Tax Requirements

Organizations that have failed to file an annual 990-series return or ePostcard notice for three consecutive years will automatically lose their tax-exempt status. 

Beginning in May 2010, tax exempt organizations, other than churches or church-related organizations, must file a Form 990, 990-EZ, 990-N(ePostcard) or 990-PF (for private foundations) with the IRS. This includes:

• A parent or central organization holding a group ruling, and
• Any subordinate organizations that are not included in the annual return filed by a parent or central organization of a group of affiliated organizations.

When the Returns are Due

The returns are due by the 15th day of the fifth month after the close of an organization's tax year. For example, if an organization's tax year closed on December 1, its return is due by the following May 15. If an organization's tax year closed on June 30, its return is due by the following November 15.

Consequences of Not Filing

An organization that does not file its required, annual information form for three consecutive years AUTOMATICALLY loses its tax-exempt status. That means it must file Form 1120, U.S. Corporation Income Tax Return or a Form 1041, U.S. Income Tax Return for Estates and Trusts, and may need to pay income taxes. In addition, an organization that automatically loses its section 501 (c) (3) status can no longer receive tax-deductible charitable contributions.

Where to Go for More Help

IRS has put information about which 990-series form to file and a set of FAQ's that explains how this filing requirement affects you on www.IRS.gov/eo. Look for the topic titled, "Exempt Organizations: Status Revoked for not Filing Annual Return or Notice." If you cannot find the information you need, call the IRS toll-free number at (877) 829-5500.