Charitable Solicitations Act Requirement
The Charitable Solicitations Act ensures that those who ask the general public for charitable contributions are legitimate organizations and that their donations will be used for the stated purposes of the organization. Charitable contributions do not include membership dues or government grants; they do include fundraising income.
The type of registration required depends upon the level of charitable contributions received by a charitable organization.
The Office of the Secretary of State needs current contact information for your unit! Upon change of officers, update your profile. It might be wise to have a generic unit email that remains linked to your unit and is passed on year to year. This would be your unit’s email address “of record.” During filing, Board of Directors’ addresses may be required. Per the Office of the Secretary of State, you may enter your unit’s (school) address.
Go to OneStop to get started: https://onestop.md.gov/
Under the Maryland Solicitations Act, Title 6, Business Regulation Article of the Annotated Code of Maryland, a charitable organization soliciting in Maryland generally must file documents with the Office of the Secretary of State. Registration is required prior to the commencement of solicitations. Solicitations take on many forms including, but not limited to, phone calls, texts, social media, emails, direct mail, and can oftentimes in person at your local grocery store or retail establishment. Registration is required before a charitable organization begins to solicit so that the public may access information they need to make a charitable contribution. The type of registration required depends upon the level of charitable contributions received by a charitable organization.
For purposes of determining the annual registration fee and the audit or review requirements, charitable contributions are computed on each form as follows:
IRS Form 990: add lines 1(b), 1(c), 1(d), 1(f), 8(a), and 9(a) on Part VIII (page 9). If the organization is a PTA, also add line 10(a).
IRS Form 990-EZ: add lines 1, 6(a), and 6(b) on page 1. If the organization is a PTA, also add line 7 (a). If any of the money reported on line 1 of the 990-EZ was received from a government grant or other government money, please notify us of that amount. A government grant or government money is not a charitable contribution.
COF-85: add lines 1, 6 (a), and 7 (a) on page 1. If the organization is a PTA, also add 8(a).
PTAs Receiving MORE THAN $25,000 in Charitable Contributions in Last Fiscal Year:
If an organization received in the most recently completed fiscal year MORE THAN $25,000 in charitable contributions (direct support from the public, private foundations, and corporate grants and gross revenue from special fundraising events), the documents described in the Instructions for Registration Statement (COR-92) and Additional Documentation Needed for Initial Registration must be submitted.
- Complete the initial full registration (COR-92) and submit financial information by using either the Secretary of State form COF-85 ($25,000 to $50,000) or IRS form 990-EZ ($50,000 to $200,000) or IRS form 990 (greater than $200,000).
- The Charitable registration is required to be renewed annually using the Annual Update of Registration Form.
PTAs Receiving LESS THAN $25,000 in Charitable Contributions in Last Fiscal Year:
If an organization received in the most recently completed fiscal year LESS THAN $25,000 in charitable contributions (direct support from the public, private foundations, and corporate grants and gross revenue from special fundraising events), the Exempt Organization Fund-Raising Notice is the only form required. There is no registration fee for organizations receiving less than $25,000 in contributions. The Exempt Organization Fund-Raising Notice requires an organization to select NEW (initial) or RENEWAL. From the notice:
This organization is exempt from registering as a charitable organization because it did not receive more than $25,000 in charitable contributions during the most recently completed fiscal year and does not have a professional solicitor. (Business Regulation Section 6-102(c)(1)(ii)(4))
DEADLINE: The registration and/or renewal is required by December 30; an extension may be filed. The form can be filed late, but an additional fee may be assessed. UNITS ARE ADVISED TO FILE EARLY!
A copy of the filing provided to the State of Maryland also must be provided to Free State PTA via Givebacks.
To check your status, go to: https://sos.maryland.gov/Charity/Pages/default.aspx
On the left side, select Charities Division Link, then select Search Charity and enter EIN.
Initial registration (for new units or ones being revived/re-incorporated): Charity Initial Registration User Guide
Annual update of registration/Maryland OneStop Applicant Guide: Charity Annual Registration User Guide
Questions? dlcharity_sos@maryland.gov or 410.974.5534