Some nonprofit tax-exempt organizations wrongly assume that they are exempt from filing Annual Returns with the IRS. On the contrary, most small and all large tax-exempt organizations must submit IRS Annual Returns to maintain tax-exempt status, and to avoid fees and penalties.

Small tax-exempt organizations (those normally with annual gross receipts up to $25,000) are required to file IRS Form 990-N. Large tax-exempt organizations (those normally with annual gross receipts over $25,000) are required to file IRS Form 990 or 990-EZ.

The return is due on the 15th day of the 5th month after the end of the organization's fiscal year. (For example, the 2008 return of an organization whose fiscal year ended on December 31, 2008, would be due May 15, 2009).

The Firm can assist your nonprofit tax-exempt organization in filing its Annual Return. Please ContactUs@DandridgeLaw.com for more information regarding this post or our services.

Labels: Nonprofit Annual Return, Nonprofit Tax Return

Some nonprofit organizations are unaware that they must complete an annual tax return, (in the case of a nonprofit, the term is 'information return') to be filed with the IRS. IRS Form 990 is the base form that must be filed by nonprofit organizations. The specific Form 990 (990-N, 990-F, 990-EZ, etc.) that must be used for your type of nonprofit organization depends largely on the amount of revenue the nonprofit realized for the tax year being reported, and the type of organization. Different types of nonprofits include public charities, private foundations, family foundations, and all 501(c) indications. As your filing deadline for the year 2008 is fast approaching, be sure to have your annual information return prepared as soon as possible, to avoid penalties and potentially losing your tax-exempt status.

The IRS recently updated the 2008 Forms 990 and 990-EZ. To assist nonprofits in understanding the new form, the following materials highlight significant changes to the Form and instructions, and explain the 2008 Form 990 redesign process.

Filing Threshold Table/Chart
On-Line Mini-Courses on Redesigned Form 990
IRS Issues Instructions for New Form 990 (News Release IR 2008-98)
2008 Form 990-EZ Instructions Released
Background Paper--Summary of Form 990 Redesign Process
Background Paper--Form 990, Moving From the Old to the New
Chronological History: Redesign of the 2008 Form 990 and Corresponding Instructions

Please contactus@dandridgelaw.com should you have any questions regarding this post or our services.

Labels: IRS Tax Return, Nonprofit Annual Return, Nonprofit Information Return, Nonprofit Tax Return