Any non-profit that makes, or intends to make a charitable solicitation must register with the State
Charitable solicitations include statement in which appeals for charitable purpose, the name of the organization is used, or implies that the contribution will be applied to a charitable purpose. The registration requirement is triggered when your organization asks for a donation, not necessarily when the organization receives a donation. After receiving the donation additional requirements present themselves at the federal level. The IRS requires charitable organizations to file an Annual Report (Form 990 or Form 990 EZ). On this report you will have to answer questions about your organization’s fundraising activities and registrations.
Exemptions from Registration Requirements
Some non-profits are exempt from registration because they are already highly regulated by other agencies; for example, non-profit hospitals and education institutions. Religious organizations may be exempt in some cases because states don’t want to interfere with the free exercise of religion. Also, some non-profits may not receive enough donations to qualify for registration. Nevertheless, determining whether your non-profit is exempt can be difficult. If your non-profit receives contributions under $25,000 per year, then it is exempt in New York but not California. Therefore, if you plan on fundraising out of state, you will need to take a close examination of each state’s law.
If you are a member of Spiegel & Utrera, P.A.’s General Counsel Club and have business related questions, call (800) 734-9900 or clubassist@amerilawyer.com for assistance. Remember, as a member of the General Counsel Club, you receive unlimited legal, business, credit and tax advice all year long.
Spiegel & Utrera, P.A. is a corporate law firm with its main offices located in Miami, Florida with offices throughout the United States. As a law firm, we do more than just help you form your business entity. We stand ready to help with the maintenance of your legal business entity! We will assist you with Incorporation Service, Trademarks, Copyrights, Estate Planning, Legal Counsel, Wills,Trusts, Agreements & Leases, Corporate & Company