Registration of a public organization and a charity Fund. What are the limitations?

1. Public organisation

1.1. What is a non-governmental organisation?

• A non-governmental organisation is an association of individuals whose purpose is to pursue common interests in the field of public life.

1.2. The process of registering a non-governmental organisation

• The registration of a non-governmental organisation is based on the following algorithm:

1) Preparation of documents:

• Statute of the organisation;
• Minutes of the constituent assembly;
• Register of those present at the constituent assembly;
• Information about the governing bodies;
• Application for state registration.

2) Holding the constituent assembly:

• The founders (at least 2 persons) decide to establish the organisation, approve the charter and elect the governing body.

3) Submission of documents:

• Documents are submitted through the Administrative Service Centre (ASC) or online through the Diia portal (if available).

4) Registration in the state register:

• Registration authorities enter the organisation into the Unified State Register of Legal Entities.

5) Obtaining a non-profit status:

• Submitting an application to the State Tax Service to obtain the status of a non-profit organisation.

1.3. Restrictions for NGOs

• Inability to carry out entrepreneurial activities for profit.
• Activities must be in line with the declared statutory purpose.
• The name cannot contain words that are misleading or contrary to the legislation of Ukraine.
• Registration is not possible in all regions due to martial law (the Ministry of Justice determines the list of such territories).
• An organisation cannot engage in political activities unless it is provided for in its charter.

2. Charitable foundation

2.1. What is a charitable foundation?

• A charitable foundation is a legal entity that carries out charitable activities in the interests of society or certain categories of persons.

2.2. The process of registering a charitable foundation

1) Preparation of documents:

• The charter of the foundation;
• Minutes of the constituent assembly;
• Information about the governing bodies;
• Application for state registration;
• Application for inclusion in the Register of non-profit institutions and organisations (if necessary).

2) Holding a constituent assembly:

• The founders (can be one person) approve the charter and determine the governing bodies.

3) Submission of documents:

• Documents are submitted through the ASC or the state registrar.

4) Registration in the state register:

• The registration authorities enter the charitable foundation into the Unified State Register.

5) Obtaining a non-profit status:

• Submission of documents to the tax service for inclusion in the Register of non-profit organisations.

2.3 Restrictions for charitable foundations

• Charitable foundations cannot engage in activities that contradict their charitable purpose.
• Assets may be used only for the implementation of charitable programmes.
• Founders cannot receive profit from the foundation's activities.
• Support of political parties or participation in political activities is prohibited.
• The constituent documents must clearly regulate the goals and directions of charitable activities.

3. Peculiarities of registration under martial law

Due to the martial law, the registration of public organisations and charitable foundations has the following peculiarities:

• Registration is possible regardless of the location of the organisation.
• Registration is carried out immediately, but submission of an incomplete package of documents results in an automatic rejection.
• Possibility of electronic registration - submission of documents via Diia (with an electronic signature) is allowed.
• No administrative fee for organisations that provide assistance to the military, civilian victims or other types of humanitarian aid.