In order to follow the regulations of the Internal Revenue Service, the National Council of Teachers of English must require all units (Affiliates, Assemblies, TYCA-Regionals, TAWL Groups) to follow the requirements described below for applying for 501(c)(3) tax-exempt status.
If these requirements are not met by the unit, NCTE will have to exclude the unit from the Group Exemption Letter and the unit will not have "IRS determined" tax-exempt status, unless the unit obtains tax-exempt status on its own.
These requirements must be followed due to regulations established by the Internal Revenue Service, Publication 557, Tax-Exempt Status for Your Organization. 
Requirements
- Policies that ALL 501(c)(3) organizations must adopt by June 30, 2009.
- All units must be affiliated with NCTE and subject to NCTE's general
supervision or control. - All units must qualify as an organization described in the Internal Revenue
Code 501(c)(3) and cannot be private foundations. - All units must be on the same accounting period (fiscal year), as NCTE: July 1--June 30.
- All units must complete the "Group Exemption Application" form and submit the form to NCTE by January 30.
- All units must amend their constitutions to include "Requirements to be exempt as an organization described in section 501(c) of the Internal Revenue Code." Some units' constitutional purposes and membership statements will need amending as well.
- All units must submit a copy of their most recent amended Constitution and Bylaws at the time of application.
- All units must submit a Financial Statement for the most recent fiscal year, or a copy of the tax return for that year.
- If the unit does not have an Employer Identification Number (EIN), IRS form
SS-4, "Application for Employment Identification Number" must be submitted to NCTE (not the IRS) with the application.
For instructions on how to complete form SS-4, click here or contact NCTE.
Note: The EIN number is the number that should be used for your unit's bank account---you should not have a bank account registered under an individual's social security number because a bank account registered to an individual is considered personal and reportable income for that individual. - If the unit has applied and/or obtained an exemption from federal income tax and the unit decides to authorize NCTE to include the unit in NCTE's Group Exemption Letter, the unit must answer "yes" to question 9 on the "Group Exemption Application" and provide an explanation.
An explanation includes the date of the determination letter relating to exemption and the IRS office that issued it and/or a photocopy of the letter relating to exemption. Note: It is the decision of the unit to remain under their own exemption or to be considered exempt under NCTE's group exemption number. - All units must meet annual Internal Revenue Service filing requirements.
"Report on Annual IRS Requirements Form" must be completed and returned along with the necessary documentation. - A check for $30 made payable to NCTE and fees form must be enclosed
with a first time application.
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