The distinction between propositions and states-of-affairs is made in philosophy (Vendler 1967) and linguistic semantics (Dik 1997). The distinctive criteria are summarized in the table.

property proposition state-of-affairs
terms proposition
truth
(possible) fact
event
occurrence
state-of-affairs
matrix predicates 'know', 'believe' 'take place', 'happen', immediate perception verbs
has a truth value yes no
situation has been mentally processed by the speaker yes no
can contain negation yes no
located in space and time no yes
directly sensorily perceptible no yes
complement structurally deranked less more
English complement construction that clause infinitive, abstract noun

The complement clause of designates a proposition; the complement clause of designates a state-of-affairs.

.I know that Jim took his coat.
.I saw Jim take his coat.