I have had many clients come to me to ask how they could start a non-profit organization. The main purpose of starting a nonprofit is to gain the contribution advantage the Internal Revenue Service (IRS) provides. Why do you need the IRS to authorize this? What is the difference between tax exempt and a charitable organization? How does the church fit into all of this?
Form 1023 is an application form to the IRS requesting status as a tax deductible charitable organization. The IRS is very selective about who can receive this designation. You must pass a series of tests to be granted this designation.