Massachusetts Booster Club Filing Requirements

Forming a Nonprofit Corporation in Massachusetts

A booster club incorporates by filing Articles of Organization under Chapter 180 with the Corporations Division. The fee is $35, plus a small expedited fee for online or fax filing. The articles must contain the purpose and dissolution language the IRS requires for 501(c)(3) status (the federal exemption for charitable and educational organizations); see How to Incorporate a Booster Club.

The corporation files a Nonprofit Annual Report every year on or before November 1 (M.G.L. c. 180, s. 26A). The fee is $15. A corporation that stops filing loses good standing and can be involuntarily dissolved; Articles of Revival cost $40.

The Attorney General notes that a charitable corporation can only dissolve through a formal process that includes the Attorney General’s assent and usually Supreme Judicial Court approval.

State Tax Exemption

Massachusetts has no separate state income or corporate excise exemption application for a 501(c)(3) charitable corporation. The Attorney General’s guidance directs an organization holding its IRS determination letter (the letter confirming 501(c)(3) status) to contact DOR about exemption from “certain state taxes,” which in practice means the sales tax certificate below. A club with unrelated business income should confirm with DOR whether a state return is due.

Sales Tax

Purchases. Sales to 501(c)(3) organizations are exempt. The club applies through MassTaxConnect for a Certificate of Exemption (Form ST-2). At each purchase, the club gives the vendor a signed Form ST-5 plus a copy of the ST-2. Without both, the vendor charges the 6.25% tax.

Sales. DOR states that retail sales by exempt organizations are taxable unless an exemption applies. Three exemptions matter most:

1. Casual and isolated sales. Infrequent, nonrecurring sales are exempt. A one-time yard sale qualifies; a standing spirit wear store does not.
2. Clothing. Clothing items costing $175 or less are exempt for every seller, so most spirit wear carries no tax. Athletic uniforms are taxable.
3. Food. Grocery-type food is exempt, but prepared food at a concession stand is a taxable “meal.” The meals regulation (830 CMR 64H.6.5) has limited exemptions; confirm with DOR before treating concession sales as exempt.

An exempt organization that sells taxable goods regularly must register as a vendor, collect tax, and file returns.

Charitable Solicitation Registration

Massachusetts requires registration with the Attorney General’s Non-Profit Organizations/Public Charities Division for any charitable organization organized, operating, or raising funds in the state. There is no revenue threshold; the only statutory exemptions are the Red Cross, certain veterans organizations, and certain religious organizations. Unincorporated clubs register too.

1. Initial registration. The club registers through the online Charity Portal (paper filings ended September 1, 2023). A club soliciting the public must also obtain a Certificate for Solicitation first. Confirm current initial registration fee with the agency.
2. Annual Form PC. After its first fiscal year (the club’s 12-month accounting year), the club files Form PC with its IRS Form 990 series filing, the fee, and any required review or audit. It is due 4.5 months after fiscal yearFiscal yearThe club’s 12-month accounting year, set in the bylaws. Many booster clubs use July 1 through June 30 to match the school year, and the club’s filing deadlines count from the day it ends.All terms end: May 15 for a calendar-year club, November 15 for a June 30 year. Clubs in good standing get an automatic 6-month extension.
3. Fee. The fee is a sliding scale by gross support and revenue. Confirm current fee with the agency.
4. Review and audit. Since November 20, 2024, gross revenue from $500,000 to under $1,000,000 requires reviewed or audited financial statements; $1,000,000 or more requires an audit by an independent certified public accountant (CPA).

Online donations are covered by the same registration.

Raffles and Gaming

Raffles are legal for a qualifying nonprofit with a permit under M.G.L. c. 271, s. 7A. Educational, charitable, and civic organizations qualify only after being organized and actively functioning as a nonprofit in Massachusetts for at least two years.

1. Permit. The club applies to the clerk of the city or town where the raffle will be held. The statute sets a $10 application fee unless the city or town adopts its own, which may not exceed $50. A permit lasts one year and covers multiple raffles.
2. Tax. The State Lottery Commission imposes a 5% tax on gross proceeds, payable within 10 days of each raffle. Exempt status does not remove it.
3. Annual report. Within 30 days after the permit expires, the club reports events, receipts, expenses, use of proceeds, and winners of prizes worth more than $250 to the clerk, certified by three responsible members and an accountant.
4. Who runs it. Promotion and operation are confined to members, and no one may be paid. Clerks may revoke a permit if non-members promote the raffle.

50/50 raffles follow the same rules. Massachusetts law does not expressly authorize online ticket sales, and the members-only rule makes them hard to fit within the statute; the club should get written guidance from the clerk first. See Online and Electronic Raffles.

Annual Compliance Calendar for Massachusetts