Non-profit organizations encompass a broad spectrum, including, among others; Fraternal beneficiary societies, orders or associations, cemetery corporations, and corporations organized or trusts created for religious, charitable, scientific, or educational purposes or the prevention of cruelty to children or animals, homeowner associations, etc.
To be registered as a non-profit corporation in Delaware, the company must be ;
– Registered in the Division of Revenue and made sure to withhold Delaware State income taxes on employees performing services within Delaware and
-Registered in the Delaware Department of Labor.
Corporations conferred exemption as a non-profit organization by the IRS are exempt from Delaware Corporate Income Tax and Gross Receipts Tax on the sales of most goods and services. Such corporations are also exempt from obtaining a business license. Consequently, none of the stockholders or members can benefit from the net profit of the corporation.
