Monthly Archives: May 2017

Is My Nonprofit Organization Required to Have an Audit?

Is your organization required to submit an audit with your state charity registration or renewal?? Simply stated, “Yes”!! Over half of the states that require state charity registration and annual financial reporting do require audited Financial Statements by a independent CPA in addition to the IRS 990 reporting.

Most states base their requirements on Total Revenue while the others base theirs on Total Contributions while some exclude government agency fees & grants, foundation grants, membership fees and investment income.

State Financial Statements Review Audit
Alabama No Audit Required
Alaska No Audit Required
Arizona Veteran’s Organizations Only – No Audit Requirement
Arkansas Revenue > $500K
California Revenue > $2M
Colorado No Audit Required
Connecticut Revenue > $500K *
Delaware
DC No Audit Required
Florida $500K to 1M Contributions > $1M
Georgia Revenue < $500K $500K to 1M Revenue > $1M *
Hawaii Revenue > $500K *
Idaho No Charity Registration Required
Illinois Contributions > $300K **
Indiana No Charity Registration Required
Iowa No Charity Registration Required
Kansas Contributions > $500K
Kentucky No Audit Required
Louisiana No Audit Required
Maine No Audit Required
Maryland $300K to $750K Contributions > $750K *
Massachusetts 200K to $500K Revenue > $500K
Michigan $275K to $525K Contributions > $525K *
Minnesota Revenue > $750K
Mississippi $250K to $500K Contributions > $500K *
Missouri No Audit Required
Montana No Charity Registration Required
Nebraska No Charity Registration Required
Nevada No Audit Required
New Hampshire Revenue > $500K to $1M Revenue > $1M
New Jersey Revenue > $500K
New Mexico Revenue > $500K
New York $250K to $500K Revenue > $500K
North Carolina No Audit Required
North Dakota No Audit Required
Ohio No Audit Required
Oklahoma No Audit Required
Oregon No Audit Required
Pennsylvania  $100K to $300K Contributions > $300K *
Rhode Island Revenue > $500K
South Carolina No Audit Required
South Dakota No Charity Registration Required
Tennessee Revenue > $500K *
Texas Veteran’s and Police Organizations Only – No Audit Requirement
Utah No Audit Required
Vermont No Charity Registration Required
Virginia No Audit Required
Washington No Audit Required
West Virginia $100K to $200K Contributions > $ 200K *
Wisconsin $300K to $500K Contributions > $500K *
Wyoming No Charity Registration Required
* These states excluding certain types of revenue such as government agency fees & grants,
foundation grants, membership fees and investment income.
** $25K if professional fundraiser usedAs of 4/30/17

Please contact us with any comments, questions or concerns at (800) 780-6027 or support@SimpleCharityRegstration.com.

North Dakota Corporate Registration/Qualification

Out of state charitable corporations must obtain a certificate of authority from the Secretary of State office if they conduct activities in North Dakota which includes soliciting for donations.  A non-profit corporation can do this by filing a Certificate of Authority Foreign Corporation Application (SFN 13100).

A foreign corporation using a name other than its corporate name must also file the Trade Name Registration Form (SFN 13401) and renew annually.

You will need to have a Registered Agent for filing the Certificate of Authority Foreign Corporation Application which can be provided by a service or an individual residing in North Dakota. If your organization is registering nationwide you are going to need registered agents for several states so we recommend using a national agency so that you only have one point of contact for that service. Here is the link to the blog we posted earlier in the year on the role of Registered Agents in state charity registration process.

For more information on corporate registration, review the North Dakota Secretary of State’s website or you could read up on Corporate Registration and Registered Agents on our blog.

Please contact us with any comments, questions or concerns at (800) 780-6027 or support@SimpleCharityRegstration.com.

Oregon Corporate Registration/Qualification

Out-of-state charitable corporations must register prior to solicitation with the Department of Justice Charitable Activities Section.  Those forms can be found on SimpleCharityRegistration.

Nonprofit corporations organized in another state which solicit, hold assets or do business in Oregon must also register with the Oregon Secretary of State Corporations Division. They must file an Application for Authority to Transact Business-Nonprofit which can be submitted by mail or online at the Oregon Business Registry.  The annual renewal must be done online by February 1st of each year.

You will need to have a Registered Agent for service of process filing as a Foreign Non-profit can be provided by a service or an individual residing in Oregon. An entity cannot designate itself as its own registered agent.  If your organization is registering nationwide you are going to need registered agents for several states so we recommend using a national agency so that you only have one point of contact for that service. Here is the link to the blog we posted earlier in the year on the role of Registered Agents in state charity registration process.

Please contact us with any comments, questions or concerns at (800) 780-6027 or support@SimpleCharityRegstration.com.

DC Corporate Registration/Qualification

Nonprofits must file for a basic business license in DC which in lieu of completing a charity registration application.  This includes completing corporate registration with the FN-1 Form as a foreign entity conducting business in DC. The best way to register in DC is online through the Department of Consumer and Regulator Affairs (DCRA), Corporations Division, CorpOnline Web Portal.

It is best to register through their portal as you can track your progress from the corporate registration to the tax exempt application and then on to registering your non-profit as a business with the BBL-EZ Form.

You will need to have a Registered Agent for filing both as a Foreign Non-profit and for completing the BBL-EZ application both can be provided by a service or an individual residing in DC. If your organization is registering nationwide you are going to need registered agents for several states so we recommend using a national agency so that you only have one point of contact for that service. Here is the link to the blog we posted earlier in the year on the role of Registered Agents in state charity registration process.

If you plan on using a name in DC other than your registered corporate name, you also will need to register that Trade Name.

Please contact us with any comments, questions or concerns at (800) 780-6027 or support@SimpleCharityRegstration.com.

Colorado Corporate Registration/Qualification

Every charitable organization that solicits contributions in Colorado must complete the charity registration process before engaging in any solicitation activities. This includes registering your out-of-state (foreign) nonprofit with the Colorado Secretary of State by filing a “Statement of Foreign Entity Authority“.

You will need to have a Registered Agent for filing the Statement of Foreign Entity Authority and the charity registration application both can be provided by a service or an individual residing in Colorado. If your organization is registering nationwide you are going to need registered agents for several states so we recommend using a national agency so that you only have one point of contact for that service. Here is the link to the blog we posted earlier in the year on the role of Registered Agents in state charity registration process.

All of Colorado’s forms must be filed online including the Charity Registration. More information about the process can be found on the Colorado Secretary of State’s website.

Please contact us with any comments, questions or concerns at (800) 780-6027 or support@SimpleCharityRegstration.com.

California Corporate Registration/Qualification

Out of state charitable corporations must register or qualify with the California Secretary of State’s office if they do business in California which includes soliciting for donations.  A non-profit corporation can do this by filing a Statement and Designation by Foreign Corporation (Form S&DC-S/N).

You will need to have a Registered Agent for filing the Statement and Designation by Foreign Corporation which can be provided by a service or an individual residing in California. If your organization is registering nationwide you are going to need registered agents for several states so we recommend using a national agency so that you only have one point of contact for that service. Here is the link to the blog we posted earlier in the year on the role of Registered Agents in state charity registration process.

After obtaining the corporate registration approval, we recommend that the organization files for state tax exemption with the California Franchise Tax Board.  The Submission of Exemption Request (Form FTB 3500A) should be filed so that the organization will be recognized as a tax exempt entity and will not have to pay any California franchise taxes.

For more information on corporate registration review the California Secretary of State’s website or you could read up on Corporate Registration and Registered Agents on our blog.

Please contact us with any comments, questions or concerns at (800) 780-6027 or support@SimpleCharityRegstration.com.

State Charity Registration Made Easy – Webinar

Simple Charity Registration is an affordable form fill software designed to reduce the amount of time and resources it takes your organization to fulfill your state charity compliance requirements.

How can SimpleCharityRegistration.com help you accomplish your mission?

4 Simple Steps:

  1. Identifying up front which states your organization will need to register in and in which states you may be exempt from registration requirements
  2. Collecting all information necessary to file up-to-date state specific forms (registration, renewal, exemption, or extension), with instructions and resources all in one place
  3. Sending email reminders of renewal and annual financial due dates, saving you from missed deadlines and penalties
  4. Storing your data from one year to the next, available to you at any time to add a new state or renew a previous one, keeping you compliant

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4 Simple Steps to Compliance Video

Simple Charity Registration is designed to allow you to do your registration in parts as you have the information available, making now the perfect time to get started on your registrations and renewals while waiting for your financials to be complete.

Simple Charity Registration looks forward to helping you spend more of your valuable resources on your mission while staying compliant.

Join Us for a free, 30-minute webinar on Thursday, July 20th at 2:00 pm ET.

Register Now

 

Here are some other resources that will be helpful throughout the registration process: GuideStar’s blog on State Registration Requirements for Fundraising, our blogs on what to prepare for registration and how Simple Charity Registration can help.

Please take a minute to visit our website www.SimpleCharityRegistration.com and create a free account or contact us to learn more at 800.780.6027 or email us at support@simplecharityregistration.com with any questions.

Thank you
Your Simple Charity Registration Support Team