California Sales Tax Exemptions for NonProfits - Charitable Organizations – Welfare Exemption

The welfare exemption is jointly administered by the BOE and each county assessor.


The BOE will determine whether an organization is eligible for the exemption.

The county assessor determines whether the organization’s use of property qualifies the property for the exemption.

If you believe your organization’s sales or purchases are exempt from sales and use tax as described earlier, you can write to CDTFA and ask them to review your eligibility.

If they determine you qualify for the exemption, they will send you a letter that verifies your exempt status.

CDTFA will also let you know which documents to provide to your suppliers to enable you to purchase items without tax.

The following information and documentation will be required with your request:

A letter describing your organization’s practices and activities, as well as what items will generally be purchased/sold by the organization.

A copy of your Organizational Clearance Certificate issued by the BOE showing that the organization qualifies under Revenue and Taxation Code section 214 for the “welfare exemption.”

Source: California Department of Tax & Fee Administration (CDTFA)

Course: https://salestaxsolutions2000.com/california-sales-tax-exemptions-nonprofits

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