Charity walks are a great way to raise money or bring awareness to a cause, however, certain rules must be followed.
Charity walks are a great way to support a cause, raise money or bring awareness to a cause. In New Jersey, charitable organizations and their fund-raising activities are controlled by the Charitable Registration and Investigation Act (CRI Act) N.J.S.A. 45:17A-18. The CRI Act was enacted in 1994.
The Purpose of the CRI Act
The Charitable Registration and Investigation Act, (CRI Act) was developed to protect New Jersey citizens from fraudulent and misleading charity operations. Therefore, the fund-raising activities and proceeds of any charitable organization, professional fundraiser, solicitor or similar group must be made public to the citizens of New Jersey, whose funding contributed to the charity.
Registration
Any charitable organization, commercial co-venture, or fundraiser based, soliciting or operating in New Jersey or any organization with a tax-exempt status from the IRS is required to register with the Division of Consumer Affairs Charities Registration Section before a charity function is conducted, unless the organization is exempt, according to the CRI Act.
Exempt Organizations
Charitable organizations with yearly gross donations of $10,000 or less, whose fund-raising activities or solicitations were provided by unpaid volunteers, an individual or group are considered exempt. However, if the organization exceeds $10,000 in any given year, it must register within 30 days. Under certain conditions, some accredited educational institutions, religious organizations, and libraries may also be exempt from registering.
Registration Fee
Registration fees are based on the amount of contributions an organization receives on an annual basis.
$10,001 - $25,000 = $30 fee
$25,001 - $100,000 = $60 fee
$100,001 - $500,000 = $150 fee
$500,000 and over = $250 fee
Organizations receiving contributions of less than $10,000 and choose to register must also pay a $30 registration fee.
First -time Registration and Forms
eCharitable organizations registering for the first time must complete a CRI-200 short form if it received less than $25,000 in donations or a CRI-150I or CRI-150IC long form if it received more than $25,000 in donations. Additionally, registrations must include: copies of Form 990 if it was required by the IRS, copies of certified audits, (for long form filers receiving more than $250,000) any fund-raising contracts along with the registration fee.
Registration Extensions
Charitable organizations receiving less than $10,000 cannot request an extension of time to register and must file by the due date. Organizations receiving more than $10,000 in donations that are unable to file by the due date can request an extension of time by using form CRI-400, or by sending a letter to the New Jersey Charities Registration Section. The registration must include: name of charity, registration number, reason for the extension request and registration fee. The letter or form must also be postmarked by the original due date.
Late Fees
A late fee of $25 will be accessed for any registration renewal filed after the due date. The late fee applies to any charitable organization regardless of the amount of contributions received, or the type of form filed.
Tags: charitable organization, fund-raising activities, less than, more than, than donations, amount contributions, awareness cause
