A common question about state charitable solicitation registration is what the penalties are for noncompliance.
States have created charitable solicitation registration in order to provide their residents transparent information about the charities that solicit within their state. They take these rules seriously and expect compliance usually prior to solicitation or within 30 days of the start of solicitation.
One issue that comes up is whether you are calling attention to your organization if you begin to register when you have not in the past and should have. Bear in mind that these are state regulations and carry that weight. Compliance is important. States want you to comply. Pennsylvania adds in their description of late fees that “organizations electing to voluntarily register are not subject to late fees.”
Regardless of penalties, you should file where required. Penalties grow steeper for willful violations of the law. Also, when you file, your information must be accurate. The biggest penalties are reserved for those who knowingly file incorrect or incomplete information because accurate information protects states and their residents from fraud.
The bottom line is that charities need to know what the state registration requirements are, how they apply to their organization, and how to follow them. Capstone Charity Resources is here to help you file on time so you can avoid these penalties.
What happens if I don't register?
The penalties for not registering vary, according to the state. Generally the penalties are steep fines with additional possible consequences for the organization. Sometimes, there are attorney fees and other costs involved when bringing your charity into compliance if you have missed filing deadlines.
For more information, visit us at www.capstonecharityresources.org
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