Request Tax Exempt Certificate

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					                                Department of Finance
                                Sales Tax Division
                                TAX COMPLIANCE GUIDE

                REQUEST FOR CERTIFICATE OF TAX EXEMPTION
                                TOPIC 328
The Westminster Municipal Code provides an exemption from sales and use tax for certain purchases
made by religious and charitable organizations. As a home-rule municipality administering its own tax,
Westminster may define these organizations differently from the Internal Revenue Service, the State of
Colorado, or other taxing authorities. A Certificate of Tax Exemption issued by the Finance Director is
required to exempt purchases from these organizations. No exemption certificate issued by the Colorado
Department of Revenue or any other taxing authority will be sufficient to exempt transactions from
Westminster tax.

Organizations that meet the definitions outlined in the Code (discussed below) may apply for a Certificate
of Tax Exemption by completing an Application for Certificate of Tax Exemption form which can be
obtained in the Tax/License Toolbox section of the City website or by contacting the Sales Tax Division.
The completed form must be submitted to the Sales Tax Division along with all of the required supporting
documentation in order to be considered. The Finance Director’s determination will be rendered within
approximately 60 days.

Charitable & Religious Organizations Defined

Charitable organizations are strictly defined in the Westminster Municipal Code and must demonstrate all
of the following qualifications:

      1. The organization has been certified as a not-for-profit under Section 501(c)(3) of the Internal
         Revenue Code;
      2. The organization is registered and incorporated with the Secretary of State;
      3. The organization exists exclusively, and in a manner consistent with existing laws, to freely and
         voluntarily minister to the physical, mental, or spiritual needs of an indefinite number of
         persons;
      4. The organization provides a gift which inures to the benefit of an indefinite number of persons
         (not just members or patrons in return for consideration) characterized by the spontaneous and
         generous giving of talents and goods to those in need; and
      5. The organization’s activities thereby lessen the burdens of government.

Religious organizations:

Churches do not necessarily require a Certificate of Tax Exemption, provided they meet all of the
following criteria, but they are encouraged to apply in order to simplify exempt purchasing. The
qualifications are:

      1. The organization has been certified as a not-for-profit under Section 501(c)(3) of the Internal
         Revenue Code;
      2. The organization is registered and incorporated with the Secretary of State;
      3. The organization is recognized by the State Property Tax Administrator as a religious
         organization; and
      4. The organization holds regular worship services where the general public is invited to attend.

Other religious organizations that are merely affiliated with churches require a Certificate of Tax
Exemption and may need to provide information in addition to the items listed above.
                              4800 West 92nd Avenue • Westminster, CO 80031
                                Office (303) 658-2065 • Fax (303) 706-3923
                                         www.CityofWestminster.us
                                         Department of Finance
                                         Sales Tax Division
                                         TAX COMPLIANCE GUIDE


Related Topics
Government, Religious & Charitable Organizations
* Westminster Municipal Code Section 4-1-1. Definitions
* Westminster Municipal Code Section 4-2-6. Exemptions from Sales Tax
* Westminster Municipal Code Section 4-2-7. Exemptions from Use Tax
* Westminster Municipal Code Section 4-3-4. Exempt Transactions
* Westminster Municipal Code Section 4-4-3. Exempt Transactions

THE ABOVE INFORMATION IS A SUMMARY IN LAYMEN’S TERMS OF THE RELEVANT WESTMINSTER TAX LAW FOR THIS
TOPIC, INDUSTRY, OR BUSINESS SEGMENT. IT IS NOT INTENDED FOR LEGAL PURPOSES TO BE SUBSTITUTED FOR THE
FULL TEXT OF THE WESTMINSTER MUNICIPAL CODE AND APPLICABLE RULES AND REGULATIONS. THIS GUIDE DOES NOT
CONSTITUTE A CITY TAX POLICY.

10/2006




                                       4800 West 92nd Avenue • Westminster, CO 80031
                                         Office (303) 658-2065 • Fax (303) 706-3923
                                                  www.CityofWestminster.us

				
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