Measures for the Administration of Charitable Organizations' Fundraising from the Public (2024)

(Order No. 74 of the Ministry of Civil Affairs of the People's Republic of China, adopted at the executive meeting of the Ministry of Civil Affairs on July 26, 2024, is hereby issued and will come into force on September 5, 2024)
Article 1 For the purpose of regulating charitable organizations' fundraising from the public, these Measures are developed, in accordance with the Charity Law of the People's Republic of China (hereinafter referred to as the “Charity Law”).
Article 2 The administration of charitable organizations' qualifications for fundraising from the public and activities of fundraising from the public shall be governed by these Measures.
Article 3 Charitable organizations that have obtained qualifications for fundraising from the public according to the law may raise funds from the public. Organizations or individuals without qualifications for fundraising from the public shall not raise funds from the public.
Article 4 The civil affairs department of the people's government at or above the county level shall supervise and administrate the qualifications for fundraising from the public and the activities of fundraising from the public of the charitable organizations registered with it or accredited by it and conduct supervision and administration of relevant activities involving fundraising from the public within the respective administrative region.
Where a charitable organization has a competent business entity, the competent business entity shall strengthen the guidance and supervision of its activities of fundraising from the public.
Article 5 A charitable organization having been registered for at least one year in accordance with the law or a social organization having been accredited as a charitable organization for at least one year may apply for qualifications for fundraising from the public to the civil affairs department handling its registration. To apply for the qualifications for fundraising from the public, an applicant shall meet with the following conditions:
(1) It has established a standardized internal governance structure in accordance with the laws and regulations, and its bylaws, its board of directors is able to effectively make decisions, its responsible person takes office under relevant provisions, and the members and responsible person of its board of directors have diligently performed their duties, and have good faith.
(2) Members of the board of directors who come from the same organization and organizations with mutual association relationship do not exceed one third, and persons with mutual close relative relationship do not concurrently take office in the board of directors; members of the board of directors who are non-mainland residents shall not exceed one third, and the legal representative shall be a mainland resident; the secretary general shall be a full-time staff member, and the chairman (president) and the secretary general shall not be held concurrently by the same person; and there shall be full-time staff members suitable for carrying out activities related to this charitable organization.
(3) Supervisors may perform their supervisory duties according to the law; and a charitable organization registered with or accredited by a civil affairs department of a people's government at or above the provincial level has a board of supervisors composed of three or more supervisors.
(4) There is sound financial management system, project management system, procurement management system, asset management system, personnel management system, archives management system, accounting supervision system, information disclosure system and other internal management and risk control systems, and may be implemented in a standardized manner.
(5) It is able to make full and efficient use of charitable property, and carry out charitable activities in accordance with the law and regulations, and the annual expenditure and management expenses of charitable activities in the previous year comply with the provisions.
(6) It handles tax registration and performs the taxpaying obligation according to the law; strictly implements the unified state accounting system and conduct accounting according to the law; and submits the annual work report on time and strictly fulfill the obligation of information disclosure.
(7) It participates in the assessment of social organizations under the provisions, and the assessment result is 3A or above and within the validity period, except for those registered for less than two years at the time of applying for registration.
(8) It is not incorporated into the list of social organizations with abnormal activities or list of seriously illegal and dishonest acts during the application process.
(9) In the year before applying for the qualifications for fundraising from the public, it has not been subject to administrative penalties due to violation of relevant laws and regulations on social organizations and had no other acts in violation of the laws, regulations, and policies of the state.
Article 6 To apply for qualifications for fundraising from the public, a charitable organization shall submit the following materials to the civil affairs department which registered it:
(1) An application, including a specific explanation and written commitment on its conformity with the conditions of Article 5.
(2) A financial auditing report of the years prior to the application issued by a certified public accountant, including the special information reporting for the annual expenditure and administration expenses of charitable activities.
(3) A written resolution of the board of directors on agreeing with applying for the qualifications for fundraising from the public.
A charitable organization with a competent business entity shall also provide written materials on the consent of the competent business entity.
Article 7 A civil affairs department shall, upon receipt of all valid materials, conduct examination according to the law and make a decision within 20 days. To a qualified charitable organization, a qualification certificate for fundraising from the public shall be issued; and to a disqualified charitable organization, no qualification certificate for fundraising from the public shall be issued and the reasons shall be given in writing.
Under complex circumstances, the civil affairs department may consult the opinions of relevant departments or solicit opinions through demonstration meetings, hearings, and other forms, and may also conduct on-site inspection of the organization as needed. The time required for requesting opinions and conducting field visits shall not be included in the review period.
Article 8 A charitable organization shall not forge, alter, lease or lend its qualification certificate for fundraising from the public. Where the qualification certificate for fundraising from the public is lost or seriously damaged, it shall be reported to the civil affairs department that handled its registration for replacement in a timely manner. Where the qualification certificate for fundraising from the public is stolen or fraudulently used, the charitable organization shall announce it to the public in a timely manner and report to the civil affairs department that handled its registration. A charitable organization with a competent business entity shall report to the competent business entity concurrently.
Article 9 A public foundation that has been registered and formed before the Charity Law enters into fo......