Oklahoma Booster Club Filing Requirements

Forming a Nonprofit Corporation in Oklahoma

A booster club incorporates by filing a Certificate of Incorporation for a not-for-profit corporation with the Secretary of State under the Oklahoma General Corporation Act (Title 18). The fee for not-for-profit corporations is $25 (18 O.S. 1142). The certificate names a registered agent with an Oklahoma address and needs 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.

Oklahoma does not require an annual report or annual certificate from a domestic not-for-profit corporation; the Title 18 annual certificate applies to LLCs and foreign corporations.

State Tax Exemption

Federal exemption carries over automatically. Under 68 O.S. 2359, an organization exempt from federal income tax is exempt from Oklahoma income tax in each year it meets the federal requirements; unrelated business income remains taxable. The annual franchise tax does not apply to an organization that is neither organized nor operated for profit (68 O.S. 1206).

Sales Tax

Purchases. Oklahoma has no general sales tax exemption for nonprofit organizations. 68 O.S. 1356 lists specific exempt buyers instead. The one most relevant to booster clubs is paragraph 13(b), which exempts sales “made by or to” certain nonprofit 501(c)(3) school parent organizations and “nonprofit local public or private school foundations which solicit money or property in the name of any public or private school or public school district.” Booster clubs are not named. A club structured as a parent organization or a school foundation that solicits in the school’s name may qualify; a club should apply to the OTC for an exemption determination before giving vendors any exemption claim. Confirm the current application form with the agency.

Sales. Paragraph 13(a) exempts sales of tangible personal property made by a public or private school, a school student group or organization, a school parent organization, or school personnel raising funds for the school or a student group. The exemption expressly includes admission tickets and concessions at athletic events. A booster club that qualifies under paragraph 13 sells tax-free; one that does not obtains a sales tax permit and collects tax on fundraiser sales. Youth athletic teams that are part of a 501(c)(4) organization have a separate exemption limited to the first $15,000 of sales each year.

Charitable Solicitation Registration

The Oklahoma Solicitation of Charitable Contributions Act (18 O.S. 552.1 et seq.) requires every charitable organization located in Oklahoma or soliciting Oklahomans to register with the Secretary of State before soliciting. The fee is $65 per registration. Registration is renewed annually by the date the club files its federal Form 990 (including Form 990-N) or the date it is due with extensions, whichever comes first. For a calendar-year club, that is May 15; for a June 30 fiscal year, November 15.

There is no small-organization dollar threshold. The exemptions in 18 O.S. 552.4 cover religious organizations, degree-granting educational institutions soliciting their own communities (and 501(c)(3) organizations with an established identity with those institutions), fraternal and civic organizations soliciting only their own members, and solicitations for a named individual. A booster club that solicits parents, businesses, and the public does not fit these exemptions. The registration asks for officers, solicitation methods, and, after the first year, gross contributions and expenses by category. A $25 fee applies to file a name or address change.

Raffles and Gaming

Oklahoma’s lottery statute (21 O.S. 1051) makes every lottery, “whether called a lottery, a raffle, or a gift enterprise,” unlawful, then allows a qualified organization to raise funds by issuing numbered tickets “in conjunction with voluntary contributions,” with stubs drawn by lot under the supervision of an official of the organization. Qualified organizations include organizations exempt under Internal Revenue Code 501(c), accredited public and private schools, student groups affiliated with those schools, and parent groups affiliated with them. A booster club with its 501(c)(3) determination qualifies.

The conditions are short and strict:

1. The raffle must be conducted by members of the organization without compensation to any member.
2. The organization may not hire or contract with any person or business to conduct the raffle, sell raffle tickets, or solicit contributions for it.

There is no permit, no state registration, and no statutory cap on prizes or frequency. A 50/50 drawing falls under the same rules. Because a club may not contract with a business to sell tickets, online raffle platforms that sell tickets on the club’s behalf are effectively ruled out; confirm with counsel before selling online by any method. Bingo and other charity games fall under the Oklahoma Charity Games Act, licensed by the ABLE Commission; an organization holding charity games no more than four times a year can apply for an exemption from licensing.

Annual Compliance Calendar for Oklahoma