Fill Out Your Co 1 Form

What is the purpose of Form CO-1?

Form CO-1 serves as a registration statement required by the Illinois Charitable Trust Act and the Illinois Solicitation for Charity Act. Organizations looking to solicit contributions or operate as a charitable entity in Illinois must complete this form to formally register and provide essential information about their operations.

Who needs to file Form CO-1?

Any organization that solicits contributions in Illinois or operates as a charitable entity is required to file Form CO-1. This includes corporations, trusts, and unincorporated associations. If your organization has a different name under which you solicit funds, that must also be indicated on the form.

What information must be provided on Form CO-1?

The form requires various details, including the organization's name, address, legal entity type, the purposes of the organization, annual accounting period, and information about officers and directors. It also requires documentation reflecting the organization’s legal formation, such as Articles of Incorporation or certificates of authority.

What documents need to accompany the Form CO-1 submission?

Along with Form CO-1, organizations must attach relevant documents based on their legal structure. For corporations, include Articles of Incorporation and By-Laws. Unincorporated associations must submit their constitution and By-Laws. Trusts need to attach the instrument creating the trust, and any organization must provide records of their tax-exempt status, if applicable.

Is there a fee to file Form CO-1?

The registration process itself does not require a specific filing fee, but organizations may incur costs associated with gathering necessary documents or seeking legal assistance to complete the form properly. It’s advisable to check the latest regulations or guidelines from the Illinois Attorney General’s office for any updates on fees.

When should Form CO-1 be submitted?

Form CO-1 must be filed with the Office of the Attorney General prior to starting any solicitation of contributions. If there are any changes in the information previously submitted, the organization must update the Attorney General within 10 days of the change. This ongoing requirement ensures that the Attorney General has the most current and accurate information about the organization.

What happens if an organization fails to submit Form CO-1?

If an organization does not file Form CO-1, it may face penalties, including fines or restrictions on their ability to solicit contributions in Illinois. Non-compliance can also jeopardize an organization’s standing and undermine public trust. It is crucial to meet registration requirements to operate legally and ethically.

Filling out the CO-1 form correctly is crucial for organizations seeking registration in Illinois. One common mistake is providing incomplete answers. Each section of the form requires specific details, and failing to answer fully in the given space may lead to delays or rejections. It’s essential to address all applicable items thoroughly, and if space is insufficient, clearly attach additional sheets with the necessary information.

Another frequent error occurs when organizations fail to include required attachments. For instance, corporations must attach a copy of their Articles of Incorporation or Certificate of Authority. Many applicants overlook this requirement, assuming it’s unnecessary. This oversight can hinder the registration process significantly and may result in the Attorney General’s office returning the incomplete application.

Misidentifying the organization’s legal entity type also complicates matters. Organizations can be corporations, trusts, or unincorporated associations, among others. Providing incorrect information can lead to regulatory issues. Ensuring the correct legal designation is paramount, as it influences the regulatory requirements the organization must comply with.

Additionally, neglecting to provide updated information about the organization’s registered agent is a mistake that can have serious ramifications. The registered agent is responsible for receiving legal documents. If this information is not current, the organization may miss critical communications from the state, potentially affecting its standing and ability to operate.

People often forget to declare whether the organization intends to use the services of a professional fund raiser. Failing to answer this, or incorrectly indicating ‘no’ when the organization plans to engage a professional, can lead to compliance issues down the line. If the organization does plan to engage a professional, it must meet additional requirements under the law.

Finally, not disclosing any legal challenges faced by the organization or its officers can result in significant risks. The form specifically asks whether any officers have been enjoined or prohibited from soliciting contributions. Applicants should provide this information openly and attach explanations as necessary. Full transparency helps build trust with regulators and the public.

The CO-1 form plays a critical role in the registration of charitable organizations in Illinois. Along with it, several other forms and documents are often required to ensure compliance with state regulations and to maintain transparency in charitable operations. Below is a list of these documents, each fulfilling a unique purpose.

• Articles of Incorporation: This document formalizes the creation of a corporation and outlines its structure, purpose, and governance. It must be filed with the Secretary of State.
• Certificate of Authority: For foreign corporations, this certificate is necessary to authorize them to operate in Illinois. It demonstrates that the organization is legally recognized in its home state.
• By-Laws: These internal rules govern the operation of the organization, detailing procedures for meetings, voting, and management structure. By-laws provide clarity on how the organization's affairs are conducted.
• Financial Information Form CO-2: Organizations in operation for less than one year must submit this form, which provides a summary of financial information to ensure financial accountability.
• AG990-IL: Established charitable organizations must attach this form, which serves as an annual financial report to the Attorney General’s office. It details income and expenditures related to charitable activities.
• IRS Form 1023: This application for tax-exempt status must be included if the organization has obtained tax-exempt status or if such an application is pending. It verifies the organization's charitable purpose to the IRS.
• Determination Letter from the IRS: If applicable, this letter confirms the organization’s tax-exempt status. It should be attached to provide evidence of compliance with federal tax laws.

Each of these documents works in tandem with the CO-1 form to create a comprehensive picture of the organization’s legal, operational, and financial status. Ensuring that all relevant forms are correctly completed and submitted is essential for compliance and for fostering public trust in charitable organizations.

• Form 1023: This IRS form is used by organizations to apply for tax-exempt status under Section 501(c)(3) of the Internal Revenue Code. Like the CO 1 form, it seeks comprehensive information about the organization's purpose, activities, and governance structure.
• Form 990: A public document required by the IRS for tax-exempt organizations. It details financial information and operational activities annually, similar to how the CO 1 form collects necessary organizational information for state registration.
• Articles of Incorporation: This foundational document outlines the creation and structure of a non-profit corporation. It is attached to the CO 1 form to establish legal entity status in alignment with state requirements.
• By-Laws: These are internal rules governing an organization's operations. The CO 1 form requires them for organizational transparency and structure, paralleling the necessity for clear operational guidelines.
• Certificate of Authority: Required for foreign corporations to operate in Illinois, this document verifies an organization's legal standing in the state, similar to the CO 1 form's need for registration details.
• Form AG990-IL: This is an annual financial reporting form for charitable organizations in Illinois. It mirrors the CO 1 form’s requirement for financial and operational transparency over the organization’s length of operation.
• Trust Instruments: These documents define the establishment of trusts. The CO 1 form requires such instruments for charitable trusts to confirm their legal formation and operational intent.
• Financial Information Form CO-2: For organizations in operation for less than one year, this form captures financial data. It parallels the CO 1 form by ensuring that even new entities provide clear financial insight.

When filling out the Co 1 form, it’s important to take a careful approach to ensure accuracy and compliance. Here’s a list of dos and don’ts to guide you.

What to Do:

• Do type or print your answers clearly in ink.
• Do provide all required information; if a question doesn’t apply, state that clearly.
• Do attach any necessary documents, such as the Articles of Incorporation, as specified.
• Do notify the Attorney General about any changes in your organization’s information within 10 days.
• Do keep copies of everything you submit for your records.

What Not to Do:

• Don’t leave any required sections blank; provide an explanation if necessary.
• Don’t forget to have two different authorized individuals sign the form, if applicable.
• Don’t submit the form without checking that all attachments are included.
• Don’t use a name for solicitation that differs from your registered name without proper explanation.
• Don’t assume earlier registrations are still active; always check current status before submitting.

Misconceptions about the CO-1 form can lead to confusion and potential issues for charitable organizations. Here are seven common misunderstandings and clarifications for each:

1. All Charitable Organizations Must Register Annually: Many people believe that they need to submit a new CO-1 form every year. In reality, organizations must only register once, as long as they inform the Attorney General about any changes within 10 days.
2. Only Large Charities Need to Register: Some think that only larger organizations are required to complete the CO-1 form. This is incorrect. Every charitable organization that solicits contributions in Illinois, regardless of size, must register.
3. Tax-Exempt Status Automatically Grants Registration: A common misconception is that being recognized as a tax-exempt organization by the IRS eliminates the need for CO-1 registration. However, organizations must separately register with the state, even if they are tax-exempt federally.
4. Professional Fundraisers Handle Registration: Some organizations may believe that hiring a professional fundraiser absolves them from the registration responsibility. This is misleading. The organization itself is required to ensure compliance with state regulations.
5. Failure to Register Is a Minor Issue: Many think that failing to submit the CO-1 form is not a serious infraction. However, not registering can lead to significant penalties, including fines and restrictions on fundraising activities.
6. All Information is Confidential: There is a misconception that all information provided on the CO-1 form is confidential. In fact, some details may be public record, which means transparency is crucial in the registration process.
7. You Can Submit Incomplete Forms: Some people believe that they can submit the CO-1 form without fully completing all sections. This is incorrect. The form must be filled out completely, and if there isn’t enough space, additional sheets must be attached.

By clarifying these misconceptions, organizations can better navigate the registration process and ensure compliance with state laws. Understanding the requirements can lead to a smoother experience for all involved.

When filling out and using the CO-1 form for registering a charitable organization in Illinois, it is crucial to follow some key guidelines:

• Complete All Applicable Sections: Ensure that every item that applies to your organization is answered. If more space is needed, attach additional sheets as necessary.
• Notify of Changes: After registration, organizations must inform the Attorney General within 10 days about any changes in the information provided in the registration form.
• Attach Required Documents: Include necessary documents such as Articles of Incorporation, tax exemption determination letters, and financial information forms, as specified in the instructions.
• Two Signatures Required: The form must be signed by two different individuals, typically the President and Chief Financial Officer, or other authorized officers. If the entity is a Trust, all Trustees must provide their signatures.