Exempt Organizations Advisory - Treasury Releases Revised Anti-Terrorist Guide for Charities

In an effort to improve its response to the threat of terrorist abuse of the charitable sector through the diversion of charitable funds and services to terrorist organizations, the U.S. Department of the Treasury has revised its Anti-Terrorist Financing Guidelines: Voluntary Best Practices for U.S.-Based Charities. The revised guidelines, which immediately replace the original guidelines released in November 2002, intend "to raise awareness of terrorist abuse of charities and to develop effective policies to combat this threat."

The guidelines include such topics as fundamental principles of good charitable practice; governance; financial practice/accountability; disclosure/transparency in governance and finance; and anti-terrorist financial best practices. They can be accessed here.

The revised guidelines have been released for public comment, which may be submitted via mail, facsimile, or electronic submission. Treasury will consider all comments received on or before February 1, 2006, in finalizing the revised version of the guidelines.

Comments on the revised guidelines may be made through one of the following methods:

Mail: Office of Terrorist Financing and Financial Crime
U.S. Department of the Treasury
1500 Pennsylvania Avenue, NW
Washington, D.C. 20220
Facsimile: (202) 622-9747

By electronic submission, click here.

For more information on this topic, please contact Suzanne Ross McDowell or Catherine W. Wilkinson.

The Exempt Organization Advisory is a general summary of the law and is not intended as specific legal advice for any organization.

Internal Revenue Service - Circular 230 Disclosure: As provided for in Treasury regulations, advice (if any) relating to federal taxes that is contained in this communication (including attachments) is not intended or written to be used, and cannot be used, for the purpose of (1) avoiding penalties under the Internal Revenue Code or (2) promoting, marketing or recommending to another party any plan or arrangement addressed herein.

Questions and comments about the Exempt Organizations Advisory are always welcome and should be sent to bstone@steptoe.com.