How can a club apply for non-profit status?
February 1, 2024 | 50,00 EUR | answered by Björn Ley
Dear tax advisor,
I am the chairman of the association "Kinderfreude e.V." and I have some questions regarding tax exemption and tax returns. Our association is dedicated to supporting disadvantaged children and teenagers in our region and is therefore recognized as a non-profit organization.
However, we have not yet received an official confirmation of our tax-exempt status from the tax office. I am concerned whether we have done everything correctly and whether we have submitted the necessary documents. I want to ensure that our association continues to be recognized as tax-exempt in order to receive tax benefits and to be able to issue donation receipts.
Could you please explain to me how an association can apply for tax-exempt status? What documents are required and what steps do we need to take to obtain recognition? Are there deadlines that we need to comply with and how long does it usually take for the tax office to decide on our application?
I would be very grateful if you could assist me in this matter. Thank you in advance for your support.
Sincerely,
Ben Weinert, Chairman of Kinderfreude e.V.
Dear Ben Weinert,
Thank you for your inquiry and interest in the topic of charity and tax returns for your association "Kinderfreude e.V.". It is important that you educate yourself on these topics to ensure that your association continues to be recognized as charitable and you can therefore take advantage of tax benefits.
To apply for charitable status for your association, you must first review the articles of your association. These must pursue certain charitable purposes, such as the promotion of education, upbringing, or youth welfare. Furthermore, you must ensure that your association activities serve exclusively and directly charitable purposes.
The next important requirement is that your association is recognized as charitable. To do this, you must submit an application for recognition of charitable status to the competent tax office. You will need various documents for this, such as the articles of association of the association, an overview of the planned activities, a breakdown of income and expenses, and a list of board members.
There are no fixed deadlines for the recognition of charitable status, but you should submit your application as early as possible to avoid any delays. It usually takes a few weeks to months for the tax office to decide on your application. During this time, you can already take advantage of tax benefits once your association is recognized as charitable.
I recommend that you seek advice from an experienced tax advisor to ensure that your application for charitable status is correct and complete. A tax advisor can also assist you with preparing your tax returns and help answer any questions regarding charitable status.
I hope this information is helpful to you and wish you success in applying for charitable status for your association "Kinderfreude e.V.".
Best regards,
Björn Ley, Tax Advisor
