Division of Charitable Solicitations and Gaming

News and Updates

• Giving for Tornado Relief

About the Division

The Division of Charitable Solicitations and Gaming administers the Tennessee Charitable Solicitations Act and the Charitable Gaming Implementation Law, and regulates accounts established pursuant to the Catastrophic Illness Trust Act. 

The Charitable Solicitations Act requires that charitable organizations (what is a “charitable organization?”) who solicit contributions (what is a “contribution?”) directly or indirectly from, or within, the State of Tennessee register with the division, unless exempt from the registration requirements.  Organizations that are exempt from the registration requirements of the Act include bona fide religious institutions; educational institutions and supporting organizations composed of parents of students and other persons connected with the institution, which are organized and operated for the purpose of conducting activities in support of the operations or extracurricular activities of such institutions; volunteer fire departments, rescue squads and local civil defense organizations; political parties, candidates, and Political Action Committees; hospitals; and organizations that receive annual contributions less than $30,000 from the public.  Groups that are exempted purely because they receive annual contributions less than $30,000 are required to complete and file an “Exemption Request” form with the division.

The Act also requires Professional Solicitors (what is a “Professional Solicitor?”) and Professional Fundraising Counsels (what is a “Professional Fundraising Counsel?”) to register with the office.  Additionally, Professional Solicitors must file solicitation campaign documents with the division including financial reports, keep employee records of contracts for three (3) years after contract expiration, and adhere to other requirements of the act during solicitation campaigns.  Commercial Co-Venturers (what is a “Commercial Co-Venturer?”), though not required to register, are responsible for ensuring that those with whom they conduct a charitable sales promotion are registered or exempt from registration and are required to have a written agreement with the charitable organization.  Commercial Co-Venturers must maintain all records in connection with the charitable promotion for three (3) years after the end date of the promotion.

Finally, the Charitable Solicitations Act prohibits false and misleading solicitation practices, and empowers the division to investigate violations of the Act, and impose a civil penalty of up to $5,000 for each and any violation of the Act.

The Catastrophic Illness Trust Act (what is a “Catastrophic Illness Trust?”) requires that trustees of trusts and custodial accounts established to benefit those with catastrophic illnesses file written notice upon establishment with the Division of Charitable Solicitations.  The trustee, other than a bank or trust company acting as trustee, is also responsible for filing with the division an annual report of the trust’s accounting report of the account.

The Charitable Gaming Implementation Law authorizes qualified 501(c)(3) organizations to hold an annual gaming event for the benefit of the organization, compels the division to review annual event applications and transmit an omnibus list of qualifying applicants to the general assembly for approval, requires organizations to submit financial reports following the event for review by the division, and empowers the division to investigate violations of the Act and assess a civil penalty of up to $50,000 for each and any violation.