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501(3)(c) | Fiscal Year | Dues | Annual Giving | Endowment Campaign
Centralized Checking Account System | Audit Procedures | Check Writing Policy
Taxes | Raffles (All this information is also available in the Circle Leader's Manual.)
501(3)(c) The King's Daughters is non-profit organization exempt from federal income taxes. Donations to The King's Daughters provides a deduction, for federal income tax purposes, for some donors who make charitable contributions. To see a copy of the certificate, click here. FISCAL YEAR The King's Daughters' Fiscal Year runs from July 1 to June 30. All expenditures and receipts for the fiscal year must be received by the staff by June 15 to be recorded in that fiscal year. This includes Circle donations for the year. The Circle Checking Account Audit Form should also be completed by the end of the fiscal year. Any excess funds in the checking account should be turned in to the staff for the year-end donation. The staff runs a preliminary report for Circle gifts, volunteer hours and canister reports in late May and gives Circle Leaders 4 weeks to review year-to-date totals. The staff spends the months of June, July, and August closing the fiscal year and preparing the financial statements and year-end reports for the annual report. The Annual Report is then published in September and distributed to each member of The King's Daughters at the Annual Recognition Meeting in October and through the mail. The staff files the financial statements with the IRS on November 15 each year. return to top
DUES The dues request and current rosters will be mailed to each Circle Leader in April. Corrections to the roster and dues must be submitted to the staff by June 15 of that year. The dues are (as of March 25, 2007): Each circle member should make a check payable to their circle. The Circle treasurer should submit one check to the staff that includes all members' dues. return to top
CENTRALIZED CHECKING ACCOUNT SYSTEM All Circles will conduct banking transactions with a designated bank chosen by the Board of Directors to handle the Organization’s banking relationship. Deposits and withdrawals can be made at any branch location for the designated bank. Circle balances should be kept at a minimal level to fund upcoming projects. Circle proceeds from fund-raisers should be submitted immediately following the event, with a Project II form. ALL Bank inquiries other than deposits MUST be handled through the staff. Contact the Asst. Director with any questions/inquiries regarding your account.
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CIRCLE AUDIT PROCEDURES Each Circle's Treasurer coordinates an audit at the end of the fiscal year, on June 30th. She asks the former Treasurer to serve as the Chairman of the Audit committee. The Chairman then appoints two other members of the Circle to serve. The committee reviews the financial statements and completes the Circle Checking Account Yearly Audit Form. The Yearly Audit forms should be turned into the staff. return to top
CHECK WRITING POLICY When sending a check to the staff for Canisters, Circle Dues, Love Gifts, Circle Projects, and Major Fund-raising Projects, please make the check payable to The King’s Daughters. Please designate where the funds should be attributed -annual giving, endowment campaign, other, etc.
When Circles send a check for a Memorial/Honorarium, Children’s Miracle Network Telethon, or CHKD's Annual Giving Campaign, please make the check payable to Children’s Hospital of The King’s Daughters (or CHKD). Mail check/honor information directly to CHKD, Development Department. Any checks written by a Circle for $3,000 or more will require two signatures on the check. One Authorized Circle Signature AND one King's Daughters' Authorized Signature. Authorized King's Daughters' Signers: The King's Daughters' President and Secretary) These large dollar checks should be submitted to the staff one-week in advance of disbursement with corresponding invoices. This will allow for proper signatures to be obtained. The Circle Treasurer should maintain all deposit receipts and canceled checks for accurate record keeping. All questions concerning the Circle Bank Account should be directed to the staff at 757-668-7718. The staff Assistant Director will be the contact point for the banks in the event your circle needs research or any corrections to your circle's account. No checks may be written from any King's Daughters' Circle account as a donation to another non-profit organization.
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TAX ISSUES Tax Deductible Donations Under federal law, The King's Daughters is eligible to receive tax-deductible donations from individuals and corporations. People or businesses that make a donation to a King's Daughters' Circle can deduct the amount of the donation from their income when filing their taxes, ultimately reducing their tax to be paid. The federal government views this deduction as an incentive for corporations and individuals to support public charities. Sponsors should always be informed that their donations to The King's Daughters are tax-deductible and should always be provided with a receipt. Gifts other than money that are given to The King's Daughters are also tax-deductible. The donor is obligated to compute the fair market value of the donated gift and then he or she claims that value when filing taxes. There is a sample thank you letter in the Appendix for donated goods or services. Always contact the Assistant Director of the staff with questions about receipts for donors. Receipts for Goods and Services Received by a Donor When a donor receives some tangible good or service in return for his or her contribution, such as a dinner or a game of golf, the donor is only allowed to deduct that portion of the contribution beyond the value of the good or service received. For example, if the donor paid $100 for a ticket to a dinner party, the value of the dinner would be listed as $20 and the donor could deduct the remaining $80 as a donation. This is also common in golf tournaments where the participants receive a lot of free gifts. The staff has sample letters available. Please contact them if a Circle project involves goods or services provided to a donor. return to top
RAFFLES Don’t Chance It.... (Circle rules in regards to raffles/chances) Due to Gaming Commission regulations, as of August 1, 2007, Circles of the The King’s Daughters will no longer be allowed to hold public raffles. Circles cannot publicize a raffle of any kind throughout the community. What this means to you: Circles may hold a “chance” within a Circle event that they are having; i.e. Holiday Bazaar can sell “chance tickets” at their event to win a TV, Salon Day, etc. If your Circle wants to sell chance tickets for a particular item(s), please contact the Administrative Assistant of the staff to get the rules and regulations. return to top
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