Introduction
Some other resources are listed below that provide information about NPO regulation. There are many other newsletters
and magazines that occasionally present news about changes in state and federal law, but the "major regulations
resources" listed here are primarily devoted to this topic, or are widely considered to be critical sources
of professional information. These are not guides to starting or operating a nonprofit organization, nor do they
typically provide general organization management information. Please note that while there are many introductory
books about starting a nonprofit corporation, not one of these addresses the issues of interstate operations, which
is what this site is primarily about.
Administrators of nonprofit organizations that are new to interstate fundraising often ask "Where can I
find a quick summary of all the state regulations I'll have to obey." Unfortunately, the answer is, "You
can't, because there isn't one, and if you aren't willing to take on a very large burden of work and responsibility
you'd probably best stay in your home state." However, if you want a quick overview, check out the "Summary of Regulations for the Cooperating
States" and "Annual Financial
Reporting" sections of the online Unified Registration Statement, or order the Giving
USA Update, "Annual Survey of State Laws Regulating Charitable Solicitations."
You can use these at least to add up the initial and annual registration fees. Note that these resources absolutely
do not give you sufficient information to begin interstate fundraising. For instance, you need to know what each
state requires you to include (or omit) from your solicitation, which neither of these provides. The crux of the
matter is that interstate operation in the present regulatory environment is expensive, time consuming, and more
of a burden than most small organizations can cope with. This must change, which is one
of the main reasons this site was created.
Note that there are three somewhat separate topics of law and regulation that are of particular note to nonprofit
organizations: fundraising, tax-exempt status, and charitable donations. The last topic, charitable donations,
is only indirectly important to charities, since it affects the donor rather than the donee, but donors often turn
to charities for advice. An organization established as a nonprofit corporation typically has corporate income
tax-exempt status automatically, but the organization must then obey the relevant laws and regulations to
maintain that status (and note that exemption from some taxes, such as sales tax, may require additional registrations).
Finally, fundraising includes the solicitation of charitable donations, both independently and with the
assistance of professional solicitors or advisors, for which each state has its own laws regulating operations
conducted within its jurisdiction.
Major Regulation Resources
- Standardized Registration Kit (includes the Unified Registration Statement)
- Type: Registration form
Updated: Intermittently, version 2.00 was released in December 1998.
Publisher: National Association of State Charities Officials and the National
Association of Attorneys General
Description: A single form that may be used by nonprofit organizations to register in most of the states
that require out-of-state solicitors to register, in lieu of their own individual state forms.
Order from: Download from the Internet; or get
paper copies from the National Federation of Nonprofits, 815 15th St NW #822, Washington, DC 20005-2201, 202-628-4380;
or the American Association of Fund-Raising Counsel, 25 W. 43rd St #820, New
York, NY 10036, 212-354-5799 x3007
Cost: Free by Internet download; may be a nominal copying charge from other sources
Online reference: From the URS Web site
Comments: The result of a major effort to simplify the registration process, although it still requires
fair bit work to complete and significant registration fees. However, using this is Heaven compared to the insane
Hell of completing each state's individual forms.
- Giving USA Update, "Annual Survey of State Laws Regulating
Charitable
Solicitations"
- Type: Newsletter
Updated: Annually
Publisher: American Association of Fund-Raising Counsel, Trust for Philanthropy
Description: Provides a bare-bones listing of state regulatory agency contact information, and registration
and filing requirements for nonprofit organizations and professional solicitors.
Order from: The publisher, 1-888-544-8464
Cost: $35
Online reference: None
Comments: An excellent and inexpensive quick-reference summary, but must be supplemented with further research.
- The Law of Fund-Raising
- Type: Book
Updated: latest edition published in 1995, with annual supplements since.
Author: Bruce R. Hopkins
Publisher: John Wiley and Sons, New York, NY
Description: Offers comprehensive summaries of each state's Charitable Solicitation Act. Discusses federal
regulations and various state legal issues such as due process rights, equal protection rights, restraint on regulators,
State's police power and other issues. The publisher states, "This is the first and only book to tackle the
increasingly complex maze of fund-raising regulations. It details federal and state laws, with an emphasis on administrative,
tax, and constitutional law. It also explains state and federal rules impacting the responsibilities of fund-raising
professionals, as well as explores compliance issues, prospective laws, and regulatory trends."
Order from: Bookstores [buy
it now]
Cost: $145, and $65 for each annual supplement
Online reference: From the publisher.
Comments: Consistently comes highly recommended, and is probably the premier such resource. Written primarily
for professional legal practitioners. Some of the annual supplements are out of print, so there will be changes
to some state's laws that you will be missing.
- Fund-Raising Regulation: A State-by-State Handbook of
Registration Forms, Requirements, and Procedures
- Type: Book and forms package, 2 volume set
Updated: Latest edition published in 1996, with annual supplements since.
Authors: Seth Perlman and Betsy Hills Bush
Publisher: John Wiley and Sons, New York, NY
Description: The publisher states, "Using an easy-to-follow format, this invaluable resource presents
all the necessary fund-raising registration information for nonprofit organizations, fund-raising counsel and professional
solicitors in every state. Contains a complete set of forms for each state that can easily be photocopied and an
"exceptions" packet for nonstandard forms. Includes material on what, where and when to file; annual
reporting requirements; essential definitions; exemptions for specific categories of exempt organizations; requirements
for cause-related marketing and much more."
Order from: Bookstores [buy
it now]
Cost: $345, supplements are $125 each
Online reference: From the publisher.
Comments: No further information.
- The Law of Tax-Exempt Organizations
- Type: Book
Updated: Latest edition published in 1998, with annual supplements likely.
Author: Bruce R. Hopkins
Publisher: John Wiley & Sons, New York, NY
Description: The publisher states, "Nonprofit organizations are subject to a complex set of regulations
and law that reflect the diverse organizations that are covered under these rules: charitable organizations, social
welfare organizations, memberships organizations, advocacy groups, and many more. These organizations face a special
set of rules governing everything from how they charter their organization, to their methods of measuring unrelated
business income, and how they lobby (and if, in fact, they should continue to be allowed to lobby). Nonprofit lawyers,
accountants, and directors need an easy-to-use reference work in understandable language to help them comprehend
the issues and make informed decisions."
Order from: Bookstores [buy
it now]
Cost: $155.00
Online reference: From the publisher.
Comments: No further information.
- State Tax Trends for Nonprofits
- Type: Periodical
Updated: Quarterly
Publisher: National Council of Nonprofit Associations, 1001 Connecticut
Avenue, NW, Suite 900, Washington, DC 20036.
Description: The publisher states, "A quarterly newsletter on the latest tax trends affecting nonprofits.
National tax issues also are periodically covered in this publication. State Tax Trends for Nonprofits is the only
newsletter that reports, state by state, on the entire spectrum of charitable organization tax issues."
Order from: From the publisher only.
Cost: $20 each/$75 per year (4 issues)
Online reference: From the publisher.
Comments: No further information.
- Exempt Organization Tax Review
- Type: Periodical.
Updated: Monthly.
Publisher: Tax Analysts, 6830 N. Fairfax Drive, Arlington, VA 22213. (800) 955-2444.
Description: The publisher states, "Each issue contains the latest news on significant developments
from the IRS, Treasury, and Capitol Hill, along with insightful `special reports' written by leading EO practitioners.
The EOTR is an excellent source for summaries of all letter rulings dealing with EO subjects, and many full text
documents. We also bring you interviews with EO newsmakers, the full text of pertinent IRS guidance, EO tax news
from all 50 states and from around the world, and updates on current EO litigation."
Order from: From the publisher.
Cost: $649 per year (12 issues).
Online reference: http://www.tax.org/products/specialty/eotr.htm
Comments: A subscription includes weekly receipt of "Exempt
Organization Tax Review Weekly," which can also be subscribed separately for $99/52 issues.
- The Philanthropy Monthly
- Type: Periodical
Updated: 10 issues annually
Publisher: NonProfit Report Inc., P.O. Box 989, New Milford, CT 06776. (860) 354-7132.
Description: Provides commentary on not-for-profit accounting, compensation and benefits, tax news, state
and IRS regulation, Congressional legislative developments, state and federal litigation on non-profits, and academic
research. Intended users: Executive directors, accountants, lawyers, fundraisers, grant makers, trainers, and consultants.
Articles concentrating on general issues in philanthropy and tax and legal aspects of fund raising for grantmakers
and grantseekers.
Order from: Philanthropy Monthly.
Cost: Annual subscription, $84; discounted price for 501(c)(3) charities, $65.
Online reference: None.
Comments: Philanthropy Monthly has a loose-leaf service that sets out most of the state reporting requirements,
although it is not as up to date as some would like.
- The Nonprofit Counsel
- Type: Periodical
Updated: Monthly.
Publisher: John Wiley & Sons, Inc. attn: Subscription Department. 605 Third Avenue. New York, NY 10158-0012
(800) 825-7750 or (212) 850-6347. <subinfo@wiley.com>
Description: The publisher writes, "In eight fact-filled pages each month, you'll find up-to-the-minute
articles on subjects like: federal, state, and local challenges to tax exemption, lobbying restrictions, court
ruling related to unrelated business income, emerging opportunities for nonprofits, and more."
Order from: From the publisher only.
Cost: Annual subscription, $220
Online reference: From the
publisher.
Comments: Edited by Bruce R. Hopkins.
- Nonprofit Issues
- Type: Periodical
Updated: 11 issues annually.
Publisher: Nonprofit Issues, Inc. P.O. Box 482. Dresher, PA 19025. (215) 542-7547, 1-888-NP-Issue. <info@nonprofitissues.com>
Description: The publisher writes, "Written for nonprofit executives and their advisors, we provide
clear, concise and comprehensive coverage of real legal issues that affect nonprofits everyday."
Order from: From the publisher only.
Cost: One year (11 issues), $129 for nonprofits, $149 standard rate.
Online reference: From the publisher.
Comments: None.
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Related Sites
Nonprofit Organization Law and Regulation
- Commercial Service Providers That Offer Free Online Resources
- NPOs That Assist Other NPOs
- Government Sites
- Other Sources
- NPO law discussion mail-lists
- Email newsletters
- Directories of NPO Advisors (e.g. lawyers, accountants, consultants)
General Law Resources
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Starting a Nonprofit Organization
This Web site is not especially informative for those interested in starting a nonprofit organization. It primarily
addresses the issues of state regulation encountered by existing NPOs that wish to operate across several states.
However, the following resources will prove useful for organizations just starting out.
- Print Books
- Online References
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| Online Compendium of Federal and State Regulations for U.S. Nonprofit Organizations |
http://www.muridae.com/nporegulation/
|
