How To Start A Nonprofit In Montana
To start a nonprofit corporation in Montana, you must file nonprofit articles of incorporation with the Montana Secretary of State online at Montana.gov.
The articles of incorporation cost $20 to file. Once filed with the state, your articles of incorporation officially create your Montana nonprofit corporation, but truly preparing a nonprofit to pursue its mission involves several additional steps.
Starting a Montana Nonprofit Guide:
- Choose your Montana nonprofit filing option
- File the MT nonprofit articles of incorporation
- Get a Federal EIN from the IRS
- Adopt your nonprofit’s bylaws
- Apply for federal and/or state tax exemptions
- Register for required state licenses
- Open a bank account for your MT nonprofit
- Submit your MT nonprofit annual report
Montana Nonprofit Filing Options
Free PDF Download
Montana Articles of Incorporation free download. This form is an example; the state has recently switched to an all-online filing system.
Do It Yourself Online
Our free account and tools will walk you through starting and maintaining a Montana nonprofit. All for free.
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MT Nonprofit Articles of Incorporation Requirements
To incorporate a Montana nonprofit, you must complete and file nonprofit articles of incorporation with the Montana Secretary of State. Most of Montana’s business gets conducted online these days, so you’ll need to register for a Montana ePass account at the Secretary of State’s website. It’s free to register.
Below, you’ll find a list of Montana’s requirements for nonprofit articles of incorporation, as well as a sample document (for comparison) from before Montana switched to an all-online filing system.
How Much Does It Cost to Incorporate a Montana Nonprofit?
Montana charges $20 to file nonprofit articles of incorporation, but the state offers various expedite options as well ($100 extra for 1-hour processing and $20 extra for 24-hour processing).
How Long Does It Take to Start a Montana Nonprofit?
Once your articles have been submitted, it’ll take around five days for a response from the state. You can also pay an additional $100 for 1-hour processing or an additional $20 for 24-hour processing.
Does a Montana Nonprofit Need a Registered Agent?
Yes, you’re required to appoint a Montana registered agent for your nonprofit.
Get a Federal Employer Identification Number (EIN)
A Federal Employer Identification number (FEIN or EIN) is usually a must for any nonprofit applying for federal tax-exempt status, trying to open a bank account, and attempting to establish relationships with donors and vendors (among many other financial responsibilities). After the Montana Secretary of State approves your articles of incorporation, you can apply for an EIN on the IRS website. Or you can pay an additional fee and simply add our EIN service when you hire Northwest.
Hold Your Organizational Meeting & Adopt Bylaws
Montana requires a nonprofit corporation to adopt bylaws at its organizational meeting. This is your first official meeting, held shortly after incorporating, at which you ratify your nonprofit’s bylaws and elect your nonprofit’s officers and directors.
Make sure to adopt your bylaws before applying for 501(c)(3) status with the IRS, since the IRS only wants to deal with a fully-formed nonprofit.
It isn’t easy to write effective bylaws, but Northwest is here to help. Feel free to use our attorney-drafted nonprofit bylaws template to get started today!
Apply for Federal and/or State Tax Exemptions
To get federal tax-exempt status for nonprofit, you’ll need to seek recognition from the IRS as a tax-exempt entity under Section 501(c) of the Internal Revenue Code. This is the code that describes the various types of tax-exempt organizations recognized by the federal government, consisting of more than two dozen categories, but most nonprofits seeks 501(c)(3) status for public charities and private foundations.
The application process involves submitting an Application for Recognition of Exemption to the IRS (form 1023, 1023-EZ, or 1024), paying a $275 or $600 fee based on the size and nature of your nonprofit, and enduring a rigorous 3-6 month application process in which the IRS closely examines your formation documents, bylaws, finances, purpose, and history.
Register for Required State Licenses
Does a Montana Nonprofit Need a Business License?
Montana doesn’t require a statewide business license for nonprofits, but specific cities and counties may have their own requirements. Contact your local city clerk’s office to learn if your nonprofit needs to purchase and maintain any local licenses or permits.
How Does a Nonprofit Register for Montana Tax Accounts?
If your nonprofit will have employees, you’ll need to register for the Montana withholding tax with the Montana Department of Revenue, and you might need to register to pay other taxes depending on the nature of your nonprofit’s activities. To register submit a Montana Department of Revenue Business Registration by mail, by fax, or online at the department’s website.
Do I Have To Register My Nonprofit As A Charity In Montana?
No. Montana doesn’t require charities to register with the Office of the Attorney General or any other agency before soliciting donations or otherwise operating in the state.
Open a Bank Account for Your Montana Nonprofit
To open a bank account for your Montana nonprofit, you will need to bring the following items with you to the bank:
- A copy of your Montana nonprofit articles of incorporation
- A copy of your nonprofit’s bylaws
- Your Montana nonprofit’s EIN
It’s wise to call your ahead of time to check its requirements. Some banks may require you to bring a resolution authorizing you to open a bank account in your nonprofit’s name (particularly if your nonprofit has several directors and/or officers).
Submit the Montana Nonprofit Annual Report
Montana requires nonprofits to submit an annual report by April 15 each year. The report updates or confirms your organization’s information on the state’s records, including your business name, information about your organization’s current management, and your registered agent information (among other details). For 2024, Montana has waived the annual report fee for all businesses. This means your annual report will be free to file. However, if you miss the April 15 deadline, a $15 penalty will be charged and your business may lose its good standing with Montana.
You can file your annual report online at the Montana Secretary of State’s website. Or you can sign up for our convenient Montana Annual Report Service when you hire Northwest.