Are there any special reporting requirements for donors to a nonprofit organization?

In South Dakota, there are some special reporting requirements for donors to a nonprofit organization. Donors making contributions of greater than $250 must receive a written acknowledgment from the nonprofit organization that includes the amount of the donation and a statement that no goods or services were provided by the organization in exchange for the contribution. This written acknowledgment must be provided to the donor by the nonprofit organization to be used as proof of donation for tax purposes. In addition, South Dakota law requires nonprofit organizations to keep accurate records of their finances and accounts, including contributions, and keep these records for at least five years. Finally, any donations made to the nonprofit organization must be reported to the state’s attorney general’s office and a copy of their financial statements must be submitted to the attorney general’s office annually. These financial statements must be accompanied by a copy of the nonprofit’s budget and a list of any board members. These may be submitted electronically or in paper form. Following these reporting requirements not only helps to ensure that donations are properly accounted for, but helps to promote transparency in the nonprofit organization and show that it is financially accountable to its donors and the state.

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Are there any special reporting requirements for donors to a nonprofit organization?

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