Skip Maine state header navigation

Agencies | Online Services | Help

Skip First Level Navigation | Skip All Navigation

Charitable Solicitations - Frequently Asked Questions

"What do we have to count as a 'contribution'? Does it include everything we report on Part I, line 1 of the IRS Form 990?"

" 'Contribution' is defined as: "The promise or grant of any money or property of any kind or value, including the payment or promise to pay in consideration of a sale, performance or event of any kind which is advertised in conjunction with the name of any charitable organization. This definition does not include:

  1. Payments by members of an organization for membership fees, dues, fines or assessments, or for services rendered to individual members, if membership in the organization confers a bona fide right, privilege, professional standing, honor or other direct benefits, other than the right to vote, elect officers or hold offices;
  2. Money or property received from any governmental authority; or
  3. Money or property received from a foundation established for charitable or educational purposes."

"Why must we report information on the Annual Fund-raising Activity Report ('AFAR') on a calendar-year basis, when our fiscal-year is different?"

"The purpose of the AFAR is to facilitate comparison and cross-validation of data, data which ultimately will be invoked to inform decisions made by the public. Use of a uniform reporting period enables comparison between reports filed by Charitable Organizations and their Professional Solicitors, Professional Fund-raising Counsel and Commercial Co-venturers. It also allows our office to compare the information you have submitted on the AFAR with that which you have filed on your IRS Form 990, which normally is based on the calendar-year."

"What's a good charity that I should give to, and which will use my donation well?"

"While our office cannot recommend a specific charity, we can provide you with information to consider as you make your decision. You may wish to consult the following websites:

Under Maine law (Title 9, Section 5011-A, Sub-section C), an individual working for a business that is paid by the charity to solicit contributions on its behalf must disclose to you, before you actually make the donation, that it is a paid professional fund-raiser, and that you can contact our office to find out how much of your donation actually would go to the charity. Our 'Annual Report on Charitable Fundraising Activity' is posted under 'About this Program'; just click on 'Publications'."

 

Last Updated: June 20, 2008