State Charity Registration
Charity Registration, sometimes called
a Permit to Solicit, is required to ask people and companies for donations in
the state of operation. In other words, without filing a Charity Registration,
a nonprofit cannot legally ask people for donations. Typically this
registration is filed at the office of the Attorney General.
In most cases, the organization files
for Charity Registrations after submitting its federal tax-exempt application.
However, some states require an IRS Letter of Determination to register as a
charity. Since the organization cannot legally ask for money until registering
as a charity, it’s imperative to apply for federal tax-exempt status as
quickly as possible.
Soliciting funds without a Charity
Registration puts the organization at risk for large fines from the state.
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