These updates reflect recent legislation.
Nevada Amends Charitable Donation Laws. The Nevada legislature recently passed Senate Bill 62 which revises Nevada’s charitable donation laws. This article from The State AG Report summarizes how each of these bills will affect current law. As Senate Bill 62, specifically, will modify the charitable registration requirements for organizations soliciting in the state, requiring them to register with the Secretary of State’s office as a tax-exempt organization and provide information about how donations are used.
The following guidelines provide background information on the most common types of filings and the related exemptions in Nevada.
In Nevada, any charitable organization wishing to solicit funds within Nevada must file a Charitable Solicitation Registration Statement (“CSRS”) with the Nevada Secretary of State prior to soliciting any such fundraising. See Nev. Rev. Stat. § 82A.025(1) and 100. Groups which are “established for and serving bona fide religious purposes,” however, are exempted from filing a CSRS with the Nevada Secretary of State. See Nev. Rev. Stat. 82A.025(2). Nev. Rev. Stat. § 82A.110 provides other exemptions from filing a CSRS to non-religious charitable organizations, including soliciting to fifteen or fewer people in Nevada. Exemption from filing a CSRS is not automatic; organizations eligible for an exemption must annually declare the specific exemption by filing a declaration with the Nevada Secretary of State. See Nev. Rev. Stat. § 82A.110. Therefore, if you are a 501(c)(3) religious organization soliciting in Nevada, you must file a declaration of exemption from filing a CSRS with the Nevada Secretary of State. Forms for both the CSRS and a declaration of exemption can be found on the Nevada Secretary of State website (link provided below). The correct form is dependent upon whether your organization is required to register as a nonprofit with the Nevada Secretary of State (discussed below).
If a foreign, non-religious charitable organization does not need to register as a foreign business with the Nevada Secretary of State (discussed below), then additional information is required when completing a CSRS, including the purpose of the organization and the names and addresses of officers, directors and trustees. See Nev. Rev. Stat. § 82A.100(4)(j).
In Nevada, to solicit includes requesting a donation by any means. See Nev. Rev. Stat. § 82A.070.
Unlike in other states, Nevada does not require a charitable organization to appoint a “registered agent” in the state as part of the organization’s charitable registration.
Nevada Solicitation Disclosure Requirements: Nev. Rev. Stat. § 82A.200
Nevada requires organizations to include specific statements whenever the organization is requesting donations (also called “charitable solicitation”), unless an exemption applies. See Nev. Rev. Stat. § 82A.200. Religious organizations generally are not required to include this statement (See Nev. Rev. Stat. § 82A.210), but posting the language is often a best practice to build trust with donors and to avoid any potential litigation regarding applicable exemptions. Below is sample language to use with charitable solicitations in this state:
This solicitation is made on behalf of *ORG*, located at *ADDRESS OF HEADQUARTERS*. *ORG* is organized to *PURPOSE*. For more information about *ORG*, call *TELEPHONE* or visit *WEBSITE*. Contributions to *ORG* *ARE OR ARE NOT* tax-deductible for federal income tax purposes.
A religious or non-religious charitable organization intending on establishing itself as a Nevada domestic nonprofit corporation must register with the Nevada Secretary of State. See Nev. Rev. Stat. § 82.081 – 82.086. An attorney can assist charitable organizations properly register with this state.
An out-of-state religious or non-religious nonprofit organization intending on soliciting in Nevada may have to register as a foreign business with the Nevada Secretary of State depending on the type and volume of activities the organization has in this state. See Nev. Rev. Stat. § 82.523. These foreign business registration requirements are separate from the charitable registration, however, and not every out-of-state organization must register. An attorney can assist the organization in determining whether its connections with this state are significant enough to trigger the foreign business registration requirement. Examples of activities that might trigger this requirement include having employees physically located in the state, conducting programs in the state, and having an office in the state.
All 501(c)(3) tax-exempt organizations are not required to obtain a Nevada business license from the Nevada Secretary of State. See Nev. Rev. Stat. § 76.105(6)(b).
It is also important to consider whether applying for sales and use tax and property tax exemption would be appropriate for your organization. The Nevada Department of Taxation website has more information about sales and use tax exemptions and property tax exemptions. An accountant or attorney can provide specific answers and the most up-to-date information regarding your organization’s eligibility.
Foreign Business Registration (called “Qualification to Do Business”): https://www.nvsos.gov/sos/home/showdocument?id=653
Charitable Organization Registrations: https://www.nvsos.gov/sos/licensing/charitable-organizations
Information about State Property Tax: https://tax.nv.gov/uploadedFiles/taxnvgov/Content/Home/Features/2017
This resource contains general educational information related to legal concepts, but this information does not constitute legal advice. Anyone seeking legal advice is strongly encouraged to consult with a licensed attorney regarding any of the matters discussed herein. Although licensed attorneys work with Napa Legal, Napa Legal is not a law firm and does not undertake legal representation on behalf of any clients. Further, no licensed attorney working with or on behalf of Napa Legal agrees to undertake legal representation on behalf of any client unless the terms of such representation are set forth in a separate, written representation agreement.