Verify costs of creating legal entity and minimum franchise tax

[dlindahl]

No description provided.

[dlindahl]

This has been researched but needs to be codified.

[roughani]

Filing fees are as follows:

Step	Agency	Fee
Reserve corporate name	Secretary of State	$20
File Articles of Incorporation	Secretary of State	$30 + $15 fee in person
File Statement of Information	Secretary of State	$20
State Exemption Application	Franchise Tax Board Form	$25 (free if IRS grants exemption
IRS Exemption Application (Form 2023 EZ)	Internal Revenue Service	$400
Register with Registry of Charitable Trusts	Attorney General	$25
	TOTAL	$495 to $535

For a description of all required steps, check out the Wiki: Basic Steps for Starting a California Nonprofit.

I've confirmed that exempt organizations are not subject to the minimum franchise tax (hence, why they're "tax exempt"!). Confusion arose from the scenario in which the organization incorporates, but does not receive its exempt status until the following tax year. While we would be required to pay the $800 minimum franchise tax, it would be refunded retroactively if we eventually received the exemption. However, we should be able to avoid all of this by starting the process in January.

[dlindahl]

Discussed at our meeting on 2015-12-30