Calling All Trustees

California CPAVol. 73 Nbr. 5, November 2004

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Summary


SB 1248 required those acting as the trustee for 4 or more families and/or individuals to register with the California Department of Justice by January 1, 2005. SB 1262 makes significant changes in the way California charitable organizations and those out of state or foreign organizations that conduct activities or hold property in California are governed and how funds are raised. Charities with gross revenue of $2 million or more in a year are required to have an annual audit. The act also requires that the board of directors, or an authorized committee of the charity, review and approve the compensation and benefits of the CEO and CFO as just and reasonable.

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Extract


Calling All Trustees

Many CPAs act as private trustees for specific clients. Legislation effective in 2004 required those acting as the trustee for six or more families or individuals to register with the California Department of Justice by Jan. 1, 2005. New legislation, SB 1248 (Bowen), signe...

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