In order to protect the public from fraud, most states have enacted laws that require organizations to register with the state before they solicit donations from individuals in that state. The goal is for the public to be able to trust that their donations are going to a legitimate nonprofit organization that will use the money for charitable purposes.
This article explains generally when an organization must register in a state, how to complete the registration process, and what an organization should do when soliciting over the internet. Because each state has its own registration requirements, nonprofit organizations should seek advice from competent attorneys to advise them on their particular situation.
If you raise money from the general public in Georgia, you may need to make a special filing with the Secretary of State’s office. Here’s a quick review of what you’re required to file, and where.
Complying with charitable solicitation registration, annual renewals and filings, and disclosure statement requirements for multiple states takes a lot of time and requires detailed and dedicated focus. There are many companies that provide this service at a reasonable cost. This is a chart comparing various charitable solicitation compliance companies. Pro Bono Partnership of Atlanta does not endorse any of these companies.
Learn about the IRS and state regulations for nonprofits when using or selling donated vehicles.
The IRS now asks for more information in the revised IRS Form 990 regarding in-kind donations like clothing, cars and boats. This alert covers those reporting requirements, and the acknowledgement changes that could affect your donors.
Please note that in addition to the legal disclaimer above, this article contains information that is based, in whole or in part, on the laws of the District of Columbia. As a result, the information may not be appropriate for organizations operating outside the District of Columbia.
Nonprofits have significant obligations to register to ask for money and to acknowledge donations when received. These rules can be traps for the wary. During this one hour webinar, our speaker helps nonprofits understand:
- Who needs to register to solicit donations?
- In what states do you need to register when you have a website?
- How do you create a simple system to acknowledge donations?
- What paperwork should be kept to verify acknowledgements?
Presenter: Robyn Miller, Staff Attorney, Pro Bono Partnership of Atlanta