Need to incorporate in the best state!
September 14, 2010 7:43 PM Subscribe
What is the best state for a nonprofit to incorporate in?
posted by treehorn+bunny to Law & Government (9 answers total)
I'm part of a small nonprofit organization which is international in nature. Its only base/office operates in east Africa, but the executive board members are from around the world, and mostly the USA.
We have 501(c)(3) status in the USA, but somehow we missed the initial step of incorporation and are trying to remedy that. Because we have no specific presence in a state, we could incorporate anywhere. We have prepared the paperwork to incorporate in California because several board members are there, but it came up that we may have to pay employment tax (we employ one American citizen in Africa). Now I am wondering if we should look for a more tax-advantaged state, if one exists, while we have the chance. Does anyone have advice?
Please, I realize that this question could probably be answered best by a lawyer, and you are not my lawyer, but we are a super small nonprofit and we don't have money to pay a lawyer for consultations, so answers telling us to talk to lawyers aren't very helpful to me. We did the 501(c)(3) on our own just fine and we can do this on our own too.