The bill amends Section 5-53.1-4 of the General Laws concerning the reporting requirements for charitable organizations. It raises the threshold for organizations that must submit an audited financial statement from an annual gross income of $500,000 to $1,000,000. Charitable organizations with an income of $1,000,000 or less can meet the financial reporting requirements by providing either an IRS Form 990 or specific financial statements compiled by an independent accountant. Additionally, the director has the authority to require audited statements from organizations with budgets of $1,000,000 or less if there is reasonable cause to suspect a violation of the law.

The bill also introduces provisions for parent organizations with affiliates, allowing them to file a combined report that includes information about each affiliate's activities. This report must be certified under penalty of perjury and accompanied by a fee. Furthermore, the bill outlines the process for extending the due date for submitting financial information to align with IRS deadlines. Overall, the act aims to streamline the reporting process for smaller charitable organizations while ensuring compliance and transparency in their financial activities.

Statutes affected:
783: 5-53.1-4