Contents
Form Example
Texas Application for Exemption
– Religious Organizations
G L E N N H E G A R T E X A S C O M P T RO L L E R O F P U B L I C AC C O U N T S
Nonprofit religious organizations should use this application to request exemption from Texas sales tax, hotel occupancy tax and franchise tax, if applicable. To receive a state tax exemption as a religious organization, a nonprofit religious organization must be an organized group of people regularly meeting at a particular location with an established congregation for the primary purpose of holding, conducting and sponsoring religious worship services according to the rites of their sect. Exemption from federal tax is not required to qualify for exemption from state tax as a religious organization.
The exemption for religious organizations is provided for in Sections 151.310, 156.102 and 171.058 of the Texas Tax Code, and more detailed information can be found in Comptroller’s Rules 3.322, 3.161, 3.541 and 3.583.
Some organizations will not qualify for exemption as a religious organization as that term is defined in Texas' law and rules, even though their activities may be religious in nature. Evangelistic associations do not qualify for exemption as religious organizations. Organizations that simply support and encourage religion as an incidental purpose, or that further religious work or teach their membership religious understanding (such as Bible study groups, prayer groups and revivals) do not qualify for exempt status under this category. Such an organization might still qualify for exemption from Texas sales tax and franchise tax, if applicable, based on their exemption under certain sections of the Internal Revenue Code (IRC).
Texas tax law provides an exemption from sales tax on goods and services purchased for use by organizations exempt under IRC Section 501(c)(3), (4), (8), (10) or (19). However, exempt organizations are required to collect tax on most of their sales of taxable items. See Exempt
If your organization has been granted federal tax exemption under one of the qualifying sections listed above, your organization will be granted an exemption from Texas sales tax, or sales and franchise tax, on the basis of the IRS exemption, as required by state law. Organizations that qualify for exemption based on a federal exemption are not exempt from hotel occupancy tax.
The laws, rules and other information about exemptions are online at www.Comptroller.Texas.Gov/taxes/exempt/.
You can submit your completed application along with required documentation by mail, fax, or email
Mail: |
Texas Comptroller of Public Accounts |
FAX: (512) |
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Exempt Organizations Section |
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P.O. Box 13528 |
Email: exempt.orgs@cpa.texas.gov |
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Austin, Texas 78711 |
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We process applications in the order they are received. To establish claimed exemptions, we may require additional information. After review of the material, we will inform the organization in writing if it qualifies for exemption. The Comptroller, or an authorized representative of the Comptroller, may audit the records of an exempt organization at any time during regular business hours to verify the validity of the organization’s exempt status.
If you have questions or need more information, contact us at
You have certain rights under Chapters 552 and 559, Government Code, to review, request and correct information we have on file about you. Contact us at the address or phone number listed on this form.
Texas Application for Exemption
– Religious Organizations
*AP20920W121812*
*AP20920W121812*
* A P 2 0 9 2 0 W 1 2 1 8 1 2 *
SECTION A
1. ORGANIZATION NAME
• Remove all staples |
• Type or print. |
• Do NOT write in shaded areas. |
(Legal name as provided in Articles of Incorporation, or, if unincorporated, the governing document.)
2. ORGANIZATION MAILING ADDRESS
Street number, P.O. Box or rural route and box number
CityState/ProvinceZIP codeCounty (or country, if outside the U.S.)
3. Texas taxpayer number (if applicable) ............................................................................................................... 
4. a) Enter filing information issued by the Texas Secretary of State:
File number ............................................. 
OR
Month |
Day |
Year |
File date ....................................... 
b) |
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Check this box if this organization is not registered with the Texas Secretary of State. |
5. Federal Employer Identification Number (FEIN) (Required if applying for exemption on the basis of a federal exemption) ....... 
6.Average attendance
at worship service ................
If average attendance is less than 50, indicate the number
of families represented in the average attendance ...................
7. Make only one selection as the organization's primary purpose:
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Religious worship services |
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Ministry |
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Youth group |
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Missionary |
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Bible study |
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Evangelistic association |
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8. Date of first worship service |
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Time |
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Frequency |
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9. Time and frequency of worship services................................................ 
10.Physical address (no P.O. Box) where worship services are conducted
11.Contact information of the person submitting this application
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Email address |
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Organization name |
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Daytime phone (Area code and number) |
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Extension |
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We will notify you by email when the exemption has been added to let you know where the exemption can be verified online. If an email address is not
provided, indicate where our response should be mailed: |
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organization's mailing address or |
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mailing address of the submitter. |
SECTION B
Provide the following supporting information as it applies to the appropriate option below:
Option A (Member of a common denomination or convention of churches):
•If your organization is a church that is a member of a common denomination or convention of churches, and the parent organization either has a 501(c)(3) federal group exemption, or has previously obtained a religious exemption in Texas for the churches under its jurisdiction, your church can obtain exemption based on its affiliation with the parent organization. Attach a letter from the parent organization stating that your church is a recognized subordinate, or provide the website of the parent organization where your church's affiliation can be verified.
Name of parent |
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Parent organization |
organization |
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website |
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Option B (Independent or nondenominational church):
The following must be included with your application. Information may be in the form of a bulletin, brochure, written statement or website:
•Your organization's statement of faith;
•The regular order of what takes place during worship services (for example, invocation, sermon, hymns, closing prayer);
•Evidence that services are open to the public and how they are advertised to the public;
•A description of the facility where the worship services are regularly conducted (pictures are accepted but not required and will not be returned).
•Special note to unincorporated entities: Include your organization's governing documents, such as the bylaws or constitution.
•Special note to
If your church has its own 501(c)(3) federal exemption, provide a copy of the IRS determination letter along with the information in option A or B so that we may update our records.
Applications received without supporting documentation will be returned.
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Common mistakes
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Incomplete Information: Many applicants fail to provide all required information on the form. This includes missing the organization's legal name, mailing address, or taxpayer number. Each section must be filled out completely to avoid delays in processing.
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Incorrect Organization Type: Some organizations mistakenly select an incorrect primary purpose. It is crucial to choose only one option that accurately reflects the organization's primary activities, such as "Religious worship services" or "Bible study." Selecting the wrong category can lead to disqualification.
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Neglecting Supporting Documentation: Applicants often forget to include necessary supporting documents. For instance, independent or nondenominational churches must provide their statement of faith and details about their worship services. Without these documents, the application will be returned.
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Failure to Check Registration Status: Some organizations do not verify their registration status with the Texas Secretary of State. If the organization is not registered, it must check the appropriate box on the form. Failing to do so can result in a denial of the exemption.
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Incorrect Submission Method: Applicants sometimes overlook the proper submission methods for their application. The completed form can be sent by mail, fax, or email, but it is important to ensure it is sent to the correct address. Incorrect submission can lead to delays or loss of the application.
Key takeaways
1. Purpose of the Form: The Texas Application for Exemption is designed for nonprofit religious organizations seeking exemptions from Texas sales tax, hotel occupancy tax, and franchise tax.
2. Definition of a Qualifying Organization: To qualify, an organization must be a group that regularly meets at a specific location for the primary purpose of conducting religious services. Simply supporting religion is not enough.
3. Federal Tax Exemption Not Required: Organizations do not need to have a federal tax exemption to qualify for state tax exemption. However, if they do, it may help in obtaining the state exemption.
4. Types of Exemptions: The form provides exemptions based on specific sections of the Texas Tax Code. It’s crucial to understand which section applies to your organization.
5. Application Submission: Completed applications can be submitted via mail, fax, or email. Ensure all required documentation is included to avoid delays.
6. Additional Information May Be Required: After submission, the Comptroller may request more information to establish the claimed exemptions. This can prolong the review process.
7. Rights and Contact Information: Organizations have rights under Texas law to review and correct their information. For questions, contact the Texas Comptroller's office at 800-252-5555.
Steps to Using Texas Application Exemption
Filling out the Texas Application for Exemption form can be a straightforward process if you follow the right steps. This form is essential for nonprofit religious organizations seeking tax exemptions in Texas. Once you complete the form, you will submit it along with any required documentation to the Texas Comptroller's office. They will review your application and inform you of your exemption status.
- Gather Required Information: Before you start filling out the form, collect all necessary information such as your organization’s legal name, mailing address, Texas taxpayer number, and Federal Employer Identification Number (FEIN) if applicable.
- Complete Section A: Fill in the organization name as it appears in your Articles of Incorporation or governing document. Provide your organization’s mailing address, Texas taxpayer number, and filing information issued by the Texas Secretary of State, if applicable.
- Indicate Attendance: Note the average attendance at worship services. If attendance is below 50, specify the number of families represented.
- Select Primary Purpose: Choose one option that best describes your organization’s primary purpose, such as religious worship services, ministry, or youth group.
- Provide Worship Details: Fill in the date and time of the first worship service, as well as the frequency of worship services.
- Physical Address: Enter the physical address where worship services are conducted, ensuring it is not a P.O. Box.
- Contact Information: Provide the name, email address, organization name, and daytime phone number of the person submitting the application.
- Complete Section B: Depending on your organization’s affiliation, provide the necessary supporting documentation. If you are part of a denomination, include a letter from the parent organization. If independent, include your statement of faith, order of worship, evidence of public services, and a description of your facility.
- Check for Completeness: Review the form to ensure all sections are filled out accurately and completely. Double-check that you have included all required supporting documents.
- Submit the Application: Send the completed form and supporting documents to the Texas Comptroller’s office via mail, fax, or email.
Once your application is submitted, it will be processed in the order it was received. The Comptroller's office may reach out for additional information if needed. Be sure to keep an eye on your email for updates regarding your exemption status.