Starting a nonprofit in Michigan follows the same two milestones as anywhere else, forming a state corporation and getting federal 501(c)(3) status, but Michigan adds an annual report and charity registration before you fundraise. Here is the order Michigan founders should follow.
The Michigan-specific steps
- File Articles of Incorporation for a nonprofit (Form 502) with LARA's Corporations Division, including the IRS-required purpose and dissolution language. The total fee is $20.
- File your Annual Report (Form 2000) with LARA by October 1 each year, for a $20 fee. Michigan now requires this online through the MiBusiness Registry.
- Get your federal EIN from the IRS. It is free, and you need it before you can apply for tax-exempt status.
- Adopt bylaws and a conflict of interest policy that carry the same charitable purpose and dissolution language as your incorporation documents.
- Apply for federal 501(c)(3) status using Form 1023-EZ or the full Form 1023.
- Handle Michigan taxes. Federal 501(c)(3) status automatically exempts you from Michigan corporate income tax. For sales and use tax, you give vendors a completed exemption certificate (Form 3372) with your IRS letter; Michigan issues no tax-exempt number.
- Register with the Michigan Attorney General's Charitable Trust Section using the CTS-01 form before soliciting donations. There is no fee, and groups raising under $25,000 that use only unpaid volunteers are commonly exempt.
Michigan fees and timelines
Michigan is one of the most affordable states to start a nonprofit: incorporation is just $20 and the annual report is $20. Your main cost is the federal IRS user fee ($275 for the 1023-EZ or $600 for the full Form 1023). Because state fees change, confirm current amounts with LARA and the Attorney General before filing.
A note on accuracy
State requirements and fees change over time. Use this as a roadmap, then verify current forms and amounts with Michigan's official agencies, or let us confirm them with you on a free call.
Want the IRS step done for you?
Our 501(c)(3) filing service prepares your IRS Form 1023-EZ with the exact language the IRS expects, reviews every answer, and walks you through filing, for a flat $1,499 with a 100% approval record.
Explore 501(c)(3) Filing →The federal step is the same everywhere
Once your Michigan corporation exists and you have an EIN, the federal 501(c)(3) application is identical to any other state. Most small nonprofits file the 1023-EZ; see our 1023 vs 1023-EZ guide to confirm which fits. For the complete national process, read our step-by-step guide to starting a nonprofit, and our cost breakdown for every fee.
Starting a nonprofit in another state?
The federal steps are the same in all 50 states; only the state incorporation, tax exemption, and charitable registration details differ. See our guides for Arizona, California, Texas, or browse all our guides. Not sure where to start? Book a free call and we will map the exact steps and current fees for your state.