New Jersey Charities Registration

NJ Consumer Affairs will no longer enforce donor information submission requirement invalidated by U.S. Supreme Court ruling

Updated September 1, 2021

The New Jersey Division of Consumer Affairs has announced that it will no longer enforce regulations requiring that organizations submit donor names and addresses to the Division as part of their annual reporting requirements under the New Jersey Charitable Registration and Investigation Act.  

On July 1, 2021, in a closely watched case covering charitable donor disclosure requirements but also with potential political (“dark money”) ramifications, the U.S. Supreme Court by a 6-3 vote struck down California’s requirement that charities submit their Form 990 Schedule B (major donors) as part of their annual charities registration filing. New Jersey had a similar requirement in place for many years.  

In response to the ruling, the New Jersey Division of Consumer Affairs has posted the following statement on the Charities Registration page of its website:

“In light of the United States Supreme Court’s recent decision in Americans for Prosperity v. Bonta, the Division’s Charities Registration Section has determined that the requirement that charities submit the Internal Revenue Service (IRS) Form 990 Schedule B upfront as part of their initial and yearly registrations can no longer be enforced. The Division will therefore be revising its rules, and in the interim will not be taking enforcement action based on the failure to include Schedule B or an equivalent donor schedule in such registrations. The Division will deem any entities that were previously deemed non-compliant solely because they failed to submit Schedule B or an equivalent donor schedule to be in compliance with registration requirements. All other regulations at N.J.A.C. 13:48-1.1 et seq. remain in effect and the Division continues to require the submission of all other schedules and statements.”

We will pass along additional updates as we receive them.

For more background/information:

• U.S. Supreme Court ruling, AMERICANS FOR PROSPERITY FOUNDATION v. BONTA, ATTORNEY GENERAL OF CALIFORNIA, July 1, 2021
• Statement of the National Council of Nonprofits, responding to the July 1, 2021, U.S. Supreme Court ruling
• The 2019 (now invalidated) regulations modify N.J.A.C. 13:48-4.3 and 5.3. The text is available HERE or in the May 6, 2019, New Jersey Register at 51 N.J.R. 637(a).
• Read the Center’s comments on PRN 2018-125, the original rule proposal.
• If you have questions or would like additional information, contact Linda Czipo at the Center.