501(c)(3) non-profit organizations that have secured tax-exempt status from the IRS often ask for donations from supporters. These organizations must file certain forms with the state of Maryland if they wish to ask people or other organizations to donate money.
When Must a 501(c)(3) Organization File?
In Maryland, you need to register, annually, per fiscal year, to raise funds (“charitable solicitations”) when your gifts exceed $25,000, or when you use a fundraising service or a professional solicitor.
If your gifts do not meet $25,000 – or if you are a religious organization, affiliated with a religious organization, or soliciting contributions only from your own members – then you do not need to register for Charitable Solicitations. You are exempt from the registration requirement. However, you still must annually file for your exemption.
$25,000 or More: How to Register for Charitable Solicitations in Maryland
An organization that received $25,000 or more in charitable funds, or uses a professional solicitor, must complete form COR-92 (Registration Statement for Charitable Organizations).
http://www.sos.state.md.us/Forms/COR-92.pdf
You will have to include information about the organization along with the form.
There is an annual fee for registering.
|
Level of Charitable Contributions |
Annual Registration Fee |
|
Less Than $25,000, but using a professional solicitor |
$50 |
|
At least $25,000 but less than $50,001 |
$50 |
|
At least $50,001 but less than $75,001 |
$75 |
|
At least $75,001 but less than $100,001 |
$100 |
|
At least $100,001 but less than $500,001 |
$200 |
|
$500,001 and above |
$300 |
An organization that previously filed form COR-92 must annually fill out an Update Form.
http://www.sos.state.md.us/Forms/AnnualUpdateForm.pdf
The annual Update form is due within 6 months after the end of your fiscal year. Failure to file the Update will result in a late fee penalty of $25 per month as well as any applicable fees from the registration fee schedule.
Less Than $25,000 or Otherwise Exempt: How to File for Exemption in Maryland
An organization that received less than $25,000 in charitable funds, or is otherwise exempt as described above, must file for exemption using form SS-208 (Exempt Organizations Fundraising Notice).
http://www.sos.state.md.us/Forms/ExemptOrganizationFund.pdf
This Exemption Form must be filed within 6 months after the end of your fiscal year.
If your organization previously filed for Exemption, you must also annually update your Exemption filing as long as you continue to receive less than $25,000 in charitable funds.
This Exemption renewal must also be filed within 6 months after the end of your fiscal year.
Saving Time When Filing in Multiple States
As a majority of states require registration, the MultiState filer project is available to streamline the registration process and avoid duplication between the states. http://multistatefiling.org
Maryland participates in the MultiState filer project along with most other states. Washington D.C., Virginia, West Virginia, Delaware and Pennsylvania all participate in the project.
Therefore, when filing is required in Maryland, if your organization has plans to begin receiving funds from other states, you may wish to consider the MultiState filer. Check the other states’ laws to see if you must file in those states, and if they accept the MultiState filer.
Must I Also Register With the IRS Before Fundraising?
No, but your 501(c)(3) organization must file its annual federal tax return, called the Form 990. A copy of your Form 990 must be attached to your Maryland Charitable Solicitations filing. There are different versions of Form 990. The appropriate Form 990 for your organization depends on your gross receipts of annual funds per fiscal year.