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Monday, April 29, 2024

California Attorney General Announces Regulations for Online Charitable Fundraising

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Attorney General Rob Bonta | Official website

Attorney General Rob Bonta | Official website

California Attorney General Rob Bonta has announced the final regulations implementing Assembly Bill 488, a pioneering law governing charitable fundraising on internet platforms. The regulations, resulting from an extensive rulemaking process, aim to supervise crowdfunding websites and online platforms facilitating solicitations for charitable donations.

Attorney General Bonta emphasized the need for oversight in online charitable giving, stating, "There’s no denying that, in recent years, charitable giving has been increasingly taking place online. Internet platforms like GoFundMe, Meta, and PayPal all make it convenient for Californians to donate to or support their favorite charities, but that convenience can come at a cost."

Starting June 12, 2024, charitable fundraising platforms will be mandated to register with the Attorney General’s Registry of Charities and Fundraisers. The final regulations require these platforms to adhere to various provisions, including submitting annual fundraising reports, providing clear disclosures in solicitations, issuing tax donation receipts promptly, and ensuring donations reach the intended charities in a timely manner.

These regulations also stipulate that platforms may only solicit for charities with prior consent, except under specific circumstances that protect charities and the public interest. Furthermore, fundraising is restricted to charities in good standing in California and with the IRS.

Assembly Bill 488, sponsored by Attorney General Bonta and authored by Assemblymember Jacqui Irwin, has paved the way for these crucial regulatory measures. More details about the final regulations and the registration process can be found on the Attorney General's website.

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