout? Please let me know.

    Thank You,
    Ms. Sunny M. Birney

  2. Carol Topp says

    Sunny,
    I’m not sure what handout you are referring to. There is a handout that comes with my hour-long audio on Tax Exempt 501(c)(3) Status for Homeschool Organizations. I will gladly email you that handout although it is better read in conjunction with the audio.

  3. Courtney says

    12 mommies started a homeschool co-op. Yes, it’s a co-op, we offer an educational learning class three times a month and social events (field trips) . We are wanting to do things right. We are thinking of collecting dues , selling goods, to have money for trips . How do we get started with registering as nonprofit , filing a 501c3, doing everything legal in NC?
    Courtney Sharpe
    Courtney.sharpe78@gmail.com

  4. Carol Topp says

    Courtney,
    Good for you and the 12 families to help each other homeschool by forming a co-op!
    Start by reading through my checklist of steps to form a nonprofit and apply for tax exempt status.

    Then my book Homeschool Co-ops: How to Start Them, Run Them and Not Burn Out should be a big help.

    Finally one of your officers (usually the Treasurer) should read my book The IRS and Your Homeschool Organization.
    When you’re ready contact me and we can set up a phone call to see if you’re set up enough top apply for 501c3 tax exempt status!

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