Charitable Trust Registration Statement (Page 3 of 4) in pdf

SUPERVISION OF

CHARITABLE TRUSTS & TRUSTEES ACT

MINNESOTA STATUTES, SECTIONS 501b.33-501b.45

INFORMATION SHEET

Upon request, forms can be made available in alternate formats.

The Minnesota Supervision of Charitable Trusts and Trustees Act (Minn. Stat. §§ 501B.33 to 501B.45)

directs the Office of the Attorney General to be the registry for charitable trusts and foundations. A charitable

trust must file a registration statement, a copy of the instrument which created the trust, an annual report and

applicable filing fees. The Act empowers the Attorney General to enforce its provisions. It also requires

charitable trusts and foundations to notify the Attorney General of any court proceeding in which they become

involved.

WHO MUST FILE:

Charitable trusts must register and file annual reports. A charitable trust occurs when a fiduciary or trust

relationship with respect to property is created, if there was an intent to create this relationship, and if the trustee

is required to use the property for charitable purposes. A charitable purpose exists if there is a charitable,

benevolent, philanthropic, religious, social service, educational, eleemosynary or other public use or purpose.

In Minnesota, money give to or held by a charitable organization is deemed to create a charitable trust even if

the word “trust” is not used by the donor. Therefore, organizations that are charitable trusts include private

foundations, nonprofit corporations and some unincorporated organizations that have a charitable purpose or

that hold assets for a charitable purpose and public trusts.

REGISTRATION:

Unless exempt (see “Exclusions” below), any charitable trust that has gross assets of $25,000 or more at any

time during the year must register with the Attorney General within three months after the charitable trust first

receives the trust property. The charitable trust must file a registration statement on a form prepared by the

Attorney General, a copy of the organization’ s articles of incorporation, trust document, will and testament or

other similar document which created the trust, including any amendments, and a $25 registration fee.

ANNUAL FILING:

A registered charitable trust must file a copy of its federal tax or information return (i.e., IRS Form 990, 990-PF,

990-EZ or 1041), including all schedules and amendments, submitted by the charitable trust to the Internal

Revenue Service for the period covered in the trust’ s accounting year last completed and a $25 filing fee.

If the charitable trust does not file a federal tax or information return, it must file a balance sheet and statement

of income and expenses for the accounting year last completed and a $25 filing fee. An organization that does

not file a return wit the IRS may use a Charitable Trust Financial Report form, available upon request, to meet

the filing requirement or the organization may use another format of its choice.

The returns or reports are to be filed annually on or before the fifteenth day of the fifth month following the

close of the charitable trust’ s taxable year. The time for filing may be extended by application to the Attorney

General for up to six months.

Charitable Trust Registration Statement Page 3