South Carolina Booster Club Filing Requirements

Forming a Nonprofit Corporation in South Carolina

The club files nonprofit Articles of Incorporation with the Secretary of State for $25 (S.C. Code § 33-31-122 (external site)). The articles must declare a public benefit corporation, name a registered agent (the person who receives legal papers at a South Carolina address), state whether there are members, and say how assets are distributed at dissolution. They should carry the language the IRS (Internal Revenue Service) requires for 501(c)(3) status, the federal charitable exemption. See How to Incorporate a Booster Club.

No annual report is required. A registered agentRegistered agentThe person or company designated to receive lawsuits and official state notices for the corporation at a street address in the state. Some states call it a resident agent or statutory agent.All terms change costs $10.

State Tax Exemption

Exemption is automatic. Under S.C. Code § 12-6-540 (external site), South Carolina taxes a 501(c)(3) organization only on unrelated business taxable income (income from a regular business unrelated to its exempt purpose). A club filing federal Form 990-T also files Form SC990-T (external site) by the 15th day of the fifth month after its fiscal year (12-month accounting year) ends.

Sales Tax

Purchases. A booster club pays sales tax on items for its own use; SCDOR’s Revenue Procedural Bulletin #01-7 (external site) says so directly.

Fundraiser sales. S.C. Code § 12-36-2120(41) exempts items sold by charitable and educational associations when net proceeds are used exclusively for exempt purposes. A 501(c)(3) booster club generally qualifies. SCDOR recommends filing Form ST-387 (external site) with the IRS determination letter; the certificate lets the club buy resale items (candy, spirit wear) tax-free and exempts it from the retail license tax. A club that does not qualify needs a retail license. See Sales Tax for Booster Clubs.

Charitable Solicitation Registration

The Solicitation of Charitable Funds Act (external site) requires registration with the Division of Public Charities before soliciting, $50 a year. The financial report (or a copy of Form 990 or 990-EZ) is due within four and one-half 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 fiscal year. Late reports draw $10-a-day fines.

Two exemptions fit most clubs; each requires a free Application for Exemption every year:

1. Contributions from the public of $7,500 or less in a calendar year.
2. Contributions of $20,000 or less, with an IRS determination letterDetermination letterThe IRS letter recognizing the club’s federal tax exemption under 501(c)(3). The club keeps it permanently and shows it to banks, donors, grantors, and the school district.All terms, no professional solicitor, and no one paid more than $500 a year.

A club that passes the threshold must register within 30 days. The separate exemption in § 33-56-55 for certain other school parent groups does not cover booster clubs. There is no audit threshold, and online donations count toward the limits. A 2026 bill (H.4662) to raise the limits had passed only the House at the time of writing.

Raffles and Gaming

Raffles are legal under the Nonprofit Raffles for Charitable Purposes Act (external site) for a 501(c)(3) club registered with, or exempt from, charitable registration. No minimum years in existence apply. A registered raffle requires:

• Annual raffle registration ($50), expiring the 15th day of the fifth month 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.
• No more than four raffles per fiscal year, each lasting up to nine months.
• Prizes capped at $80,000 each and $300,000 per raffle; no real estate prizes; tickets no more than $300.
• At least 90% of net receipts spent on the club’s charitable purpose (50/50s excepted).
• Volunteers only; no drawings between midnight and 10 a.m. or on Christmas Day.
• Annual raffle financial report by the 15th day of the fifth month after fiscal year end; records kept three years.

Exempt raffles need no registration: donated noncash prizes totaling $950 or less, or 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 sold only to members and guests with proceeds of $950 or less, at most one every seven days. A public 50/50 at a game must be registered.

The statute is silent on online ticket sales, so the club should get written guidance from the Division first. See Online and Electronic Raffles. Bingo (external site) needs an SCDOR license and three years of registration with the Secretary of State.

School District Registration Under § 59-17-170

The law covers any parent-led group, not controlled by the school, formed mainly to raise money for a school, athletics, or afterschool activities.

1. Register with the district board (or charter authorizer) by August 1, listing name, purpose, officers, and financial officer.
2. Make no payments after August 1 until registered.
3. Provide a compilation or review if asked. An external audit requires a board vote finding specific cause.
4. Keep a financial officer (anyone with signing authority or custody of records) with no felony and no conviction under Title 16, Chapters 13 or 14 (larceny, embezzlement, card fraud). The district may request a fingerprint check.

Annual Compliance Calendar for South Carolina