WHAT ARE THE BOARD'S LEGAL RESPONSIBILITIES? 

Summary: The Board is ultimately responsible for the performance of the organization in all areas of its work. 

The following is neither intended nor to be construed as legal advice....

As a nonprofit, you need to ensure that your organization is in compliance with federal and state and federal law. The Minnesota Council of Nonprofits has compiled this checklist to help you remember some of the tasks that are required.

• File Form 990 with the IRS and the Minnesota State Attorney General's Office, Charities Division on an annual basis if the organization has more than $25,000 a year in financial activity (purely religious organizations exempt).
  
• Have an audit completed if total organizational revenue exceeds $350,000 in a year; file with the charities division of the State Attorney General's Office.
  
• Report change of name, address, or amendments to the Articles of Incorporation to the Secretary of State and pay fee for such changes.
  
• Make Forms 990 and 1023 available to the public.
  
• Report any Unrelated Business Income (UBI) to the State Department of Revenue and the IRS, and send tax payments with form 990T.
  
• Withhold taxes from employees, and send withholding payments to the IRS and MN Department of Revenue.
  
• Comply with laws that affect all employers including: ADA, OSHA, FLSA, FICA, COBRA, Family Medical Leave Act.
  
• Report any lobbying activities on Form 990, and register as a lobbyist if required by the Minnesota Ethical Practices Board.
  
• Give receipts to donors for contributions above $250.
  
• Collect sales tax on items sold by your organization, unless you are selling tickets to performances as a performing arts organization.
  
• Get court approval for distribution of assets.
  
• If the organization conducts charitable gambling activities, register with the gambling board.
  
• If the organization owns real property, pay property taxes or obtain an exemption from the county where the property is located.
  
• If the organization sends bulk mail, pay regular bulk mail rate or obtain a nonprofit bulk mail permit.
  
• Comply with the terms of donations; promises made to donors are legally binding. Funds given for specific projects or programs need to be kept separate.
  
• Comply with Minnesota state law regarding conflicts of interest.
  
• Make sure any professional fundraisers register with the State Attorney General's Office, Charities Division; file copy of contract.
  
• Obtain city permits for all cities in which the organization actively solicits door-to-door by paid solicitors.
  
• Record minutes of board and annual meetings
  

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