Why is an annual report required of a nonprofit corporation?
The annual report is required by North Dakota law and is a very important document that should not be overlooked. A nonprofit corporation is a legal entity recognized under the laws of the State of North Dakota. The filing of the annual report verifies the continued existence of the corporation and provides the public with the names and addresses of officers and directors. Failure to file will result in the involuntary dissolution of the corporate charter or the loss of the certificate of authority. This could adversely impact the mission of the organization and even result in unanticipated legal consequences.
