U.S. Nonprofit Eligibility

Content

• Eligibility Guidelines
• How do I check my nonprofit's status?
• Why are we still not eligible if our status is now in good standing?

While Bright Funds uses GuideStar/Candid to power our database, there are other requirements needed in order to receive donations through the platform.

Eligibility Guidelines

Within the United States, Bright Funds only permits donations to:

• 501(c)(3) public charities that are:
  • listed in the IRS database of tax-exempt organizations
  • in good standing across the with the California Attorney General’s Office, the California Franchise Tax Board, and the Internal Revenue Service (IRS)*
• Public schools

Nonprofits that are not eligible for donations include:

• Nonprofit organizations that are not registered as 501(c)(3) public charities (for example, 501(c)(4) lobbying organizations)
• Nonprofits that have lost their tax-exempt status with any of the below agencies*:
  • California Attorney General’s Office
  • California Franchise Tax Board
  • IRS
• Nonprofits that do not comply with Bright Funds' nondiscrimination policy
• Nonprofits that do not process donations they receive from Bright Funds

*Note: The eligibility is tied to the recent California AB 488 law, where nonprofits are now required to be in good standing across the California Attorney General’s Office, the California Franchise Tax Board, and the Internal Revenue Service (IRS). This new legislation may apply to your nonprofit if you have solicited donations or conducted business within the state of California.

How do I check my nonprofit's status?

Determine why your nonprofit is not in “good standing.” A nonprofit which appears on one of the lists with either of the below agencies is considered not in “good standing” in California for purposes of the California AB 488 law:

• California Attorney General’s Registry Report
  • May Not Operate or Solicit for Charitable Purposes
  • Undetermined
  • Not Operating or In Process of Dissolving
• California Franchise Tax Board
  • Revoked Exempt Organizations List

Your nonprofit must also appear in the IRS database as Pub78 Verified:

• Internal Revenue Service

You will need to work directly with the applicable government agency to update your nonprofit status on their registry. 

Why are we still not eligible if our status is now in good standing?

If your nonprofit has already submitted an update to an agency, and received confirmation from the agency you are in good standing, please allow a few weeks for the update to appear in Bright Funds.

Bright Funds cannot override your charitable status if it is not updated on the official registries for the agencies or their publicly available files. 

If you have any questions, please contact our Nonprofit team at [e-mail].