Idaho Booster Club Filing Requirements

Forming a Nonprofit Corporation in Idaho

A booster club incorporates by filing Nonprofit Articles of Incorporation with the Idaho Secretary of State. The base fee is $30 online through SOSBiz; paper filings add a $20 manual processing fee, for $50 total. The Secretary of State notes that articles for a club seeking 501(c)(3) status must contain the IRS-required purpose and dissolution language. The club names a registered agent with an Idaho address.

Every Idaho corporation files an annual report online through SOSBiz by the last day of its anniversary month. A club incorporated on April 15 files by April 30 each following year (Idaho Code 30-21-213). Confirm the current annual report fee with the Secretary of State. A corporation that does not file within 60 days of the due date can be administratively dissolved, which ends its standing to act in its own name until reinstated.

State Tax Exemption

Idaho income tax exemption is automatic. The State Tax Commission states that an organization the IRS has granted exempt status is also exempt from Idaho income tax, except for tax on unrelated business income. There is no state application or state determination letter. A club that reports unrelated business income on federal Form 990-T also files an Idaho income tax return and pays Idaho tax on that income.

Sales Tax

Purchases. Idaho’s sales tax rule for nonprofit organizations (IDAPA 35.01.02.085) states that the Sales Tax Act “doesn’t provide any general exemption” for charitable or nonprofit organizations. Exemptions go only to specific listed types, such as nonprofit educational institutions, hospitals, food banks, and senior centers. The Tax Commission’s guidance for schools adds that parent groups, alumni groups, and other auxiliary groups whose purpose is to help an exempt school are not included in the school exemption. A booster club pays sales tax on its purchases, even when the items are donated to the school.

Fundraiser sales. Fundraiser sales by nonprofits are taxable in Idaho at the 6 percent state rate. Product sales, concessions, spirit wear, and admissions to recreational events are retail sales. A club that makes taxable sales is a retailer: it obtains an Idaho seller’s permit and files returns. A club with a single event or infrequent sales can request a temporary permit instead. Donations are not sales and are not taxed.

Charitable Solicitation Registration

Idaho has no charitable solicitation registrationCharitable solicitation registrationRegistration with a state office, usually the attorney general or secretary of state, before asking the public for donations, typically renewed each year with a financial report. Whether it is required, and the thresholds and fees, vary by state.All terms requirement. The Idaho Charitable Solicitation Act (Idaho Code 48-1201 and following) prohibits false, misleading, or deceptive fundraising practices but does not require charities to register or file annual reports with the Attorney General. Online fundraising does not trigger an Idaho registration. Some cities and counties require permits for in-person solicitation, so a club running door-to-door sales checks local rules.

Raffles and Gaming

Raffles are legal for qualified charitable and nonprofit organizations under Idaho’s charitable gaming law (Idaho Code Title 67, Chapter 77), administered by the Idaho Lottery’s Charitable GamingCharitable gamingRaffles, bingo, and other games of chance that state law allows a nonprofit to run to raise money, often under a state or local license with limits on prizes and on how proceeds are used. Whether a booster club may hold them varies by state.All terms Coordinator.

1. Eligibility. The organization must be a bona fide tax-exempt organization, such as a 501(c)(3), that has been in continuous existence for one year in the county where it will hold games.
2. When a license is required. The Lottery instructs organizations to add the purchase price or fair market value of all prizes. If the total is over $5,000, a license is required. Smaller raffles do not need a license but must follow every other rule in the law and in IDAPA 52.01.03.
3. Fees. A new license application costs $100. Renewal depends on prior-year gross revenue: $100 under $25,000, $200 from $25,000 to $75,000, and $300 over $75,000.
4. Prize and frequency limits. The maximum cash prize for any one raffle is $1,000; merchandise not redeemable for cash has no value limit. Raffles are limited to 12 events per license year, with an exception for public and private schools.
5. Use of proceeds. Idaho Code 67-7710 and the Lottery’s rules require that at least 80 percent of net raffle proceeds (gross receipts minus the cost of prizes) go to charitable or nonprofit purposes, leaving no more than 20 percent for expenses.
6. Reports and records. Licensed organizations file an annual report within 30 days after the license year ends, and keep records for five years. An organization with more than $200,000 in annual raffle revenue submits a CPA audit within 90 days.

A 50/50 drawing pays a cash prize, so the $1,000 cash cap applies; a club should confirm with the Lottery before running a 50/5050/50 raffleA raffle in which the winner receives half of the ticket sales and the club keeps the other half, usually sold and drawn during one game or event. It is legally a raffle with a cash prize, so state raffle law applies.All terms whose pot could exceed $2,000. Online ticket sales are not clearly addressed in the Lottery’s published guidance, so the club asks the Charitable Gaming Coordinator before selling online. Bingo is licensed by the same office.

No Idaho statute specific to booster clubs was found.

Annual Compliance Calendar for Idaho