As a non-profit organization, it’s crucial to comply with the IRS regulations and file the right tax documents. The way you file your taxes can significantly impact your organization’s legal and financial status. Hence, it’s essential to understand the non-profit filing requirements and ensure your organization is up-to-date with the IRS filings.
In this article, we’ll take an in-depth look at the IRS 990 filings for non-profit organizations. From the filing requirements to the electronic filing process, we’ll cover everything related to non-profit tax filings.
Who is Required to File IRS Form 990?
All non-profit organizations that meet the IRS criteria are required to file an annual tax report. The IRS Form 990 is a tax-exempt organization’s informational return. This form provides the IRS with information on the organization’s finances, governance, and activities.
The IRS Form 990 is due on the 15th day of the fifth month after the organization’s accounting period ends. For example, if your accounting period ends on December 31st, the Form 990 must be filed by May 15th of the following year. However, if the due date falls on a weekend or a federal holiday, the due date will be the next business day.
Which Form Should You File?
The form your organization files depends on your annual gross receipts and total assets. The IRS has several versions of Form 990, depending on the size of the organization.
IRS Form 990-N (e-Postcard): If your organization’s gross receipts are less than $50,000, you should file Form 990-N. Form 990-N is an electronic postcard that asks for basic information such as the organization’s name, address, and website.
IRS Form 990-EZ: If your organization’s gross receipts are $50,000 or more, but less than $200,000, and your total assets are less than $500,000, you should file Form 990-EZ.
IRS Form 990: If your organization’s gross receipts are $200,000 or more, or your total assets are $500,000 or more, you should file Form 990.
How Do I File a 990-T Electronically?
Non-profit organizations may need to file Form 990-T, Exempt Organization Business Income Tax Return, if they have unrelated business income of $1,000 or more. Organizations may use Form 990-T to report income from activities unrelated to the organization’s tax-exempt purposes.
To file Form 990-T electronically, you need to use the Modernized e-File (MeF) system. The MeF system is a web-based platform through which you can submit your tax return electronically. You can access the MeF system through an approved e-file provider.
How to File IRS Form 990-N (e-Postcard)
Form 990-N is an electronic postcard that small non-profit organizations can use to satisfy their annual reporting requirement. The IRS Form 990-N (e-Postcard) can be filed using the IRS website.
To file Form 990-N, you need to answer a series of questions about your organization. This includes the organization’s name, address, website URL, and employer identification number (EIN). Additionally, you may need to provide information about gross receipts, assets, and any activities engaged in during the year.
Why Can’t I File 990-N?
Your organization may not be eligible to file Form 990-N if it falls under any of the following categories:
Your organization’s gross receipts are $50,000 or more and are less than $200,000.
You are a private foundation or a non-profit organization filing Form 990-EZ or Form 990.
Your organization has not timely filed its Form 990-series return for three consecutive years.
In such cases, you are required to file a complete Form 990 return, either Form 990 or Form 990-EZ, depending on your organization’s size.
What About IRS E-Postcard for Small Non-Profit Organizations?
Small non-profit organizations, with gross receipts of less than $50,000, are required to file Form 990-N, which is an electronic postcard. The IRS e-Postcard helps the IRS maintain a current and accurate database of small tax-exempt organizations.
The IRS has a list of authorized e-Postcard filers. You can access this list on the IRS website. Authorized e-Postcard filers can help you with the e-Postcard filing.
Are All Non-Profit Organizations Required to File an Annual Tax Report to the IRS?
Yes, all non-profit organizations are required to file an annual tax report to the IRS. This is regardless of whether the organization has taxable income or not.
The IRS Form 990 is an information return that is meant to give the IRS a picture of the organization’s finances, governance, and activities. By filing the Form 990, the IRS can determine whether the organization complies with the tax-exempt status requirements, as well as its public support requirements.
IRS 990 e-File Providers
Organizations that need to file Form 990, Form 990-EZ, or Form 990-N (e-Postcard) can do so electronically using approved IRS e-file providers. IRS e-file providers are software companies that have been approved by the IRS to submit tax returns electronically on behalf of taxpayers.
You can find a list of IRS e-file providers on the IRS website. You can also compare prices and features of different providers. Additionally, you should ensure that the e-file provider you choose is authorized to file the kind of form you are required to file.
IRS 990-N Filing Login
To file Form 990-N (e-Postcard), you need to log in to the IRS website using the organization’s EIN. If your organization does not have an EIN, you can apply for one on the IRS website.
To log in, go to the IRS website and select the Exempt Organizations ‘Login’ button. Next, select the ‘Submit’ button under the heading ‘Form 990-N filers, go here to file.’
File 990 Online Free
Many e-file providers charge a fee to file Form 990. However, certain providers may offer free or low-cost filing options for small non-profit organizations.
The IRS also provides free filing options for organizations that are eligible to file Form 990-N. These organizations can file their e-Postcard for free using the IRS website.
As a non-profit organization, staying up-to-date with the IRS filings is crucial. From determining the form to file to the electronic filing process, it’s vital that you understand the non-profit filing requirements. This can help ensure that your organization maintains its tax-exempt status and avoids any legal or financial problems.
We hope that this article has provided you with valuable insights into the IRS 990 filings for non-profit organizations. If you have any more questions, you can refer to the IRS website or consult with a tax professional.