Free Illinois Ag990 Template

Detailed Guide for Filling Out Illinois Ag990

The accurate completion of the Illinois AG990 form is a crucial process for charitable organizations within the state, ensuring compliance with regulatory requirements and affirming their commitment to transparency and accountability. This form, serving as an annual report to the Attorney General, demands a meticulous compilation of financial and operational data. Below, the steps are outlined in layman's terms, guiding organizations through each section to facilitate accurate reporting and compliance.

1. Start by filling out the basic information at the top of the form, including the payment number (PMT #), amount (AMT), and initials (INIT). This section is primarily for office use but may require your attention if pre-filled.
2. Identify the fiscal period this report covers by providing the beginning and ending dates in the format MM/DD/YY.
3. Check the appropriate boxes to indicate all items attached to the report. These could include a copy of the IRS Return, Audited Financial Statements, and a copy of Form IFC.
4. Indicate the type of fees enclosed with the form by marking the appropriate option(s) – the $15.00 Annual Report Filing Fee and/or the $100.00 Late Report Filing Fee if applicable.
5. Enter the Federal ID # of your organization.
6. Provide the date the organization was created in the format MM/DD/YY.
7. Specify whether contributions to the organization are tax-deductible by checking "Yes" or "No".
8. Fill in the required financial information for the year, including the total assets (A), liabilities (B), and net assets (C)
9. Under Section I, accurately report all revenue items during the year, breaking down public support, contributions, program service revenue, government grants, membership dues, and other revenues, including total amounts and percentages.
10. In Section II, summarize all expenditures during the year, detailing operating charitable program expense, education program service expense, grants to other charitable organizations, and the total for charitable program service expenditure along with management, general expenses, and fundraising expense.
11. Complete Section III by detailing any paid fundraiser and consultant activities, including the total amount raised, fees and expenses, and the net received by the charity.
12. For Section IV, list the compensation paid to the three highest-earning individuals within the organization during the year, including their names and titles.
13. Describe the charitable programs your organization runs in Section V, using specific code categories listed on the back side of the instructions.
14. Answer all subsequent "Yes or No" questions with honesty and attach detailed explanations where necessary.
15. Finally, include the name and addresses of the financial institutions holding the organization's three largest accounts, and the name and telephone number of a contact person.
16. Certify the report by having the President or Trustee and the Treasurer or Trustee print their names, sign, and date the form. The preparer should also print their name, sign, and date.
17. Ensure that all necessary fees are included with your report.

With these steps completed, your organization's commitment to transparency is affirmed through the thorough and accurate completion of the Illinois AG990 form. Once you have reviewed the document for accuracy, submit it along with any required attachments and fees to the stated address, fulfilling your annual reporting obligations.

Frequently Asked Questions about the Illinois AG990 Form:

1. What is the Illinois AG990-IL form?

   The Illinois AG990-IL form is an annual report required by the Illinois Attorney General's office, specifically by the Charitable Trust Bureau. Its purpose is to provide a comprehensive overview of a charitable organization's financial activities throughout the fiscal year. This includes summarizing the organization's revenues, expenditures, assets, and liabilities. The completion and submission of this report ensure transparency and regulatory compliance for charities operating within the state of Illinois.

2. Who needs to file the AG990-IL form?

   All charitable organizations registered in the state of Illinois are obliged to file the AG990-IL form annually. This requirement applies regardless of the size or type of charitable activities. The form serves as a means for the state to ensure that charitable entities are using their funds appropriately and in alignment with their mission. Exemptions may apply to certain organizations based on specific criteria, such as those with very low annual revenues or those affiliated with religious institutions.

3. What are the deadlines and fees associated with filing the AG990-IL form?

   Organizations must submit the AG990-IL form within six months of the end of their fiscal year. For instance, if a charity's fiscal year ends on December 31st, the report is due by June 30th of the following year. The standard filing fee is $15.00, payable to the Illinois Charity Bureau Fund. However, organizations that fail to file their report on time are subject to a late filing fee of $100.00. It is crucial for charitable organizations to meet this deadline to avoid penalties and remain in good standing.

4. What additional documents are required along with the AG990-IL form?

   In addition to the completed AG990-IL form, charitable organizations must attach several important documents. These include a copy of the IRS Return, audited financial statements (if applicable), and a copy of Form IFC for any professional fundraisers used. The inclusion of these documents allows the Attorney General's office to have a clearer picture of the organization's financial health and activities. Ensuring that all required attachments are included with the submission is essential for a complete and compliant annual report.

Filling out the Illinois AG990 form, a crucial document for charitable organizations, demands meticulous attention to detail and accuracy. Unfortunately, common mistakes can lead to misunderstandings or even penalties. Ensuring accurate completion of this form is paramount for the continued success and compliance of your organization.

1. Not attaching all required documents: It's essential to make sure that all necessary attachments, including the copy of the IRS return, audited financial statements, and the Form IFC for professional fundraisers, are included. Failure to do so can result in your form being considered incomplete, leading to possible penalties.
2. Incorrect calculation of financial figures: All financial information, such as assets, liabilities, net assets, and various types of income and expenses, must be calculated correctly. Errors in these sections can significantly impact the reported financial health of the organization.
3. Failure to accurately report fundraising activities: Organizations must accurately detail their fundraising activities, including amounts raised through professional fundraisers and consultants, fees and expenses, and net amounts received. Misreporting these details can lead to questions about the organization's fundraising practices.
4. Omitting details of the highest-paid individuals within the organization: The law requires full disclosure about compensation for the three highest-paid persons in the charitable organization. Neglecting to provide this information may raise red flags about the organization's financial management and governance.
5. Incomplete or inaccurate descriptions of charitable programs: The AG990 form requires a detailed description of the organization's charitable programs, including the allocation of expenses among different categories. Providing vague or incomplete descriptions can impact the perceived effectiveness and purpose of the organization.
6. Not addressing legal and regulatory questions accurately: The form asks specific questions about legal actions, convictions, transactions involving conflicts of interest, and the use of restricted funds. Failing to answer these questions truthfully and accurately can have severe consequences, including penalties and loss of charitable status.

Avoiding these common mistakes requires a thorough review and understanding of the AG990 form requirements. Organizations are encouraged to seek professional assistance if there's any uncertainty during the completion process. Doing so not only helps avoid penalties but also ensures the organization's operations remain transparent and in good standing.

When filing the Illinois AG990-IL Charitable Organization Annual Report, organizations are often tasked with including additional documents that support their financial activities and regulatory compliance throughout the fiscal year. This necessity arises as part of a comprehensive approach to ensure transparency and accountability within the nonprofit sector. Highlighted below are five forms and documents frequently used alongside the AG990-IL to provide a fuller picture of an organization’s operations, financial health, and compliance status.

• IRS Form 990: This is a requirement for most tax-exempt organizations to provide annual financial information to the Internal Revenue Service (IRS). It details the organization's program service accomplishments, financial statements, and compliance with other IRS regulations, serving as a public record of their nonprofit status.
• Audited Financial Statements: Prepared by an independent certified public accountant, audited financial statements give an in-depth look at the organization's financial position. They include the balance sheet, income statement, and statement of cash flows, offering assurance about the accuracy of the financial information reported.
• Form IFC – Attorney General Report of Individual Fundraising Campaign: This form is necessary if the organization has engaged with professional fundraisers. It outlines the total amount raised, the fees and expenses deducted by fundraisers, and net proceeds received by the charity.
• Conflict of Interest Policy: While not always directly submitted with the AG990-IL form, many organizations maintain a conflict of interest policy to ensure decisions are made in the charity’s best interest. This policy helps avoid situations where personal or financial interests could interfere with the organization's welfare.
• Board of Directors and Key Employees List: A document listing all current board members and key employees, including their positions and roles within the organization. This aids in transparency and may be required for review to ensure proper governance and oversight.

Each of these documents plays a crucial role in complementing the data provided in the AG990-IL form, offering a holistic view of a charitable organization's financial integrity and operational practices. By diligently preparing and submitting these forms, organizations can demonstrate their commitment to accountability and foster trust among donors, regulatory authorities, and the communities they serve.

• The IRS Form 990 is similar to the Illinois AG990 form in that both require detailed financial information from nonprofit organizations, including revenue, expenses, and net assets. Additionally, they gather information about the organization's mission, programs, and board members to ensure transparency and public accountability.

• The California Form RRF-1 shares similarities with the Illinois AG990 form as it is also an annual registration renewal fee report required by charitable organizations. Both forms require financial statements and information on fundraising activities, ensuring compliance with state regulations governing charities.

• The New York CHAR500 form, like the Illinois AG990, aims to collect comprehensive financial information, program details, and governance structures from charities. It is required annually to maintain the charity's registration with the state's Attorney General's office, emphasizing accountability and financial transparency.

• The Florida Charitable Organizations/Sponsors Annual Report aligns with the Illinois AG990 form in its purpose to collect financial and operational information from charities. It ensures that charitable organizations operate in compliance with state laws and provides the public with access to their financial records and activities.

• Pennsylvania's Bureau of Corporations and Charitable Organizations Annual Report is another document similar to the AG990. This form also collects detailed financial data, information on board members, and program descriptions, aiming to regulate charities and ensure they adhere to the state's nonprofit regulations.

• The Texas Form 202, required for charitable registration renewal, parallels the Illinois AG990 form in collecting financial statements and disclosure of contributions and expenses. It aims to ensure financial responsibility and transparency among charities operating within the state.

• The Michigan Solicitation Registration Statement is comparable to the Illinois AG990 form by requiring financial disclosures, campaign information, and compensation details for fundraisers and consultants. It helps the state oversee charitable solicitation activities and protect against fraudulent practices.

• Ohio's Charitable Organization Annual Report is similar to the Illinois AG990 form, demanding detailed financial records, information about fundraising activities, and organizational governance. This facilitates oversight by the state, ensuring that charitable organizations are held accountable for their operations and use of funds.

When preparing the Illinois AG990 form, it is crucial to follow specific guidelines to ensure accurate and compliant submissions. Below are listed seven dos and don'ts to help guide you through this process.

• Verify all information for accuracy before submission to prevent potential issues or delays.
• Ensure that all necessary documents, including IRS returns and audited financial statements, are attached as required.
• Include the correct fees with your report, making checks payable to the "Illinois Charity Bureau Fund" to avoid processing delays.
• Clearly list the fiscal period the report covers, using the correct beginning and ending dates to maintain consistency with your financial documentation.
• Answer all questions truthfully, providing detailed explanations where necessary to offer complete transparency about your organization's operations.
• Use the specific form provided for each section, such as the Attorney General Report of Individual Fundraising Campaign (Form IFC), to organize information properly.
• Sign and date the form as required to certify the accuracy and completeness of the information provided.

• Leave any sections incomplete, as this could result in the form being returned or fines being imposed for non-compliance.
• Forget to check if contributions are tax-deductible and clearly indicate this on the form to inform potential donors correctly.
• Misreport financial figures, particularly in summarizing revenue and expenditures, as accuracy here is crucial for both compliance and transparency.
• Overlook the need to disclose any potential conflicts of interest, such as grants to organizations with which officers, directors, or trustees are involved.
• Fail to attach detailed explanations when answering "Yes" to any questions that require them, as missing information can raise concerns during the review process.
• Submit the form late, as this can lead to a $100 late filing fee, adding unnecessary costs for your organization.
• Underestimate the importance of reviewing the form thoroughly before submission to ensure that all information is complete and correct.

When it comes to filing the Illinois AG990-IL form for charitable organizations, there are several misconceptions that can lead to confusion. It's crucial to understand these misconceptions to ensure compliance and avoid penalties. Here's a list of common misunderstandings:

• The filing fee is always $15.00. This is not always the case. The $15.00 annual report filing fee is a base amount, but additional fees may apply depending on specific circumstances or late filings. Late reports are subject to a $100.00 penalty, emphasizing the need for timely submission.
• The form only needs to be filed if the organization has had significant financial activity. Every registered charitable organization is required to file the AG990-IL form annually, regardless of its level of financial activity. Filing is not contingent on reaching a certain financial threshold.
• Audited financial statements are always required to be attached. While audited financial statements are important, they are not always mandatory for the AG990-IL form submission. The requirement to attach audited financial statements depends on the organization's revenue and contributions received during the fiscal period.
• Contributions to all organizations that file this form are tax-deductible. Simply filing the AG990-IL form doesn't automatically mean contributions to the organization are tax-deductible. This status is determined by the Internal Revenue Service (IRS) and must be clearly indicated on the form.
• Only Illinois-based charities need to file. Any charitable organization operating in Illinois, regardless of where it is based, is required to file the AG990-IL form if it solicits donations from Illinois residents.
• Professional fundraiser details only matter if they are Illinois residents. The form requires information on all paid professional fundraisers and fundraising consultants, irrespective of their residency. The key factor is their involvement with fundraising activities for the organization, not their location.
• The AG990-IL is the only form needed for compliance. In addition to the AG990-IL, certain charities may need to submit additional forms depending on their activities, such as Form IFC for professional fundraiser reports. Always check current requirements to ensure full compliance.
• Net assets at the end of the year are what matters most. While net assets are important, the AG990-IL form requires a comprehensive summary of revenues, expenses, and changes in net assets. This holistic approach ensures a full financial overview is provided to the Attorney General’s office.
• Filing electronically is not an option. Charitable organizations have the option to file their AG990-IL online, offering a convenient alternative to paper submissions. This can streamline the process and help ensure deadlines are met.

Understanding and addressing these misconceptions about the Illinois AG990-IL form is essential for charitable organizations to ensure they remain in good standing and comply with state regulations. Accurate and timely filing supports transparency and accountability, reinforcing the integrity of charitable activities within Illinois.

Filing the Illinois AG990-IL form, an annual requirement for charitable organizations operating within the state, is crucial for maintaining transparency and compliance with state regulations. Here are four key takeaways to ensure the process is smooth and the form is used effectively:

• Timely Submission: The form is due within six months following the end of your fiscal year. Meeting this deadline is paramount to avoid a $100.00 late filing fee and ensure your organization remains in good standing with the Illinois Attorney General's office.
• Comprehensive Documentation: Alongside the AG990-IL, organizations must attach a copy of their IRS return, audited financial statements (if applicable), and the Form IFC for any professional fundraiser activities. Ensuring these documents are complete and accurately reflect the organization's financial activities is essential for a truthful representation and compliance.
• Understanding Fees: A $15.00 annual report filing fee is required when submitting the form. However, if the report is not filed on time, an additional $100.00 late filing fee will be imposed. Verifying the correct amount is enclosed with your submission can prevent delays or further penalties.
• Detailed Revenue and Expenditure Reporting: The form requires a detailed account of all revenue items during the year, including public support, contributions, program service revenue, government grants, membership dues, and other revenues. Equally, a breakdown of expenditures in areas such as charitable program service, education program service, management, and fundraising expenses is necessary. Ensuring accuracy in these sections provides clear insight into the organization's financial health and operational focus.

Adhering to these guidelines when completing the Illinois AG990-IL form not only complies with state regulations but also reinforces the integrity and transparency of your organization. It's an opportunity to showcase your commitment to responsible stewardship of the resources entrusted to you by donors, members, and the community you serve.