As a donor, ensuring that your contributions are going to a legitimate charity is crucial. Understanding how to verify a charity's IRS 501(c)(3) status not only protects your donation but also secures your tax deductions. This page will guide you through the steps necessary to confirm the tax-exempt status of the organizations you wish to support.
By following our straightforward walkthrough, you'll learn how to use the IRS's Tax-Exempt Organization Search (TEOS), check for state charitable registration, and understand the importance of these steps in your overall giving strategy. Let's empower your charitable journey with knowledge!
Step-by-step walkthrough
Access the IRS Tax-Exempt Organization Search
Visit the IRS website at apps.irs.gov/app/eos. This tool allows you to verify whether a charity is recognized as a 501(c)(3) organization. You'll need either the charity's Employer Identification Number (EIN) or its name.
Search for the Charity
Enter the charity's EIN or name into the search field. Review the search results to find the organization you are interested in. Make sure to select the correct organization, especially if multiple entries come up.
Check Status
Ensure that the charity's status shows 'Currently Exempt' and the subsection listed is 501(c)(3). This confirms the organization is eligible for tax-deductible donations.
Confirm State Registration
Visit your state Attorney General’s website to confirm that the charity is registered for charitable solicitation in Illinois. Each state has its own registry, and this step ensures compliance with local laws.
Document Your Findings
Save a printout or screenshot of the TEOS results and state registration to keep with your donation file. This documentation is vital in case of an audit to substantiate your tax-deductible claims.
Positive signals (green flags)
✓ Positive TEOS Results
A charity that shows 'Currently Exempt' status with a valid 501(c)(3) designation indicates that it is recognized by the IRS as a legitimate charitable organization.
✓ Registered with State AG
A charity registered with your state Attorney General's office demonstrates that it complies with local charitable solicitation laws, indicating responsible operation.
✓ Timely Form 990 Filings
Charities that file Form 990 on time show transparency and proper financial management, a positive sign of a reputable organization.
✓ Good Ratings on Charity Review Sites
If the charity has favorable reviews on platforms like Charity Navigator or the Better Business Bureau, this supports its reputation and reliability.
Warning signals (red flags)
⚠ No 'Currently Exempt' Status
If the charity does not show a 'Currently Exempt' status in TEOS, it may not be eligible for tax-deductible donations. Avoid donating until this is verified.
⚠ Revoked Status
If the search results indicate the organization has been revoked or has a revocation date, do not proceed with your donation as you will not receive tax deductions.
⚠ No State Registration
If the charity is not registered with your state’s AG office, this may indicate non-compliance with state laws, which can lead to potential issues with your donation.
⚠ Inconsistent Information
If there are discrepancies between the IRS listing and what the charity states on their website, this could be a sign of misleading information. Proceed cautiously.
Tools + resources
- IRS Tax-Exempt Organization Search: apps.irs.gov/app/eos
- Illinois Attorney General Charitable Registration: https://www.illinoisattorneygeneral.gov/charity/
- Charity Navigator: https://www.charitynavigator.org
- ProPublica Nonprofit Explorer: https://projects.propublica.org/nonprofits
- BBB Charity Reviews: https://www.bbb.org/charity-reviews
Chicago state-level oversight
In Chicago, making informed decisions about your charitable contributions is essential. The Illinois Attorney General maintains a database of registered charities that can be reviewed to ensure compliance with state laws. Additionally, local organizations like the Better Business Bureau (BBB) offer charity assessments to help donors make educated choices. Stay informed by utilizing these resources to verify the organizations you're considering supporting.