New Filing Thresholds for Nonprofits

http://institute.accountingtoday.com/news/IRS-Provides-New-Filing-Thresholds-Nonprofits-56532-1.html
WASHINGTON, D.C. (DECEMBER 3, 2010)
BY ACCOUNTING TODAY STAFF

The Internal Revenue Service has announced new filing thresholds for next year for tax-exempt organizations filing Form 990 series returns.

Organizations with gross receipts normally less than or equal to $50,000 must file Form 990-N (but may choose to file a complete Form 990 or Form 990-EZ). In prior years only organizations with gross receipts normally less than or equal to $25,000 could file the Form 990-N, also known as an "e-postcard."

Organizations with gross receipts greater than $50,000 and less than $200,000, and total assets less than $500,000, must file Form 990-EZ or a complete Form 990.

Organizations with gross receipts greater than or equal to $200,000, or total assets greater than or equal to $500,000, must file Form 990.

Private foundations must file Form 990-PF.

IRS relief for small nonprofits (7-26-2010)

IRS Commissioner Doug Shulman announced that the IRS is providing relief for small nonprofit organizations that are at risk of losing their tax-exempt status because they have missed, or are about to miss, the deadline for filing Form 990-N or Form 990-EZ.

The program offers two types of relief:

• They are extending the filing deadline to October 15 for organizations with gross receipts of $25,000 or less. These are the groups that have to file the Form 990-N, the e-postcard.
• Larger organizations, which are eligible to file the Form 990-EZ, may file their three delinquent returns and pay a small fee ($100 - $500). As long as they file by October 15, they won’t lose their tax exemption.

No relief is available to larger organizations that have to file the Form 990, or to private foundations that file Form 990-PF.

For more information on this program and a list of organizations at risk of losing their tax-exempt status, go to http://www.irs.gov/charities/article/0,,id=225889,00.html.