Nonprofit Law/Group Exemption


Thank you for taking time to answer my question. We, my wife and I, have a tax exempt non-profit 501c3. Our corporation was granted tax exempt status with the IRS in 2006. We provide Biblical counseling for individuals for free or for a reduced rate. We have a young woman that has been through our counselor training and is currently working in Zimbabwe as a missionary using our counseling model. I would like to bring her mission outreach under our 501c3 as a subordinate organization. I currently have not applied for a Group Exemption Letter from the IRS.I have read through the IRS information about central and subordinate organizations. I can't find any specific form that the IRS requires to apply for a Group Exemption Letter.
My Question is: Is there a specific form required by the IRS to apply for the Letter and if we receive a Group Exemption Letter and set up our missionary friend as a subordinate can we still support her financially through our organization?
Thank you again for taking the time to consider my questions.

The IRS exemption organization fee page has, for the 4th item, that
the fee is $3000 for an organization to apply for the group
exemption determination so that they could then have subordinate
organizations as exempt without the subordinates filing with the

If, after considering the $3000 filing fee, you are still interested, let me know and I will reply then to your specific questions.

Harvey Mechanic, Attorney at Law -

P.S. This response is intended to be a general statement of law, should not be relied upon as legal advice and does not create an attorney/client relationship.  

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Harvey Mechanic


DO NOT GIVE ME INFORMATION THAT YOU WANT KEPT CONFIDENTIAL. I am an attorney and I volunteer time to answer general questions about U.S. Federal income tax issues of nonprofit 501(c)(3) public charities only. Those questions could be about establishing and maintaining legal requirements for such non-profit organizations in the United States, including Internal Revenue service filings and requirements. I will not be working on this free forum to answer questions about Nonprofit's possible unrelated or for-profit businesses or how to fill out forms. This forum is only for general questions about federal tax law, not as the law applies to your specific situation. If you do not make your question public then I will not be spending much of my donated time on answers that would not benefit the public. If you have other questions, please contact me at I will reply from my email. In any case, do not reveal confidential information to me until after I have contracted with you to provide personal legal services. My responses on this forum are intended to be general statements of law, should not be relied upon as legal advice, and do not create an attorney/client relationship. For me to consider your individual situation and how the law applies, I would need to gather extensive information about the situation. To search my previous answers you can do a Google search by "" without the quotes and then add your search terms before hitting enter.


I have been practicing law and especially the law of nonprofit organizations since 1990 when I was admitted to the New York Bar and I have maintained my status with the Bar since that time.


B.S. Columbia University in New York City, 1970

J.D. (Law Degree) Brooklyn Law School, 1990 -- Cum Laude.

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