AAF NewsFlash

Fee Changes for Filing Form PC and New Charity Registration

The fees for filing Massachusetts Form PC have changed beginning with years ended December 31, 2010 for organizations with gross support and revenues exceeding $1 million. The new fees are as follows:

Gross Support and Revenue	New Filing fee
Less than $100,000	$35
$100,001 to $250,000	$70
$250,001 to $500,000	$125
$500,001 to $1 million	$250
$1,000,001 to $10 million	$500
$10,000,001 to $100 million	$1,000
$100 million +	$2,000

In addition, charities registering with the Commonwealth of Massachusetts Attorney General’s Office for the first time will now have to pay a one-time initial registration fee of $100. This fee is in addition to the $50 fee that accompanies the Short Form PC, which is often filed as part of the first-time registration documents.

Form PC Filing and Attachment Changes

For fiscal years ended on or after December 31, 2010, nonprofits with gross support and revenue of $5,000 or less no longer need to file a Form 990 or 990-EZ with their Form PC. This threshold is consistent with the statutory exclusion for a solicitation certificate. This change will impact approximately 25% of the public charities that file in Massachusetts. The Attorney General’s office will evaluate this threshold over the next year and consider if it is advisable to increase the threshold in future years.

Revised Dissolution Guidelines for Charities

The process for dissolving a nonprofit corporation that has no assets remaining has changed. The dissolution process for nonprofits with assets remaining has not changed.

A nonprofit that has no remaining assets and which wishes to dissolve should make sure all of its filing requirements are up to date and that the board of directors has approved the dissolution. Once the organization’s compliance is confirmed, they must file a Form PC-F, Final Form PC and prepare an administrative dissolution petition with required accompanying documents and submit it to the Attorney General’s Office. For further instructions, see one of the two links below:

• Charitable corporation without assets remaining, or a
• Charitable corporation with assets remaining

Sincerely,

Your Friends at Alexander, Aronson, Finning & Co.

P.S. If you have business associates and friends who might be interested in this topic, please feel free to share this with them. We do appreciate referrals.