What are the laws concerning the disclosure of the sources of funding for a nonprofit organization?

In California, nonprofits must follow certain laws about disclosing the sources of their funding. Under California Corporation Code Section 5233, nonprofit organizations must make a full disclosure of their sources of funding when making statements about the organizations to the public. This rule applies to any information related to the nonprofit that is published, broadcast, or otherwise distributed or presented to the public. In addition, California law requires nonprofit organizations to list the names of their sources of funds when filing the Form 990-series return with the IRS. This information must include names and addresses of donors, foundations, government sources, and any other contributions received. This information must be listed in the Form 990-series return’s “Schedule B” section. Finally, nonprofit organizations must maintain a record of all funds they receive, including the names and addresses of all donors. This includes funds received from individuals, grant awards, investments, and any other source. The nonprofit must retain the records for at least three years from the date the money was received. In summary, nonprofit organizations in California must make a full disclosure of their sources of funding when making statements about their organizations to the public and when filing the Form 990-series return. They must also maintain a record of all funds received for at least three years. Following these requirements will help ensure that nonprofit organizations maintain a high level of transparency with their donors and the public.

What are the laws concerning the disclosure of the sources of funding for a nonprofit organization?

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