Local Club Foundations

What is a local club foundation?

An Altrusa Club may form a foundation, which is a separate and distinct entity from the Club.  The Club is a 501c4 corporation, while the foundation would be a 501c3 corporation.  As a 501c3 corporation, donations to your Foundation are tax-deductible to the full extent provided by the law. This is a great advantage to contributors, and of great interest to corporations that may be considering assisting your Club’s activities.

Please find information about

501c3 organizations vs. 501c4 organizations.

Forming a Local Club Foundation

Local Clubs may set up a Foundation independently, or “under the umbrella” of Altrusa International Foundation, Inc. If you choose to set up under the group tax exemption of the International Foundation, you need not make a separate application for 501(c)(3) status, but your local Club Foundation must have its own Tax I.D. number (FEIN).

These are the steps to take to form a local club foundation under the International Foundation’s group tax exemption, or “under the umbrella” of the International Foundation:

  1. Fill out the 501c3 Information Packet available here. This packet includes a template for Articles of Incorporation and Bylaws for your new foundation.

  2. Send all materials outlined in the packet to the International Foundation office at foundation@altrusa.org, or One North LaSalle, Suite 1955, Chicago, IL 60602. Please red-line the changes made to your documents that vary from the provided templates.

  3. WAIT until the packet has been approved by the International Foundation’s Legal Advisor.  You will hear via email if changes need to be made or if the packet is approved.

  4. Obtain an EIN number for your foundation.  Information on how to obtain an EIN number is found here.

  5. File your Articles of Incorporation (AFTER approval by the International Foundation’s Legal Advisor) with your State.  Visit your State’s website for information on how to file your Articles of Incorporation.  When your Articles of Incorporation have been filed, you will receive a file-stamped copy of them with your State’s stamp and the date.

  6. Send a FILE STAMPED COPY of the Articles of Incorporation to the International Foundation Office.

  7. Send the EIN number of the foundation to the International Foundation Office.

Once these steps have been taken, the International Foundation’s Office will inform you that your foundation has been added as a subordinate corporation under the International Foundation’s Group Tax Exemption.

Yearly Checklist for Local Club Foundations

Each fall, local club foundations under the International Foundation’s Group Exemption must complete a number of items to remain in compliance.  If these items are not completed, the local club foundation will be in jeopardy of being dropped from the International Foundation’s group exemption.

  • Send in annual reporting form to the International Foundation (this will be mailed in late summer and available on the website)

  • File Form 990.  This page on the IRS website provides more information on how to file your 990.

  • If your state requires an annual reporting form, make sure to send it in. Some states require annual reporting forms from incorporated organizations, while others require less frequent reporting.  Visit your Secretary of State and Attorney General's website for more information.

What happens if our local club foundation’s tax exempt status is revoked?

If your foundation was originally formed under the International Foundation’s Group Exemption, and your foundation has not filed your Form 990 for three consecutive years, the IRS will revoke the tax exemption (501c3) status from your foundation.  In this case, your foundation will no longer be allowed under the International Foundation’s Group Exemption.  Your foundation will reapply for tax exempt status on its own and will no longer be affiliated with the International Foundation. 

Please find information on how to reapply for tax exempt status here.

Please contact the International Foundation Office

at 312-427-4410 or foundation@altrusa.org if you have questions.

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