North Dakota Booster Club Filing Requirements

Forming a Nonprofit Corporation in North Dakota

A booster club incorporates under the North Dakota Nonprofit Corporation Act (N.D.C.C. chapter 10-33) by filing Articles of Incorporation with the Secretary of State. The fee is $40 (N.D.C.C. 10-33-140). The articles name a registered agent and need IRS-required purpose and dissolution language for 501(c)(3) status (federal tax exemption for charitable and educational organizations). See How to Incorporate a Booster Club.

Every nonprofit corporationNonprofit corporationA legal entity created by filing articles of incorporation with the state, separate from the parents who run it. It can open a bank account, sign contracts, and apply for 501(c)(3) status.All terms files an annual report with the Secretary of State before February 2 each year (in practice, by February 1). The first report is due by February 1 of the year after the calendar year of incorporation; a club incorporated in September 2026 files its first report by February 1, 2027. The fee is $10, and a $5 late fee applies after the deadline. A corporation that has not filed within one year after the deadline is dissolved by operation of law; reinstatement costs $40 more (N.D.C.C. 10-33-139).

State Tax Exemption

Federal exemption carries over automatically. Under N.D.C.C. 57-38-09, an organization exempt from federal income tax is exempt from North Dakota income tax for each year it meets the federal requirements. Unrelated business taxable income is taxed in North Dakota on the same basis as federally.

Sales Tax

Purchases. North Dakota law contains no general sales tax exemption for purchases by nonprofit organizations; the exemptions in N.D.C.C. 57-39.2-04 are limited to specific buyers and items. One narrow exemption matters for boosters: tangible personal property a charitable organization buys to award as a raffle prize is exempt when the winner will owe use tax on receiving it.

Sales. Gross receipts from educational or charitable activities are exempt when the entire net receipts are spent for educational or charitable purposes (N.D.C.C. 57-39.2-04(4)(b)). The exemption does not apply:

1. To taxable sales over $10,000 at a single event held in a publicly owned facility for which the organization did not pay fair market rent. A concession stand in a school gym that is not rented at market rates can cross this line during a large tournament.
2. When the seller competes with retailers by keeping inventory, selling regularly from a permanent or seasonal location, or soliciting sales through its own website. A year-round spirit wear store or online shop is taxable.

Charitable Solicitation Registration

North Dakota requires a charitable organization to file a registration statement with the Secretary of State before soliciting contributions (N.D.C.C. 50-22-02). The registration fee is $25, and the statement includes a financial statement for the most recent twelve months. Every registered organization then files an annual report by September 1 with a $10 fee (N.D.C.C. 50-22-04). The Secretary of State may extend the deadline on written request, but never past December 1. Registration lapses immediately if the annual report is not filed, and soliciting without registration is a misdemeanor.

There is no dollar threshold, and online solicitation counts. The statute does exclude some organizations from the definition of “charitable organization,” including elementary and secondary schools themselves and an organization that uses only volunteer, unpaid fundraisers and solicits for a political subdivision or a civic or community project, where contributions are used solely for that project. A booster club raising money for a public school district’s program with volunteers only may fit that exclusion; a club that is unsure should register, since the cost is $25 plus $10 a year.

Raffles and Gaming

Charitable gaming is governed by N.D.C.C. chapter 53-06.1 and administered by the Attorney General, with local governments issuing permits. A booster club has two routes:

The two-year requirement applies to licenses, not local permits, which run July 1 to June 30 or by calendar year.

Raffle rules under N.D.C.C. 53-06.1-10.1:

• Prizes may be cash or merchandise but not real estate. No single cash prize may exceed $25,000, and total cash prizes may not exceed $25,000 in one day.
• An electronic 50/50 must sell tickets and hold the drawing on site on the day of the event; it may not be run online.
• A licensed organization may sell raffle tickets online and take card payments, limited to $500 per person per day and $1,500 per week by credit card, after verifying the buyer is 18 or older and physically in North Dakota.

Annual Compliance Calendar for North Dakota