Section 20. Initial registration

Part II. Rules Governing Charitable and Civic Organizations

A. Documentation required for registration. Except as provided in subsection B of this section, every charitable organization subject to registration, pursuant to § 57-49 of the Code of Virginia, shall file with the commissioner an initial registration statement on a form prescribed by the commissioner or the Unified Registration Statement, with all questions answered, with two signatures, and with all attachments required by Chapter 5 (§ 57-48 et seq.) of Title 57 of the Code of Virginia. The completed registration statement shall include the following attachments:

1. Fee. The appropriate fee in the amount prescribed in subsection E of § 57-49 of the Code of Virginia, made payable to "Treasurer of Virginia";

2. Financial report. A copy of one of the following:

a. For all organizations with prior financial history:

(1) The completed IRS Form 990, 990-PF, or 990-EZ, for the past fiscal year, with all schedules, as required by the IRS, except Schedule B, and with all attachments, as filed with the IRS. The form must be signed or, if the form is filed electronically with the IRS, the organization must submit a copy of the IRS e-file signature authorization;

(2) Certified audited financial statements for the past fiscal year; or

(3) If the annual income of the organization qualifies the organization to file Form 990-N with the IRS, a certified treasurer's report for the past fiscal year.

b. For a newly organized charitable organization that has no financial history, a budget for the current fiscal year shall be filed;

3. Key personnel. A listing for the current fiscal year of the officers, directors, trustees, and principal salaried executive staff officer, including their names, addresses, and titles within the organization;

4. Contracts. A signed copy of all current contracts with any professional fund-raising counsel and any professional solicitor, as required in § 57-54 of the Code of Virginia;

5. Governing documents. If the organization is incorporated, a copy of the certificate of incorporation, articles of incorporation, and any subsequent amendments to those documents; if unincorporated, any governing documents;

6. Bylaws. A copy of the organization's bylaws and any subsequent amendments to that document; and

7. Tax exemption. If the charitable organization is listed with the IRS as tax exempt, a copy of the IRS determination letter and any subsequent notifications of modification; if exempt status is pending, a copy of the completed IRS application form as filed with the IRS.

B. Consolidated or "joint" registration. A statewide or national charitable or civic organization may file a consolidated, or "joint," registration with the commissioner, as described in subsection B of § 57-49 of the Code of Virginia, on behalf of its local chapters, which shall not be considered complete unless accompanied by all supporting documentation specified in subsection A of this section, if:

1. The parent organization shares a group IRS exemption status with its chapters and all financial reporting is consolidated in the parent organization's IRS Form 990, Form 990-PF, or Form 990-EZ, or in its certified audited financial statements; if the organization's annual income qualifies the organization to file Form 990-N with the IRS, in its certified treasurer's report; or

2. Each chapter has its own separate IRS exemption status, but the organization's articles of incorporation or bylaws state that all financial matters are managed by the parent organization and all financial reporting is consolidated in the parent organization's IRS Form 990, Form 990-PF, or Form 990-EZ, or in its certified audited financial statements; if its annual income qualifies the organization to file Form 990-N with the IRS, in its certified treasurer's report.

C. Standard of reporting contributions. Every charitable organization subject to registration, pursuant to § 57-49 of the Code of Virginia, shall:

1. Report the gross contributions when the solicitation does not include goods or services;

2. Report as gross contributions the valuation of any goods or services solicited for resale. Such valuation shall be determined as prescribed in the American Institute of Certified Public Accountants standards for reporting donated goods and services;

3. Report the gross contributions when the solicitation includes the sale or donation of tickets for use by third parties, or when the goods or services sold are of nominal value; and

4. Report contributions, which may be for net contributions only, when received from special events including, but not limited to, dinners, dances, carnivals, raffles, and bingo games, when the goods or services offered are of more than nominal value in return for a payment higher than the direct cost of the goods or services provided.

Historical Notes

Derived from VR115-06-01 § 2, eff. March 14, 1991; amended, Volume 18, Issue 21, eff. August 1, 2002; Volume 32, Issue 03, eff. November 5, 2015.

Statutory Authority

§ 57-66 of the Code of Virginia.