The State of Washington approved a new nonprofit law that went into effect on January 2, 2022. With the new requirements, there are new questions on the renewal form/process with the Secretary of State. Below are some common questions we are asked. To help other nonprofits we opted to share our responses for you to consider. Note this is not a substitute for consulting with your attorney but should help you make it through the questions on the form.
- UPDATE: Online filing is active again, as of 01/12/2023. Why can’t we file online this year? – There is a new nonprofit law in the State of Washington as of 01/01/2022. Because of new requirements the online filing is temporarily suspended, until the Division of Corporations can update their filing system. Until then Nonprofits must submit their renewal form on paper, by mail with a check. We suggest expediting the filing by paying the additional $50. Regular processing times are very delayed. You should be aware that you may get an automatic delinquent notice even after you submit the renewal as those notices are sent automatically and doesn’t match up with their processing of paper applications.
- Am I required to enter my EIN in question (3)? – Yes, you are. Providing EIN information was voluntary before, now you are required to have EIN and disclose it.
- Why is question (4) asking about total gross revenue in the most recent fiscal year? – This information determines your filing fee of $20 or $60.
- What does question (9) Renewal of Public Benefit Designation means? – Public Benefit Designation is also something new for Washington. Per the new law a Public Benefit Corporation means that the WA nonprofit corporation is also tax-exempt under section 501(c)(3) of the IRS Code. If you have the 501(c)(3) exemption you can apply to the Secretary of State to receive the Public Benefit Designation, which must be renewed every year. We recommend this action.
- Information about question (10) – Not all Nonprofits are Charitable Corporations. From about 55000 active domestic Nonprofits in Washington State, 18 800 are charitable corporations. Nonprofit Corporations that are engaged in fundraising activities to support a charitable purpose may also be required to register with the OSOS Charities Program. Registration with the Charities Program is separate from nonprofit business filings and must also be maintained through a separate annual Charity Renewal. If your Nonprofit is not Charitable you can skip questions (11) and (12).