Articles Of Incorporation For Profit Or Non-profit Organizations
The articlesofincorporation have to mention whether the corporation is a profit or non-profit organization. However, in some jurisdictions the differentiation is not on the basis of “profit” or “non profit” but rather by “stock or non-stock”.
However in the United States, it is necessary to mention if a corporation is a non-profit one. This is important because only then it is recognized by the Internal Revenue Service. Only then the corporation is eligible for tax exemption. To get such a status, the articles of incorporation has to state that no part of the corporation’s assets benefits the members.
