Research On Chinese Charitable Organizations’ Information Disclosure

With the fast development of the national economy and the deepening of social transformation,in China, various types of charitable organizations has developed rapidly, at the same time,the new period charitable values has also been developed,such as developing charity by voluntary service,promoting social justice by charity,and sharing the income by mutual help. However, in recent years, the frequent negative news about the charitable organization raises serious doubts on the credibility of the charitable organization. There is a said that sunlight is the best disinfectant.Charitable organizations need to solve the crisis of credibility lack by way of strengthening the disclosure of accounting information, so that the organizations can get the public trust once again, and gain support from public funds consistently.In the long run, researches on the problems of charity information disclosure, is not only the inevitable need to guarantee the right of public acquisition in our country, but also the urgent need of the sustainable development of charitable organizations.This paper aims at that through the analysis on the annual reports of Chinese Red Cross foundation,in 2012 and 2013, to discover the problems of domestic charitable organizations in the information disclosure theory system, to provide advice for the remodeling of credibility problem in charitable organizations in China. Firstly it is needed to determine the theoretical framework of contents of charity information disclosure, because at present,in our country,there is no specific legal norm for charity information disclosure, Civil Non-profit Organizations and institutions has been referred to perform the information disclosure, and for the theoretical research on the China charity information disclosure is still not perfect, the related laws are lagging behind, especially for the information disclosure regulations, the standard is more principle than specific.This paper bases on the basis and relevant norms in our country, using the method of document study, with reference to many domestic and foreign scholar’s results, in six dimensions, the operating efficiency, fiduciary duties, financial stability, the strategic mission, internal management, and performance results, to construct our country charity information disclosure theoretical framework for analysis. Secondly this paper use the theoretical framework and the six dimensions as standard to analyze the information disclosure of China Red Cross Foundation, to find out problems, such as the content is not complete, lack of integrity, disclosure form is single, lack of comparability, disclosure is not timely, lack of usefulness, disclosure is not accurate enough, the four major problems of doubtful authenticity. Aiming at these problems, from the principal-agent theory, Coleman trust theory, the analysis of its internal deep-seated reasons, mainly due to system theory study mechanism is not sound directly lead to the existence of defects, but the government’s charitable organizations in the management of intermediary penetration is too high, the market competition is not perfect,that lead to information disclosure of the charitable organization in China is lack of intrinsic motivation. Finally, from the point of view of these deep-seated reasons, learn from foreign advanced theory and practice experience, combined with the specific situation in our country currently, put forward to accelerate the theoretical research, improve the related charity information disclosure system, improve the management of charitable organizations to accelerate the administrative process, perfect charity information disclosure of external supervision, strengthen propaganda to establish incentive mechanism five targeted suggestions charity information disclosure, which puts forward the innovation of the charitable organizations required disclosure of information classification rules, according to the different categories of information disclosure regulations of the time limit, the charitable organization to guarantee the timeliness of information disclosure, and combine the concrete national conditions of our country, the construction of standard information disclosure evaluation for me the present situation and development for information disclosure, disclosure content and active, charitable organizations and improve standards, can provide appropriate preferential tax incentives, to solve the problem of insufficient charity information disclosure by economic means.