How to start a nonprofit in Arizona

How to start a nonprofit in Arizona, step by step

1. Name your Arizona nonprofit

   A reservation costs $10. Watch the restricted words, and note what is actually on the list: bank, banker, banking, credit union, deposit, savings association, building association, savings and loan association, savings bank, thrift, trust and trust company all need prior written approval from the Department of Insurance and Financial Institutions. Bare association is NOT restricted, whatever you may have read; only the financial compounds are. You do not need a DIFI letter to call yourself an association.

2. Choose your first board of directors

   Plan on at least three people who are not related to each other. Some states allow fewer on paper, but three unrelated directors is what the IRS application works best with, and what funders expect. Pick people who will actually show up.

3. File your Articles of Incorporation (Form C011)

   File Form C011 with the Arizona Corporation Commission, not a Secretary of State, for $40, online via eCorp or by mail. Attach the mandatory Certificate of Disclosure covering officers' and directors' felony and judgment history, an attachment most states do not have. Regular processing was running 9 to 11 business days on the ACC's own document processing times page as of its December 2025 update, with expedited at 2 to 4 days. That is faster than the 14 to 16 days older guides quote, so check the current posting before you spend $35 on the expedite; next-day is $100.

4. Name your statutory agent

   Arizona's term is statutory agent. The agent must be an Arizona resident with a street address (or an Arizona entity), cannot be the corporation itself, and must accept the appointment in writing on Form M002 filed with the articles.

5. Adopt bylaws and hold your first board meeting

   Bylaws are your internal rulebook: how directors are chosen, how votes work, what officers you have. At the first meeting the board adopts them, elects officers, and approves opening a bank account. Keep minutes; they are your first governance record.

6. Get your free EIN

   It is free from the IRS; any site charging for an EIN is reselling a free thing. Apply online if your responsible party has an SSN or ITIN and your principal place of business is in the US. It takes minutes. Three limits to know: one EIN per responsible party per day, the tool is not open around the clock, and it times out after 15 minutes with nothing saved. Without an SSN or ITIN you file Form SS-4 by fax or mail instead, which takes weeks. You need the EIN for the bank account and every filing after this.

7. Apply for 501(c)(3) status with the IRS

   Two forms, two fees. The short Form 1023-EZ has a $275 user fee, but you may use it only if you clear the whole Eligibility Worksheet. That means three things. Gross receipts did not exceed $50,000 in any of the past three years. They are not projected to exceed $50,000 in any of the next three years. And total assets are $250,000 or less. Churches, schools, hospitals and a few other types cannot use it at all. Everyone else files the full Form 1023, $600. This is the step that makes donations tax-deductible. The IRS currently issues 80 percent of 1023-EZ decisions within about 22 days and 80 percent of full 1023 decisions within about 191 days. It publishes current figures on its status page. Fees read 1 September 2026.

8. Handle Arizona taxes

   Income tax is automatic: Arizona exempts federally exempt organizations by statute, with no state form unless you have unrelated business income (then Form 99T). Sales tax is the opposite: Arizona offers no general TPT exemption to nonprofits. Sales to your organization are generally taxable, and only certain health care organizations qualify for exemption letters.

9. Register to fundraise

   Arizona is one of the few states with no charitable solicitation registration at all; it was repealed in 2013. Only veterans organizations soliciting in the name of veterans file anything, with the Secretary of State. You can fundraise the day your IRS letter arrives, though registration in OTHER states still applies if you solicit there.

10. Stay in good standing

    A $10 annual report filed through eCorp. Your due date is shown on your ACC record and the Commission emails reminders.

Arizona-specific things to know

1. The publication requirement

   After the ACC approves your articles you may need to publish a copy in an approved newspaper within 60 days; the approval letter tells you whether your county requires it or whether the ACC posts to its database instead. Do not publish before approval. The ACC keeps a list of approved newspapers.

2. The Certificate of Disclosure

   Every incorporator, officer and director is covered by a disclosure of felony and judgment history filed with the articles. It is routine, but it startles boards that were not warned, so warn yours.

General information for people starting a nonprofit in Arizona, not legal or tax advice. Rules change and fees are updated; confirm specifics with the Arizona offices named on this page, the IRS, or a qualified professional before you file.

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Sources: ACC Form C011 instructions; ACC business services FAQ; A.R.S. 43-1201 and A.R.S. 10-3203; ADOR on TPT and nonprofits; AZ SOS, veterans charities. Read August 2026, re-checked against the same primary sources 1 September 2026.