Public Sector

Tax Exemption

Automated system that assesses organizations for 501(c)(3) tax-exempt status based on structure, activities, and financial metrics.

This template can be edited in GoRules BRMS

Solution

This tax exemption evaluation system automates the process of determining whether organizations qualify for tax-exempt status under section 501(c)(3) of the tax code. The system analyzes key organizational attributes including type (nonprofit, religious, or educational), annual revenue figures, percentage of public support funding, involvement in political activities, and the proportion of charitable work performed.

For qualifying organizations, the system assigns appropriate classifications such as public charity or private foundation based on their public support percentages. It additionally provides specific filing requirements based on revenue thresholds, indicating whether Form 990-N, 990-EZ, or the full Form 990 must be submitted. Organizations that don't qualify receive clear explanations about disqualification reasons - typically political activity involvement or insufficient charitable focus - along with guidance on restructuring options and potential alternative classifications.

How it works

The decision graph evaluates tax-exempt eligibility through these key steps:

  1. Data Collection: Gathers essential organization information including type, annual revenue, public support percentage, political activity status, and charitable activities percentage.
  2. Primary Eligibility Assessment: Evaluates if the organization meets fundamental 501(c)(3) requirements - no political activity and at least 85% charitable work.
  3. Classification Determination: For eligible organizations, determines specific status (public charity, private foundation) based on public support percentages.
  4. Requirement Assignment: For exempt organizations, calculates the appropriate annual filing form (990-N, 990-EZ, or 990) based on revenue thresholds.
  5. Non-exempt Guidance: For organizations that don't qualify, provides clear reasons for disqualification, appeal deadlines, and alternative classification options.

Other public-sector templates

Public Sector
Government Assistance

Streamlined decision system that determines program eligibility based on income thresholds, household size, age factors, and special circumstances.

Public Sector
Municipal Permit Evaluation System

Automated system that evaluates building and event permits based on zoning regulations, safety requirements, and environmental impact factors.

Public Sector
Immigration Eligibility Evaluator

Rules-based system automating visa application processing by evaluating documentation completeness, background checks and qualification scoring.

Public Sector
Environmental Compliance Assessment

Rules-based system that evaluates organizational compliance with environmental regulations based on industry type, emissions data, and geographical location.

Public Sector
School District Resource Allocation

Data-driven funding distribution tool that allocates educational resources based on student population, performance metrics, and specialized program needs.

Public Sector
Traffic Violation Penalty Calculator

Automated system that determines appropriate fines, points, and penalties for traffic violations based on severity, driver history, and circumstances.

Public Sector
Disaster Relief Fund Allocation

Automated system that calculates disaster relief payments based on damage severity, household factors, income level, and insurance coverage status.

Public Sector
Import Duties Calculator

Automated system that calculates precise import duties and taxes based on product details, country relationships, and trade agreements.

Public Sector
Grant Funding Distribution

Automated system that calculates grant awards based on project merit, applicant quality, budget availability, and potential community impact.

Get started with GoRules

Need help?

Get in touch for enterprise consultancy and support

Start integrating

Integrate in as little as 10 minutes with our evaluation API