As a conscientious donor, it’s vital to confirm the legitimacy of charities you support. Understanding how to verify a charity's IRS 501(c)(3) status is an essential step in your donation process. This page will guide you through the steps needed to ensure your contributions are going to a recognized tax-exempt organization.
Not only does verifying a charity's status protect your investment in a cause, but it also ensures your tax deductions are valid. We'll walk you through the IRS Tax-Exempt Organization Search (TEOS) and state charity registries to confirm that your chosen organization meets all necessary criteria.
Step-by-step walkthrough
Access IRS TEOS
Visit the IRS Tax-Exempt Organization Search tool at apps.irs.gov/app/eos. This is your primary resource for verifying the tax-exempt status of charities, including those based in Louisiana.
Enter Charity Information
Input either the charity's Employer Identification Number (EIN) or its official name into the search tool. This will help you locate the specific organization you wish to verify.
Check Status
Analyze the search results to ensure the charity's status is marked as 'Currently Exempt' and that it falls under subsection 501(c)(3). This confirms it is eligible for tax-deductible donations.
Review Revocation History
Ensure there are no dates listed under revocation, as a blank revocation date indicates the charity maintains its 501(c)(3) status. If any revocation date is present, reconsider your donation.
State AG Registration
Confirm the charity's registration status through your state Attorney General’s website. Each state maintains its own registry of charities that solicits contributions, ensuring compliance with local requirements.
Document Your Findings
Save a printout or screenshot of the verification results to keep in your donation records. This documentation will be useful for tax purposes and adds an extra layer of diligence.
Positive signals (green flags)
✓ Currently Exempt
A status listing of 'Currently Exempt' in TEOS confirms the organization is recognized by the IRS as a legitimate 501(c)(3) charity and eligible for tax-deductible donations.
✓ Positive Reviews
Consistently positive reviews on platforms like Charity Navigator or the Better Business Bureau provide assurance that the charity is managed transparently and effectively.
✓ State Compliance
Being registered with the Louisiana Attorney General’s charity registry indicates that the organization is compliant with state laws and regulations, fostering confidence in its operations.
✓ Responsive Communication
A charity that is quick to respond to donor inquiries and provides clear information demonstrates transparency and accountability, enhancing trustworthiness.
Warning signals (red flags)
⚠ No Current Exemption
If the TEOS search indicates that the charity is not currently exempt, it is not eligible to receive tax-deductible donations. Avoid contributing until its status is clarified.
⚠ Revocation Date Present
A listed revocation date signifies that the charity has lost its tax-exempt status. Donations made to revoked organizations can lead to disallowed tax deductions during audits.
⚠ Lack of State Registration
If the charity is not registered with the Louisiana Attorney General’s office, it may not be complying with state regulations. This raises concerns about its legitimacy and accountability.
⚠ Inaccessible or Unresponsive
If the charity’s contact information is difficult to find or they do not respond to inquiries, it may indicate poor management or transparency. Trustworthy organizations should be accessible.
Tools + resources
- IRS Tax-Exempt Organization Search: https://apps.irs.gov/app/eos
- Charity Navigator: https://www.charitynavigator.org
- ProPublica Nonprofit Explorer: https://projects.propublica.org/nonprofits
- BBB Charity Reviews: https://www.bbb.org/charity-reviews
- Louisiana Attorney General Charities Registry: https://www.ag.state.la.us
- Association of Fundraising Professionals: https://www.afpglobal.org
Louisiana state-level oversight
In Louisiana, verifying a charity’s compliance is essential. The Louisiana Attorney General maintains a dedicated database of registered charities that solicit contributions. Additionally, local chapters of the Better Business Bureau offer charity reviews to help ensure that you are making informed giving choices. Engaging with organizations like the Louisiana Association of Nonprofits also provides resources and guidance for potential donors.