# Arkansas Booster Club Filing Requirements

> Arkansas booster club filing rules: $50 nonprofit articles, the free August 1 annual report, the state tax exemption request, and raffle licenses after 5 years.

- URL: https://boosterclub.org/states/arkansas/
- Section: States
- Updated: 2026-10-08

Arkansas puts most booster club paperwork on August 1: the nonprofit annual report and, for clubs that must register, the charitable financial report are both due that day. Two other points set Arkansas apart. The club must ask the Department of Finance and Administration (DFA) to recognize its state income tax exemption, and raffles require a DFA license that a club cannot get until it has existed for five years.

A 501(c)(3) is a nonprofit the IRS recognizes as tax-exempt under Section 501(c)(3) of the Internal Revenue Code; a fiscal year is the 12-month accounting period in the bylaws.

## At a Glance

| Requirement | Agency | Form | Fee | Frequency |
|---|---|---|---|---|
| Incorporate as nonprofit | Secretary of State, Business and Commercial Services | Articles of Incorporation, NPD-01 (501(c)(3) version) | $45 online, $50 paper | once |
| Annual/biennial report | Secretary of State | Annual Report for Nonprofit Corporation | $0 | annual, by August 1 |
| State income/franchise tax exemption | DFA, Corporation Income Tax Section | IRS letter packet (or AR1023CT without one) | No fee stated | once |
| Sales tax exemption on purchases | DFA | None for booster clubs generally | n/a | n/a |
| Sales tax on fundraiser sales | DFA | Exemption for school-affiliated parent organizations and youth concession stands | $0 | ongoing |
| Charitable solicitation registration | Secretary of State, Charities | CR-01; annual CR-03 (or EX-01 exemption) | $0 | annual report by August 1 |
| Raffle permit/registration | DFA, Miscellaneous Tax Section | Bingo and Raffle License (AR-1R-BRLAO) | $100 annual; $25 or $10 single raffle | annual or per raffle |

## Forming a Nonprofit Corporation in Arkansas

The Secretary of State's Business and Commercial Services division files nonprofit corporations.

1. Check name availability in the Secretary of State's database.
2. File the Articles of Incorporation, using the 501(c)(3) version (NPD-01-501-c-3), which includes the purpose and dissolution language the IRS requires.
3. Name a registered agent (the person who accepts legal papers for the club) with a physical Arkansas address.
4. Pay $45 online or $50 on paper.

### Annual report

Act 569 of 2007 requires every nonprofit corporation to file an annual report with the Secretary of State by August 1, with no fee. It lists the registered agent, principal office, officers, and a board of at least three directors. Filing after spring elections puts the new officers on the state record.

## State Tax Exemption

Arkansas exemption is not automatic. Arkansas Code 26-51-303 exempts qualifying organizations, but DFA's Corporation Income Tax Section must receive documentation to recognize the exemption. DFA's instructions list two paths:

- **With an IRS determination letter:** a copy of the IRS ruling letter, a copy of pages 1 and 2 of IRS Form 1023 or 1024, and a statement declaring the Arkansas Code exemption. A club that applied on Form 1023-EZ confirms with DFA what to send in place of Form 1023 pages.
- **Without an IRS letter:** Arkansas Form AR1023CT, Application for Income Tax Exempt Status, with the articles of incorporation and bylaws.

No fee is stated. A club with taxable income, such as unrelated business income (income from a regular business unrelated to its purpose), reports it on Form AR1100CT, due the 15th day of the 5th month after year end. DFA states that income tax exemption does not carry over to sales tax.

## Sales Tax

### Purchases

Arkansas exempts purchases only by entities named in the law, such as the Salvation Army. A booster club is not named and pays sales tax on supplies and equipment.

### Fundraiser sales

Two exemptions in Arkansas Code 26-52-401 can cover booster club sales:

- **Paragraph (42)(A)** exempts sales of tangible personal property, digital products, or services by a parent-teacher group "or similar organization affiliated with a public school."
- **Paragraph (40)** exempts sales at concession stands operated by a nonprofit youth organization.

Whether a booster club counts as a "similar organization affiliated with a public school" is a question for DFA's Sales and Use Tax Section; a club attached to a private school is outside paragraph (42).

## Charitable Solicitation Registration

Arkansas requires charitable organizations to register with the Secretary of State before soliciting contributions (Arkansas Code 4-28-401 through 416). Registration is free; filings go by email to charities@sos.arkansas.gov.

- **Initial registration:** Form CR-01, the IRS exemption letter, the articles of incorporation, Form CR-02 consent for service if applicable, and Form CR-03 financial report.
- **Annual financial report:** Form CR-03, with the club's Form 990, 990-EZ, or 990-N, due August 1. A CPA audit is required if gross revenue exceeded $500,000 in any fiscal year.
- **Exemptions:** a charity that does not receive more than $25,000 in contributions in a calendar year is exempt if all its functions, including fundraising, are carried on by unpaid people and no income benefits any officer or member. Accredited educational institutions are also exempt.
- **Claiming an exemption:** the club submits Form EX-01 with its IRS letter and articles.

Online giving pages count as solicitation.

## Raffles and Gaming

Raffles are legal in Arkansas only for licensed authorized organizations under the Charitable Bingo and Raffles Enabling Act, administered by DFA's Miscellaneous Tax Section.

- **Eligibility.** A nonprofit tax-exempt educational, civic, service, or similar organization that has existed in Arkansas for at least five years immediately before the raffle. The application asks for an IRS letter reflecting five years of nonprofit status.
- **License fees.** $100 for an annual bingo and raffle license; $25 for a Class I temporary license for one raffle; $10 for a Class II temporary license for one raffle whose prizes are all donated and worth less than $5,000.
- **Prize limits.** A cash prize may not exceed $5,000. Purchased raffle prizes may not exceed $50,000 in wholesale value per calendar year, and donated prizes $100,000.
- **Operations.** Only unpaid officers and members (including auxiliary members) run the raffle. Proceeds go through a separate in-state checking account printed with the license number and "Bingo and Raffle Account." Records are kept at least two years.
- **Online and 50/50.** No raffle ticket may be sold by mail, internet, email, fax, telephone, or any other remote or electronic means, and no electronic devices may be used. A 50/50 drawing is a raffle and needs a license.
- **Annual report.** Due June 1, covering May 1 through April 30.

Act 305 of 2025 created a separate Sports Raffle Act for colleges and their affiliated nonprofits, not K-12 booster clubs.

## Annual Compliance Calendar for Arkansas

| Filing | Due date | Agency |
|---|---|---|
| Federal Form 990-N (or 990-EZ/990) | 15th day of 5th month after fiscal year end (May 15 for a calendar year; November 15 for a June 30 year end) | IRS |
| Nonprofit annual report | August 1 | Secretary of State |
| Charitable annual financial report, CR-03 (if registered) | August 1 | Secretary of State |
| Bingo and raffle annual report (if licensed) | June 1, covering May 1 to April 30 | DFA |
| Form AR1100CT (only with taxable income) | 15th day of 5th month after year end | DFA |

## Common Mistakes in Arkansas

- **Assuming the IRS letter covers state tax.** DFA expects the club to send its letter and supporting pages, and income tax exemption never covers sales tax.
- **Running a raffle without a license.** New clubs do not know about the five-year rule. Violations are misdemeanors; even a licensed club faces fines up to $5,000.
- **Selling raffle tickets online.** Arkansas bans remote and electronic sales outright.
- **Missing August 1.** Two reports share the date during summer officer turnover.
- **Not filing Form EX-01.** Small clubs assume the exemption is automatic; it is not.

## Checklist

### Forming

- [ ] File Articles of Incorporation, NPD-01 (501(c)(3) version), with the Secretary of State ($45 online)
- [ ] Obtain an EIN (Employer Identification Number, the club's federal tax ID) and apply for 501(c)(3) status
- [ ] Send DFA the IRS letter, Form 1023 pages 1 and 2, and an exemption statement
- [ ] Register with the Secretary of State on Form CR-01, or file Form EX-01 to claim an exemption
- [ ] Ask DFA whether the club's sales qualify under Arkansas Code 26-52-401(42) (treasurer)
- [ ] Mark the club's five-year anniversary as the earliest raffle license date

### Every Year

- [ ] File the nonprofit annual report with current officers and at least three directors (by August 1)
- [ ] File Form CR-03 with the club's Form 990-series return, if registered (by August 1)
- [ ] File federal Form 990-N, 990-EZ, or 990 (by the 15th day of the 5th month after fiscal year end)
- [ ] File the bingo and raffle annual report, if licensed (by June 1)
- [ ] Track contributions against the $25,000 registration threshold (treasurer)

## Related Pages

- [Booster Club Filing Requirements by State](https://boosterclub.org/states/) to compare Arkansas with other states
- [Are Booster Club Raffles Legal](https://boosterclub.org/raffles/are-raffles-legal/) for how licensing differs across states
- [Online and Electronic Raffles](https://boosterclub.org/raffles/online-raffles/) for why Arkansas bans remote sales
- [State Taxes for Booster Clubs](https://boosterclub.org/taxes/state-taxes/) for how state exemptions work
- [How to File Form 990-N for a Booster Club](https://boosterclub.org/taxes/form-990-n/) for the federal annual filing

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*This page is general information for volunteer-run booster clubs. It is not legal,
tax, or accounting advice, and BoosterClub.org is not a law firm, accounting firm, or
government agency. Rules change and vary by state and district. Confirm current
requirements with the IRS, the relevant state agency, the school district, and a
qualified professional before acting. If a fact on this page is out of date, we want
to know.*

## Sources

1. Arkansas Secretary of State: https://www.sos.arkansas.gov/business-commercial-services-bcs/nonprofit-charitable-entities
2. Arkansas Secretary of State: https://www.sos.arkansas.gov/business-commercial-services-bcs/franchise-tax/non-profit-annual-reports/
3. Arkansas Secretary of State: https://www.sos.arkansas.gov/uploads/bcs/Nonprofit_Corporation_Annual_Report_2026.pdf
4. Arkansas Department of Finance and Administration: https://www.dfa.arkansas.gov/wp-content/uploads/CorporationIncomeTaxInstructions_2024.pdf
5. Arkansas Department of Finance and Administration: https://www.dfa.arkansas.gov/wp-content/uploads/AR1023CT_ApplicationforIncomeTaxExemptStatus_2024.pdf
6. Arkansas Department of Finance and Administration: https://www.dfa.arkansas.gov/wp-content/uploads/SalesTaxExemptionsFY2025.pdf
7. Arkansas Department of Finance and Administration: https://www.dfa.arkansas.gov/office/taxes/excise-tax-administration/sales-use-tax/special-event-sales-tax-info/
8. Arkansas Secretary of State: https://www.sos.arkansas.gov/uploads/SoS_-CharitableRegistrationInArkansas.pdf
9. Arkansas Department of Finance and Administration: https://dfa.arkansas.gov/wp-content/uploads/AR-1R-BRLAO-1.pdf
10. Arkansas Department of Finance and Administration: https://dfa.arkansas.gov/wp-content/uploads/et2007_4.pdf
11. Arkansas Department of Finance and Administration: https://dfa.arkansas.gov/wp-content/uploads/et397.pdf
12. Arkansas Legislature: https://arkleg.state.ar.us/Home/FTPDocument?path=%2FACTS%2F2025R%2FPublic%2FACT305.pdf
13. IRS: https://www.irs.gov/charities-non-profits/annual-electronic-filing-requirement-for-small-exempt-organizations-form-990-n-e-postcard