ExpressTaxExempt Blog

Form 990-EZ: Schedules A, B, and C

When it comes to the 990-EZ, there is a lot going on. At first glance, learning about this form might seem like an impossible task, but it doesn't have to be. Why don't we break it down a bit so we can take a closer look at every section. Let's begin our journey into the wonderful world of the 990-EZ by taking a look at Schedules A, B and C.

Schedule A

Every 501(c)(3) organization will fill out a Schedule A. It tells more about what type of organization you are; if your organization is classified as a government, education, community organization, or grassroots.  In addition, this form identifies your public support, where you get your support, and in what form your support comes in (grants and/or gifts).

For more information on Public Support Tests, checkout our blog - What Does It Mean: Failure To Meet A Public Support Test

Schedule B

Schedule B is based off your contributors.  The general rule for nonprofits, is that when your organization receives more than $5,000 from any one contribution, it will be reported on this form. For exclusively religious contributions, it is a bit different. If your organization recieves a contribution from an exclusively religious contributor of $1,000 or more, it will be reported on this form. With this schedule there is a Special Rule that could have an effect on how you will file this particular schedule.

The Special Rule:
For an organization described in section 501(c)(3) organizations that meets the 33 and 1/3% support test of the regulations under sections 509(a)(1) and 170(b)(1)(A)(vi) and not just the 10% support test (whether or not the organization is otherwise described in section 170(b)(1)(A)), list in Part I only those contributors whose contribution of $5,000 or more during the tax year is geater than 2% of the amount reported on Form 990-EZ, Line 1.

Schedule C

Finally, the Schedule C is for organizations that are politically active.  This schedule requires you to provide information on your political and lobbying activities. Lobbying activities, as defined by the IRS, would be classified as..

An attempt to influence legislation by propaganda or otherwise, presentation of testimony at public hearings held by legislative committees, correspondence and conferences with legislators and their staffs, communications by electronic means, and publication of documents advocationg specific legislative action.

These are only the first 3 990-EZ Schedules. Next time we will go over Scedules E, G, L, and O. If you want more information right this second, head on over to the Express990.com website where we go into great detail about the 990-EZ form and every schedule we provide. 

Read More »

End of Year Tax Tips For Nonprofit Organizations

I had the chance to sit down with the Express990 crew to discus what is most important to be aware of at the end of the year. Now, they had a lot of tips, but a few really stood out. So to kick of this important series, End of Year Tax Tips, we start with Yearly renawal of state articles of Incorporation. 

Yearly renew of state Articles of Incorporation.

All nonprofits must renew their articles of incorporation with their respective state(s) each year. If you only solicit charitable contributions locally, then you are only required to register your non-profit in that one state. If you intend to solicit charitable contributions nationally, you will have to register in 39 states and the District of Columbia before you can solicit within their jurisdiction.

Another Express990 crew member was on the phone with a Nonprofit Organization (NPO) and was asked a question about intellectual property. Now i'm not one to eavesdrop, but this question seemed really important. So I listened in on  the answer, and it was just perfect. Here is exactly what was said...

​Can a NPO generate money through intellectual property?

Consider intellectual property as public radio, public, television, or even the National Geographic Society, they are organizations that sell or lease their intellectual property to make a profit. This same method can use used with art groups, educational organizations, and other organizations that develop their own intellectual property for sale to others.

​If the sale of that intellectual property furthers the charitable exempt purpose of the organization, then the sales do not generate unrelated business income; regardless of the amount. However, if the material sold is unrelated to the charitable organization exempt status, this would generate unrelated taxable business income.

And too much "unrelated" business income can cost an organization its exempt status.

So even though this is an extremely busy time for nonprofit organizations, keep in mind the tips and reminders for the end of the year. You don't want to be late, or risk losing your tax exempt status. And don't forget to file your 990. If you miss filing your 990 for three consecutive years, you will automatically lose your tax exempt status. Express 990 supports e-filing of the 990-N (e-postcard) and the 990-EZ. We even have an app the file the 990-N so you can get that baby to the IRS no matter where you are. If you have any questions about filing Form 990, don't hesitate to give us a call at 704-839-2321 or send us an email: support@expresstaxexempt.com 

Read More »

Things To Know: Gift Acceptance Policy

In the perfect non-profit world all financial support would be either cash or liquid donation and free of any donor imposed restrictions. No matter the reason for the donor to give, you can count on donors to impose restrictions to test your comfort zone as an organization. 

Whether a proposed gift is in the form of cash or property, restricted or unrestricted, the having a gift acceptance policy can help you evaluate the gift and the impact that it will have on the organization. Having a gift acceptance policy will describe the nature and types of gifts that you are willing accept, with taking into consideration your organization size and the resources you have to administer the gift. Most important it will take into consideration the various risks associated with ownership of the property.

What may be a treasure in the heart of the donor may not be such a treasure in your organization's eyes or the open market, when it may have to be liquidated. That liquidation may take in inordinate amount of time and a drain on the organization resources.

This situation can create added administrative costs as well sour the relationship between you and the donor, particularly if this is not adequately planned. Thus the need to have ta Gift Acceptance Policy in place with mitigate these issues and ensure clear expectations and understanding is communicated to both parties.
Read More »

What Does It Mean: Failure To Meet A Public Support Test

Sometimes your curiosity gets the best of you and you want to know the answer to this question: What does it mean if an organization failed the "public support test"?

It's reasonable enough to ask but when you search for this answer an insane amount of information is thrown up on your screen. The Express990 team wants to save you a bit of time and some vision by just putting all your answers in this convienient, yet informative blog..

These are the answers you have been searching for...

Here is an interesting tidbit, I bet many non-profits did not know, the default rule is that all 501(c)(3) organizations are private foundations unless they qualify as a public charities. Which is mean, unless your organization passes the "public support test" you are otherwise classified and governed as a private foundation. And private foundations are subject to more restrictions and have to pay taxes on investment income. Thus qualifying as a "public" charity is very beneficial.

There are two tests that an organization can use to determine if they pass the "public support test"; donative charity test and gross receipts charity test.

The donative charity text stipulates that a charity must normally receive at least 1/3 of its total income from government grants, grants from other public charities, and from members of the public. A caveat is that there is a 2% limit on the amount of funding from any one donor, foundation, or corporate funder that can be counted toward the total.

The gross receipts charity test to see if it normally receives at least 1/3 of its total income from government, grants from other public charities, from members of the public, or from revenues generated by activities within the organization's exempt purpose. The caveat is that this test places a limit on the amount of investment income that the organization can earn. The organization cannot have not more than 1/3 of its total income can derive from investment income.

These test are review year after year. If you meet the public charity test in 2013 tax year, you will be classified a charity for the 2013 and 2014 tax years. However, if you do not pass the public support test in 2013, your organization will be classified as a private foundation for tax year 2013. If you believe that the classification of a private foundation should not be applicable to you, then you should the IRS.

Before you go to share this wealth of knowledge with the world, I just wanted to add this little smidgen (it's a word ;) of information in here for good measure. If you need to file your Form 990-N or 990-EZ and the thought of all that paperwork makes you sick to your stomach, Express990.com provides e-filing of these forms. The entire process is much more simple to get through and understand. If you have any questions, do not hesitate to contact our amazing support team
Read More »

Qualifying for Public Charity Status

Most officers' of publicly-supported organization have questions about their organizations' public charity status. It can be complicated at first, but the Express990 Team has a few tricks to make it a bit easier. Obtaining public charity status is important to understand as well as how to maintain it. To avoid possible loss of public charity, it is important to monitor your organization's financial support. Here are a few helpful ways to check if your organization qualifies as a public charity:

Identifying Current Status
To check your current status with the IRS, you can visit their EO Select Check page. You can also check to make sure your status hasn't been revoked by going to the IRS Automatic Revocation of Exemption List. It's a lot of links right off the bat, but trust me, it is sometimes much easier to check on your status through the IRS web page then having to call them directly. 

Public Charity Status
Public charity status is only applicable to 501(c)(3) organizations. To receive this status you would have filed a Form 1023. For more information on receiving 501(c)(3) status check out my blog - How Does An Organization Receive 501(c)(3) Status?

Public Support Test
The public support test is basically a fraction. It is the sum of the organization's public support during the five year period over the sum of the organization total support during the five-year period. In simple words, the organization must have at least 33 and 1/3 public support to qualify as publicly supported.

Supporting Organization
Public support is classified as a gift, grants and contributions from government and public sources; gifts, grants and contributions from private sources, such as individuals, businesses and private foundation; government contracts to provide a service or maintain a facility for the benefit of the general public; qualified sponsorship payment; and membership fees for the organization general support.

Let's Sum It Up
As long as organization receives more than 33 and third percent of it support from the items listed above, they will be considered a public charity. Don't forget you can always check your status on the IRS EO Select Check page and you can make sure your status hasn't been revoked through the IRS revocation list - linked above.  
Read More »

The 990-N App

The right app to file your 990-N is all you need to simplify tax filing for nonprofit organizations. Express990 provides you that perfect app to file your 990-N from any location, at any time. No, my nonprofit friend, this is no dream. The 990-N App truly exists and is available to download right now, for free on Google Play & iTunes App Store!

What is the difference between Form 990 and the 990-N?
The 990-N is a greatly shortened version of the From 990. Another main difference between the two is who can use the 990-N vs. Form 990. The 990-N is used by small tax-exempt organizations that gross in receipts of $50,000 or less in a year and is only available to be filed electronically. This is actually very convenient for easy filing on the go; not to mention a greener alternative to the old school paper option - go Earth!

When is the deadline to file the 990-N for my organization?
This is how the IRS explains the 990-N deadline - The deadline is on the 15th day of the 5th month after the last day of your tax year. Not the clearest definition to define a date right away, but here is an example of how to figure it out:

Ex. If your tax year ended December 31st, your 990-N will be due by May 15th of the following year.

To be absolutely, beyond a shadow of a doubt sure of when you 990-N deadline is, consult a financial advisor/accountant. You wouldn't want to put your exempt status in jeopardy because you didn't file on the correct due date for your fiscal year.

If you have questions give the Express990 team a call. We are located in beautiful Rock Hill, SC and you can reach us via phone: 704.839.2321 or through our 24/7 email support: support@expresstaxexempt.com.

Read More »

How Does An Organization Receive 501(c)(3) Status?

The Express990 team has been.... you know the title of this blog is just one of those questions that you don't want to read through a lengthy introduction to finally come to the answers. I've also been pondering this question, so let's just get right to it shall we...

What forms need to be filed?

There are two main types of forms an organization can file to get exempt status: Forms 1023 and 1024. 
    • Form 1023 is exclusively for 501(c)(3) organizations and comes in various fashions. Form 1023, the largest of the 1023 series, is 26 pages long and includes 8 different schedules. Because of the complexity and length of this form, the IRS decided to make smaller versions. The i1023 is an online interactive version of the 1023 that has auto-calculated fields and help buttons. This form is then downloaded, printed out, and mailed in. Form 1023-EZ is for 501(c)(3) organizations that will have gross receipts of less than $50,000 and total assets of less than $250,000. The 1023-EZ is only 3 pages long but still requires the same $400 filing fee that is consistent for all of the applications.
    • Form 1024 is for all other organizations other than Section 501(c)(3). Most of these organizations can self-declare their tax-exempt status, but must still file a Form 990. If an organization of this type has its exempt status revoke, it must file a Form 1024 to be reinstated. The only exceptions are Sections 501(c)(9) and 501(c)(17) organizations, as these cannot self-declare. There are 11 schedules connected with the Form 1024, but only one schedule will be used with each type of organization filing.
What are the all the steps to receiving 501(c)(3) Status?

Filing for tax-exempt status can seem like a daunting task, but if you keep your ducks in a row, it won’t be nearly as stressful. First things first: do your homework. Make sure you have all the information and paperwork you need before submitting your organization to the IRS. You don’t want to have your application become stuck in limbo because you forgot one initial on one page. In the end, you don’t want your exempt status to come down to hope, trust, and pixie dust.

There are four forms that an organization can use to apply for exempt status: Forms 1023, i1023, 1023-EZ, and 1024. The first 3 are variations for just section 501(c)(3) status applications. Form 1024 is for all other section 501(c)s, though most organizations that fall into these sections can simply self-declare. Exceptions to this rule would be sections 501(c)(9) and 501(c)(17), which cannot self-declare.

The Form i1023 is an online version of the full Form 1023, which is 26 pages and 8 schedules long. The Form 1023-EZ, on the other hand, is only 3 pages long but is reserved for those 501(c)(3) organizations with under $50,000 in annual gross receipts and less than $250,000 in total assets. Both the 1023 and 1023-EZ require the same $400 filing and processing fee.

How does an organization maintain their exempt status?
One of the best ways to maintain your exempt status is to file your Form 990 return every year on the date specified by your fiscal calendar. The majority of organizations lose their exempt status simply because they did not file for more than three consecutive years.

For audit and record purposes, you want to keep a copy of every IRS document. Record retention is determined by the needs and wants of the organization. Many nonprofits, particularly those engaged in providing heath-care services or those serving minor children, are subject to retention requirements that are specific to, or prudent for, the services they provide. 

Overall, receiving 501(c)(3) Status doesn't seem too difficult. Decide which form you need to file, the 1023 or the 1024. Then enter in some business information pay a filing/processing fee, wait a non-specified amount of time (I'm hoping within a day-fingers crossed), and {poof} 501(c)(3) Status received. I'm happy to see an online version of the 1023 (known as the i1023), because paper filing is a bit old fashioned and time consuming. For more information on 501(c)(3) status check out these blogs:

Read More »

Public Charities vs. Private Foundations

Do you like to compare particular subjects to see how they differ? I know I do. Quick story: It was an ordinary Tuesday at Express990, nothing exciting was happening in the wonderful world of nonprofit tax filings. To continue on the path of Nonprofit Tax Knowledge, I was reviewing some very informative Form 990 series literature. Then suddenly, a question popped in my head; how do public charities differ greatly from private foundations? What types of 990 forms would they file? I quickly jumped on the research train to answer these pressing questions...

public charities vs. private foundations

What is the relationship between public charities & private foundations?
Public charities and private foundations are often separated by who they benefit. Public charities benefit the public at large or a specific group of people. They also typically receive donations from many donors of varying amounts. Private foundations are founded for the benefit of one person or few people, such as a scholarship fund. Likewise, private foundations are often funded by a few donors with consistent amounts.

What 990 form would need to be filed for a public charity vs. a private foundation?
Public charities, like section 501(c)(3) and other 501(c) organizations, file one of three forms: 990-N, 990-EZ, or 990. These three forms are dependent on the amount of gross receipts or total assets. Organizations with $50,000 or less in gross receipts may file the 990-N (e-Postcard) while organizations with less than $200,000 in gross receipts, and less than $500,000 in total assets, may file the 990-EZ. Any organization that goes over these amounts must file the entire Form 990.
Private foundations, unlike the previously mentioned public charities, have their own 990 Series form: Form 990-PF. This form does, however share the same "15th day of the 5th month after the end of the tax period" rule with the rest of the Forms 990.

Extra tidbits about Public Support
The IRS determines the exempt categorization of exempt organizations based on what it calls "Public Support Tests." There are two public support tests: the first one is for organizations described in Sections 509(a)(1) and 170(b)(1)(A)(vi) of the Internal Revenue Code. The second is for organizations described in Section 509(a)(2). Both of these tests measure public support over a 5 year period and hinge on 1/3 of support from contributions rule, meaning that the organization must receive at least a third of its support from public contributions. Section 509(2)(a) organizations can receive no more than 1/3 of their support from gross investment income and unrelated business taxable income.

There is a notable difference between public charities and private foundations. If you are looking at them definition wise, remember public charities receive donations from many donors of varying amounts and private foundations  are funded by a few donors with more consistent amounts. Another difference is the type of 990 forms they file. The only thing they have in common is the "15th day of the 5th month after the end of the tax period" rule for filing.

Read More »

Reminder: Don't Include SSN on Form 990-EZ

Despite multiple warning from the IRS, an estimated 20% of tax-exempt organization still include private information, such as Social Security numbers, of their principal officers on their Forms 990. This can prove to be disastrous to both the organization and the officers involved. From harassing phone calls to identity theft, giving out sensitive information poses a big problem. Make sure you’re checking all of your schedules so that nothing is included that shouldn't be.

Since the 990-EZ is a public document, organizations are cautioned against including Social Security numbers when filing. Social Security numbers may accidentally listed when giving information on principal officers or key employees. Ensuring private information stays private is essential to protecting your officers and instilling confidence to your donors. After all, their information may be posted publicly as well.

Don’t be a part of the 20%. Keep your organization in the clear and easily take care of your 990 filing needs by filing with Express990.com.

If you have any questions pertaining to filing Forms 990, don't hesitate to call the Express990 Support team via phone: 704.839.2321 or email: support@expresstaxexempt.com
Read More »

Tax Tips To Avoid Late Filing Penalties For Form 990-EZ

Unfortunately, just like the 990-N, there’s no sure-fire way avoid IRS penalties for late filing the 990-EZ, except filing on time. In order to understand the gravity of this situation, let’s look at what the penalties could be if you fail to file:

“If an organization whose gross receipts are less than $1,000,000 for its tax year files its Form 990 after the due date (including any extensions), and the organization doesn't provide reasonable cause for filing late, the Internal Revenue Service will impose a penalty of $20 per day for each day the return is late. The maximum penalty is $10,000, or 5 percent of the organization's gross receipts, whichever is less. The penalty increases to $100 per day, up to a maximum of $50,000, for an organization whose gross receipts exceed $1,000,000.
  • “An organization that fails to file the required information return (Form 990, Form 990-EZ, or Form 990-PF) or e-Postcard (Form 990-N) for three consecutive tax years will automatically lose its tax-exempt status.”
That’s a hefty payment for a tax-exempt organization and losing your exempt status is no joke. You can make filing your 990-EZ less...dare we say it...taxing by having all of your information ready before you begin filing. Nothing ratchets up the stress meter like a fast-approaching deadline and not being able to find the address of a big contributor.

We also recommend making this a group effort: have those in your organization that know it best to divide the work between the, based on who is better at what. Assign fundraising events to whoever puts together your events. Give the donor list section to the person who knows your biggest donors best. Let the public relations officer handle the explanation of the organization’s exempt purpose. Long story short, “teamwork makes the dream work.”

You can avoid pesky and potentially organization-ending IRS penalties by filing in a timely manner, filing a Form 8868, Extension of Time to File, or adding an explanation as to why you’re filing late. The IRS will assess penalties on a case-by-case basis given an adequate explanation can be produced. In any case, being proactive can reduce your stress and keep you out of hot water, so file with Express990.com and stop letting those taxes get to you.

Read More »

Tax Guide To File Form 990-EZ With The IRS

The fastest and easiest way to file your Form 990-EZ is to file with Express990.com. Simply navigate to the site, click on “New Users,” and create an account. Once your account has been created, you will be taken to your Dashboard and can immediately begin filing your return. Filing with Express990 is fast, easy, and simple. They offer around-the-clock, U.S.-based customer support at no charge.

Before you begin, here’s a few tips for a seamless and stress-reduced filing process:
  • Make sure you have all of your information - for security reasons, our system will time you out if you go too long without activity and it’s always much easier when everything is right next to you
  • Split it up, if necessary - have different people working on different sections; work in shifts; sharing the load greatly reduces the stress and hassle of taxes
  • Get comfortable - even though our system is designed to be quick and efficient, there’s still a lot of information to be processed and you may be there a while
  • Skip around - complete the easiest parts first so you can concentrate on the more difficult sections afterwards
  • Use your resources - Express990 offers three-way support: phone calls, chats, and emails; don’t hesitate to contact us if you need assistance
  • Take a break - the 990-EZ is a hefty tax form that requires a lot of attention; be sure to step away for a little while to regain your focus...and your sanity
  • Take a deep breath - you can do this! Each question is a question sooner to being done, don’t give up hope now
As you can see, though the stresses of filing Form 990-EZ are completely avoidable, there are many things you can do to help stem the tide of woe and despair. Don’t think you’re in this alone, we’re here to help any way that we can. For legal reasons, we can’t give you direct tax advice, but we can help you navigate through the software and point you in the right direction.

Call, live chat, or send the Express990 team an email. You can reach us from 8 a.m. to 6 p.m. EST at (704) 839-2321 or 24/7 at support@expresstaxexempt.com. Once you submit your 990-EZ, you should hear back from the IRS in around 15 minutes. You will receive an email from us confirming your form’s acceptance or rejection. Should it be rejected, we’ll help you find out why and there’s never a charge to re-submit your form.
Express990.com also provides e-filing of:

Form 990-N (e-postcard) for current and previous tax years

Form 8868 - Application for Extension of Time to File an Exempt Organization Return

Read More »

How To Recover Payments Due to IRS Penalties

Unfortunately, there is no way to recover penalties and fees paid to the IRS. However, you can avoid those penalties by filing in a timely manner, e-filing a Form 8868 (Extension of Time to File), or adding an explanation as to why your filing late. The IRS will assess penalties on a case-by-case basis given an adequate explanation can be produced.

The best way to avoid IRS penalties is to file on time or, if you won’t be able to file on time, to file for an extension. Extensions of time to file for tax-exempt organizations are usually in 3-month increments. The first, like all extensions, is automatic and does not require an explanation. The second, non-automatic extension is granted based on the reasons the organization lists on the application. So what are appropriate reasons to file for an extension, or even to try and escape hefty penalties?

The IRS looks for something they call “facts and circumstances,” or reasonable explanations as to why the organization is delinquent in their filing. Here is what they are looking for:
  • What prevented the organization from requesting an extension of time to file its return, if the organization did not request such an extension
  • How the organization was not neglectful or careless, but exercised ordinary business care and prudence
  • What steps have been taken to prevent the same situation from occurring in the future
Should an organization be able to give all of these explanations, they stand a much better chance of having their taxes abated. The penalties may also be forgiven if the organization can show that it was delinquent due to events outside of its control or because of advice given by a certified tax professional.

Read More »

Form 990-EZ: Schedules and Attachments

Schedules are a vital part of the Form 990-EZ. They allow the tax-exempt organization to go into further detail on sections of the form that would otherwise prove difficult in supporting its reason for being tax-exempt. In other words, schedules are the megaphone of the organization with regard to the 990-EZ. The IRS stresses that the 990 series isn't simply a bunch of tax forms, it’s also a chance for the organization to “sell” itself to potential donors. Each schedule is designed to provide specific information on certain activities. The narrow scope of each one allows the organization to go into deeper detail instead of trying to paint a broad image in a limited space.

The applicable schedules for Form 990-EZ are as follows:
  • A (Public Charity Status and Public Support) 
  • B (Schedule of Contributors)
  • C (Political Campaign and Lobbying Activities) 
  • E (Schools) 
  • G (Supplemental Information Regarding Fundraising or Gaming Activities)
  • L (Transactions with Interested Persons) 
  • N (Liquidation, Termination, Dissolution, or Significant Disposition of Assets)
  • O (Supplemental Information to Form 990 or 990-EZ). 
Attachments can be name change amendments to organizing documents, reasonable cause explanations for late-filed returns, and articles of merger or dissolution, resolutions, and plans of liquidation or merger.

Please keep in mind that schedules, just like the 990-EZ itself, are available to the general public. This means to be very careful about the information put on them. The IRS estimates that around 20% of organizations still place sensitive information, like the Social Security numbers of their principal officers, on these schedules. Doing so could prove disastrous for both your employees and your organization.

Read More »

Understanding the Basics of IRS Form 990-EZ

Have you ever read through the information on the IRS website for Form 990-EZ in its entirety? It never ends, those instructions seem to go on forever like Lambchop's "Song That Never Ends". The material can be condensed down a smidgen to a nice outline to help you understand the basics of IRS Form 990-EZ.

Purpose of Form 990-EZ
The 990-EZ was created to provide a shorter alternative to filing Form 990. It is used by tax-exempt organizations, nonexempt charitable trusts, and section 527 political organizations to provide the IRS with the information required by section 6033.

General Instructions
There are multiple parts for the 990-EZ, but Parts I-V must be completed by all filing organizations. Part VI will need to be completed by section 501(c)(3) organizations and section 4947(a)(1) nonexempt charitable trusts. Here is a list of the information you will need to complete Form 990-EZ:
  • Gross Income
  • Total expenses incurred within the last year
  • Disbursements within the year that are the reason the organizations is exempt
  • Balance sheet showing assets, liabilities, and net worth
  • Total contributions & gifts received during the year and the names and addresses of all substantial contributors
  • Names and addresses of the foundation's managers and highly-compensated employees
  • compensation and other payments made during the year
  • Lobbying expenditures and nontaxable amounts
  • Direct or indirect transfers and relationships with other organizations of the same type
  • Respective amounts of the taxes imposed on the organization or any manager of the organization
  • Amounts of reimbursements paid by the organization during the taxable year for any taxes imposed 
  • Information on any excess benefit transaction
  • Information on any disqualified persons
  • Information on disaster relief activities
Who Can File
You will need to file Form 990-EZ if your tax-exempt organization has gross receipts of less than $200,000 or total assets of less than $500,000. This form is due on the 15th day of the 5th month after the organizations accounting period ends. 

Extension of Time To File
You can always extend your Form 990-EZ filing deadline with Form 8868, also provided by Express990.com. This extension will automatically give you an additional 3 months to file.

These are just your basics to understanding Form 990-EZ. Next time we will get into the nitty-gritty Conditions for a Properly Completed Form 990-EZ.

Read More »

IRS Form 990 Deadline Today

The IRS deadlines keep on spinning. If your nonprofit organization falls under the Feb 1, 2013- Jan 31, 2014 tax period, then your IRS Form 990 is due TODAY! Don't worry, you can gain more time with a Form 8868 extension, Express990.com has got your covered. But first let's go over your options of the 990 series so you know exactly what to file.

Form 990-N is for smaller nonprofits with $50,000 or less in gross receipts. The 990-N is called and e-postcard and only takes a few minutes (if that) to complete and transmit to the IRS. You need to have some business information ready to go including: EIN, legal name & address, different names the organizations uses (if any), website (if any), name and address of Principal Officer, confirmation of $50,000 or less in gross receipts, and a statement the organization is going out of business (if applicable).

Form 990 is used by most organizations exempt from income tax under section 501(a). If your nonprofit has gross receipts greater than or equal to  $200,000 or total assets greater than or equal to $500,000 at the end of the tax year, the the Form 990 is for you. You can always extend your deadline with Form 8868, and we will be getting to that in just a moment.

Form 990-EZ is used by tax-exempt organizations, nonexempt charitable trusts, and section 527 political organizations to provide the IRS with the information required by section 6033. This form is for those exempt organizations with gross receipts less than $200,000 or total assets less than $500,00. You also have to option to extend the filing deadline for this return with Form 8868.

Form 990-PF is used to figure the tax based on investment income, and to report charitable distributions and activities. This form also serves as a substitute for section 4947(a)(1) nonexempt charitable trust's income tax return, Form 1041, U.S. Income Tax Return for Estates & Trusts, when the trust has no taxable income. Like the previous two 990 forms, the deadline to file Form 990-PF can also be extended with Form 8868.

Extending your deadline with Form 8868.
First things first, you can not use Form 8868 to extend the filing deadline of Form 990-N (e-postcard). But for the other forms in the 990 series, you have the option to extend your deadline. Express990.com provides Form 8868 "Application for Extension of Time to File an Exempt Organization Return" that can give you an automatic 3-month extension to file your Form 990, 990-EZ, 990-PF. Learn more...

Read More »

990 News: Revenue Procedure 2014 - 11

Revenue Procedure 2014-11 is a publication by the IRS outlining the process for gaining retroactive reinstatement for exempt organizations. Should an organization fail to file a Form 990 (and any form from the 990 series) for three consecutive years, its tax-exempt status is automatically revoked. This can mean big fines, penalties, and taxes. Thankfully, the IRS has created this process for first-time offenders.

There are three options for tax-exempt organizations to regain their exempt status and have it retroactively reinstated; we will discuss each individually. The first two are applicable only to those organizations who have had their exempt status revoked no more than 15 months prior to reapplying.

An organization that was eligible to file either Form 990-EZ or 990-N for each of the three consecutive years that it failed to file, and that has not previously had its tax-exempt status automatically revoked, may apply to have its tax-exempt status retroactively reinstated effective from the Revocation Date if it does both of the following:

  1. Completes and submits an Application at the address provided in the instructions to the Application not later than 15 months after the later of the date of the Revocation Letter of the date on which the IRS posted the organization’s name on the Revocation List. To help facilitate processing, organizations should write “Revenue Procedure 2014-11, Streamlined Retroactive Reinstatement” on the top of the Application.
  2. Include the appropriate user fee with the Application. 

An organization that is not eligible for the aforementioned procedure may apply to have its tax-exempt status retroactively reinstated effective from the Revocation Date if it does all of the following:

  1. Completes and submits the appropriate Application to the address provided in the instructions to the Application not later than 15 months after the later of the date of the Revocation Letter or the date on which the IRS posted the organizations name on the Revocation List. To help facilitate processing, organizations should write “Revenue Procedure 2014-11, Retroactive Reinstatement” on top of the Application.
  2. Includes the appropriate user fee with the Application
  3. Includes the Reasonable Cause Statement
  4. Includes a statement with the Application confirming that it has filed the Annual Returns required in the below step
  5. Files properly completed and executed paper Annual Returns for all taxable years in the consecutive three-year period for which the organization was required, and failed, to file Annual Returns (and for any other taxable years after such period and before the Post-Mark Date for which required returns were due and not filed). The Annual Returns must be mailed to the follow address:
Department of the Treasury

Internal Revenue Service Center

Ogden, UT 84201-0027

For those organizations beyond the 15-month mark, the IRS has another method for regaining reinstatement that requires a bit more work. An organization that applies for reinstatement of its tax-exempt status more than 15 months from the later of the date of the Revocation Letter or the date on which the IRS posted the organization’s name on the Revocation List may have its tax-exempt status retroactively reinstated effective from the Revocation Date only if it satisfies all the requirements of the aforementioned section, and except that it must provide the Reasonable Cause Statement for all three years instead of just one.

As you can see, the process is very in-depth but well worth the effort. We recommend it to any organization that needs to be reinstated and wishes to have retroactive exempt status as well. Make sure that you have all of your information before attempting to file for reinstatement. Contact the IRS to ensure that you have all the necessary documentation and have taken all of the necessary steps for filing.
Life Cycle of an Exempt Organization

With things changing so quickly, it’s hard to pin down exactly what stage your organization is in. Luckily the IRS has narrowed the process down into 5 steps, or the “Life Cycle” of your exempt organization. All tax documents relating to exempt organizations are written to fit into these 5 stages:

1. Starting Out: Creating an organization under state law, acquiring an employer identification number, and identifying the appropriate federal tax classification

2. Applying for Exemption: Acquiring, completing, and submitting application forms; how the IRS processes applications; and getting help from the IRS during the application process

3. Required Filings: Annual exempt organization returns, unrelated business income tax filings, and other returns and reports that an organization may have to file

4. Ongoing Compliance: How an organization can avoid jeopardizing its tax-exempt status, disclosure requirements, employment taxes, and other ongoing compliance issues

5. Significant Events: Audits, private letter rulings, and termination procedures

Somewhere within these 5 stages is where your organization falls with the IRS, and Express990 is here to help make sorting through the chaos a little bit easier. Our free 990-N service helps smaller organizations remain compliant at no cost to them. We also provide the chance to extend your filing deadline with Form 8868, so you can get a little breathing room between you and that pesky 990 deadline. We've designed our site for the everyday taxpayer, not the tax professional, so you can file your forms quickly and get back to doing what you love.

Read More »

IRS 990 Webinar Recap

On May 29th, the IRS covered a variety of issues on the Forms 990-N and 990-EZ. Over the hour-long session, the two-person panel discussed topics such as the purpose of the 990 series, who needs to file, common errors found on the forms, the advantages of e-filing, what should go on the forms, suggestions to make the filing process a little less tedious, and how to achieve reinstatement if your organization’s tax-exempt status has been revoked. The overview was in-depth and very educational. Since it was moderated by two IRS officials, CE (Continuing Education) credit was offered for professionals. The presentation lasted approximately an hour, spanning from 2 PM to 3 PM EST, and consisted of a slideshow and voiceover analyses by the two moderators. And yes, we actually stayed awake for the whole thing. 

The Breakdown:
The IRS maintains that the 990 series is not simply a “tax form,” but is also to provide information to the general public and interested contributors. Since it’s a public document, any organization may file the Form 990 and is required to do so if it is hoping to achieve tax-exempt status. Even those organizations that have applied for exempt status but have not been accepted are required to file. Be warned, everything you put on the Form 990 is available to the public and the IRS strongly discourages organizations from putting personal information on the document. Despite these warnings, some 20% of organizations still submit 990s containing Social Security numbers.

While it may seem long, compared to the Form 990, the Form 990-EZ is relatively short: just 4 pages compared to the 12-page document that is the Form 990. Even still, the task of completing the form can be daunting and the IRS recommends making it a group effort to ease the stress for everyone involved. Have those employees that best understand each section of the 990-EZ work on it individually and then combine the sections and complete any necessary schedules. For example, your events manager may know more about the fundraising dinner you had last week than the public relations manager. Alternatively, the public relations manager may be able to better describe the purpose of your organization better than your accounts payable manager. No matter the case, the filing process will become less and less of a headache when the burden of collecting information is shared. It’s the classic Scooby-Doo approach!

Speaking of filing, the IRS recommends that all organizations e-file, even if they are not required to. An astounding 24% of Forms 990 paper filed with the IRS contain errors, while only 1% of e-filed forms contain errors. This fact alone should be enough to convince any organization to switch but if it isn’t, consider this: the fines for filing incorrect or incomplete forms are equal to the fines for filing late, a hefty penalty to pay without a doubt. E-filing, and especially e-filing with Express990, can save you not only money, but time as well. Our software helps calculate certain expenses and revenues, so there’s no punching calculator buttons or worrying about human error.

The most important topic covered was the Revenue Procedure 2014-11 discussion. This IRS publication discloses valuable information on retroactive reinstatement, meaning that organizations that have had their exempt status revoked may be able to be get it back without owing any taxes. The webinar mentioned three particular situations covered by the Rev. Proc. 2014-11, but many more apply. They also discussed different factors for “reasonable cause”; reasons why the organization had not filed a Form 990 or had been delinquent in filing for several years. Keep in mind, though, that these options apply predominantly to those organizations that are “first-time offenders.” If your organization has previously lost its tax-exempt status, it may not be able to access this reinstatement process.

In Conclusion,

The webinar was helpful and informative. We enjoyed listening and watching it, and we hope this blog was useful for you. We covered the main areas of the panel discussion, but there’s a lot more out there. You can access the information for yourself on the IRS website or read up on some more interesting facts on our FAQs page. There are some big things coming to Form 990 filing and we’re excited about them! There will be a second webinar on June 19th for UBI (Unrelated Business Income). We will be attending and writing a summary for it as well. Stay tuned for more blogs and discussions!

Read More »

What Happens If I Miss The 990-N Filing Deadline?

If your tax-exempt organization has annual gross receipts of $50,000 or less, then you are required by the IRS to electronically submit Form 990-N (e-Postcard). There are a few exceptions to this requirement for who
must file:

  • Organizations that are included in a group return
  • Churches, their integrated auxiliaries, and conventions or associations of churches, and
  • Organizations required to file a different return

What happens if I miss the filing deadline?
If you miss the deadline to e-file your e-Postcard, the IRS will send you a reminder notice. Good news is, if you missed your deadline, there is no penalty assessment for late filing the e-Postcard. Bad news is, if you miss filing for three consecutive years, your tax-exempt organization will automatically lose its tax-exempt status. To regain tax-exempt status you will have to go through re-filing Form 1023 and filing Form 990 for the years missed, which does not sound like a fun activity.

When are the filing deadlines?
The filing deadline for calendar year filers has just past on May 15th. The next deadline is June 16th for tax-exempt organizations with a tax period beginning 2/1/2013 and ending 1/31/14. Here is a complete filing schedule for the upcoming filing deadlines from the IRS:

Tax Period                               Filing Deadline
  2/1/13 - 1/31/14                                   6/16/14
  3/1/13 - 2/28/14                                   7/15/14          
  4/1/13 - 3/31/14                                   8/15/14
  5/1/13 - 4/30/14                                   9/15/14
  6/1/13 - 5/31/14                                 10/15/14
  7/1/13 - 6/30/14                                 11/17/14
  8/1/13 - 7/31/14                                 12/15/14
  9/1/13 - 8/31/14                                   1/15/15
10/1/13 - 9/30/14                                   2/17/15
11/1/13 - 10/31/14                                 3/16/15
12/1/13 - 11/30/14                                 4/15/15

This filing schedule is for Tax Year 2013 and includes filing for Forms 990, 990-EZ, 990-BL, 990-N, 990-PF, 990-T Trusts (other than sec. 401(a) or 408(a) trusts), 4720 & 990-T (corp.), and 6069.

What if I missed filing for a previous tax year?
If you missed filing for a previous tax year, don't worry you can still transmit your Form 990-N to the IRS. Express990.com provides e-filing of the e-Postcard for previous tax years 2012 & 2011. If you have any questions about filing filing for a previous year, or what to do if you missed the deadline, contact the Express990 Support Team via phone: 704.839.2321 or email: support@expresstaxexempt.com

Read More »

E-File Your Tax Exempt 990-N or Nonprofit Tax Extension Before The Deadline Ends

The IRS tax filing deadline for *calendar year tax-exempt organizations is now upon us. Are you in an epic battle to e-file your Tax Exempt IRS 990-N or file a tax extension before time runs out? E-file your 990-N or Extension Form 8868 in minutes and defeat the Villainous Tax Deadline with Express990.com.

*This deadline is for organizations with reporting period January 1, 2013 - December 31, 2013. You can find out your deadline, according to your reporting period, with this schedule provided by the IRS.

Form 990-N:
If you are a smaller organization, meaning $50,000 of gross receipts, you can e-file Form 990-N (e-Postcard). Express990 offers this small and simple form for free if you're filing for the tax year 2013. And if you have missed filing for previous years, we got you covered - providing the 990-N for tax years 2012 & 2011. Unlike the larger more complicated Form 990, the 990-N is a maximum of 8 steps, including information about the organization, the principal officer, and a confirmation of gross receipts under $50,000. No need to get tripped up with pages of questions and calculations when you don't have to.

Form 8868 - Application for Extension of Time to File an Exempt Organization Return:
If your battle is on a larger scale, meaning trying to complete the entire Form 990 before the Tax Deadline ends, you can e-file an extension. That's right, you can take a break and regain your strength by e-filing Form 8868 - Exempt Organizations Tax Extension with Express990.com.

Tax-exempt organizations face penalties for failure to file, failure to pay, and even, (gasp!) revocation of their exempt status. By filing Form 8868, you will automatically receive an extra 3 months to file, certainly some well-needed breathing room. Be forewarned, this extension is for time to file, not time to pay.

If you need a helping hand, you are not alone and Express990.com has your back. Contact our US-based Express990 Support Team for assistance via phone: 704.839.2321 or email: support@expresstaxexempt.com.

Read More »

Relax, It's only the 990-N Deadline

This deadline comes but once a year
When the sun is bright and shines so clear
File your 990-N on the 15th of May
You have 'til midnight on this day
but have no fear, your hero, Express990.com is here

The clock is counting down and time to e-file your 990-N is quickly ticking away. No need to panic, we have 3 steps to calm your nerves and take the stress of Deadline Day off your shoulders:

Step 1 - Re-read the limerick above. Studies show reading a poem or listening to a song with a rhyme scheme reduces stress. And some reassurance that Express990 is on your side will dramatically make you feel better about life. 

Step 2 - Breathe in deeply & slowly exhale. A majority of your stress has just now exited your body - isn't it nice. OK, now that you are more focused, let's gather what you will need to e-file your Form 990-N (e-Postcard)
  • You will need your business information including: EIN/TIN, legal name and address, different names the organization uses, website (if any), name and address of a Principal Officer, confirmation of gross receipts of $50,000 or less. You will need to provide a statement that the organization is going out of business, if applicable.
Step 3 - Create an account with Express990.com and select Form 990-N. Simply follow the instructions and transmit your return to the IRS. Then, feel the stress of the deadline just lift off your shoulders.
Well you can Keep Calm and E-file On - my friend, Express990.com provides e-filing of 990-N for previous tax years too! You will need the business information you have put together from Step 2, and we will walk you right through it. 

You should feel accomplished - by e-filing your 990-N before the Deadline, you have successfully avoided losing your tax-exempt status and you do not have to deal with Form 990-N again until next year (Virtual High-Five). Just make sure to track your finances properly and keep them neatly organized for next year. 

Want to become a Form 990 aficionado? Then these blogs are for you:

Read More »

What Happens After I File My 990-N With Express990 ?

We all know that filing with Express990.com is the fastest, easiest, and most secure way to file your 990-N, however, the process after hitting “Transmit” can be a bit veiled.

Here’s the inside scoop:
Once you fill out your credit card information and click “Transmit,” we entrust our army of micro-bots to jet through cyberspace at warp speed and safely reach the IRS Processing Server  ..... just kidding, but wouldn't the world be more interesting if that's really how it all worked?

All joking aside, here’s what actually happens to your return: 
An electronic message is sent to the IRS, where they search their database for your tax-exempt organization. If all of the information matches up, they update your file with the current year’s form, and send a message back to Express990.com confirming that your e-Postcard has been accepted. 

Once we receive this message, we send a confirmation email to the address you used to register an account on our site. This confirmation email will contain a congratulations message from us and a PDF of your 990-N. Should the IRS reject your filing for any reason, they will notify us and we will in turn notify you via email or phone call. The email should contain the reason for rejection and you may access the same information on your Express990 Dashboard, the homepage of our site once you log in.

Feel free to contact the Express990 Support Team, located in Rock Hill, SC, with any questions:
Phone: 704.839.2321   Email: support@expresstaxexempt.com

Read More »

Reasons for Form 990 E-File Rejection

Have you filed your Form 990, only to find out after all that hard work it has been rejected by the IRS? Now, the next step is to find out why it was rejected so you can re-file and avoid losing your tax-exempt status (easier said then done). Here are the most common reasons the IRS may reject a Tax-Exempt Organization's Form 990:

1. The organization must obtain exempt status from the IRS.
  • Before an organization may file a Form 990, it must file for tax-exempt status from the IRS by using Forms 1023 or 1024.
2. If the filer belongs to a 501(c)(3), there are chances that they have already applied Form 1023 (Application for recognition of exemption under 501(c)(3) of the Internal Revenue Code). 
  • If you have already applied for exempt filing status but have not received a confirmation, there will be an option to select. If you do not check this box, the IRS will reject your return.
3. The filer should not file a return by changing the organization's tax year, The Tax Period must match the IRS database unless the organization was terminated in the reporting tax year. 
  • This is the most common error we see. It is vital that you know what the IRS has on record for your organization’s tax period. Many filers believe they operate on a calendar-year basis but actually do not. In order to determine your operating period, you can simply call the IRS and inquire about your organization. You will need your organization’s EIN and possibly other information like its address, phone number, and principal officer(s).
4. The IRS can cancel user's exempt organization status due to various reasons. User must find the reason with IRS before filing the return.
  • This generally happens when an organization hasn't filed for three consecutive years. Should this be the case, the IRS will automatically revoke your tax-exempt status. You will need to re-file a Form 1023 or 1024 in order to regain your status with the IRS.
The reasons listed above are just a few of the most common reasons for an organizations Form 990 to be rejected. When you e-file your Form 990 through Express990.com, we will notify you right away if your form was rejected with the reason so you can quickly correct any needed information. After the corrections are made, you can re-transmit your return at no extra cost. You can always contact the IRS Tax Exempt Organizations Hotline for more information.

For more information on tax-exempt status, check out our blogs:

How To Reinstate Tax-Exempt Status

What Can Cause Your Tax-Exempt Status To Be Revoked?

All about the EO Select Check

Read More »

Form 8868: Automatic Extension of Time To File

Form 8868, which is the form used to file for an extension of time to submit Form 990 for tax-exempt organizations, grants an automatic 3 month addition to the filing deadline. Form 8868 deadlines are the same as Form 990 deadlines, which are the 15th day of the 5th month after the end of an organization’s accounting period. Any tax-exempt organization may file for an extension, no explanation is necessary.

A second extension (Part II) of time may be granted, however, it is not automatic and may require explanation. You can only e-file a second (non-automatic) extension if you have e-filed Part I (automatic extension of time) of Form 8868. The extension of time to file is not an extension of time to pay any taxes due and failure to remit these taxes may result in penalties and fees.

Since the 1st extension is automatic (and there is no penalty for filing on time even if you have submitted a Form 8868) the IRS recommends filing for an extension if the organization believes it will have difficulty filing by the deadline for any reason. The information required to file Form 8868 doesn't really vary from the 990 itself. The filer will list important organization and principal officer details, but they won’t need to give specific financial information. Please note: An automatic & non-automatic extension of time to file cannot be transmitted to the IRS at the same time.

So how do you start? 
Simply navigate to ExpressExtension.com and create your free account. Once you've done that, you will begin with your first extension form. Select “Form 8868” and start filling in the details. The process is easy and you could receive your accepted return in as little as 15 minutes from the IRS. Our customer support specialists are available from 8 AM to 6 PM EST Monday through Friday via phone, email, and chat support. We’ll even be up until midnight PST on the filing deadline! You can contact ExpressExtension at 803.514.5155 or email them at support@expressextension.com.

Read More »

All About the EO Select Check

The EO, or “Exempt Organization,” Select Check is a search engine exclusive to the IRS. It contains a consolidated search of three different IRS databases: organizations eligible to receive tax-deductible charitable contributions, organizations that have had their tax-exempt status automatically revoked, and those organizations which have filed Form 990-N with the IRS.
The IRS explains,
By consolidating the search sites into one, the EO Select Check provides an expanded search capability and a more efficient way to search for organizations that:
  • Are eligible to receive tax-deductible charitable contributions (Publication 78 data). Users may rely on this list in determining deductibility of their contributions (just as they did when Publication 78 was a separate electronic publication rather than part of Select Check).
  • Have had their tax-exempt status automatically revoked under the law because they have not filed Form 990 series returns or notices annually as required for three consecutive years. 
  • Have filed From 990-N (e-postcard) annual electronic notice. (Most small exempt organizations whose annual gross receipts are normally $50,000 or less are required to electronically submit Form 990-N, unless they choose instead to file a completed Form 990 or Form 990-EZ.)
This tool is especially useful for checking to see if your organization has had its tax-exempt status revoked, which is the #1 reason why we see forms rejected. Before you even begin filing with our service, we recommend checking the database if you have any concern that your organization may have lost its exempt status. You may also search to confirm that your 990-N has been filed and accepted. We send an email confirmation to our users once their e-Postcards have been accepted by the IRS, but should you need to double check, you may do so from this search engine.

Not only is this tool extensive in the amount of organizations it contains, it is also easy to operate. Simply type in the name of an organization, the EIN of the organization, or simply search by state. You can even download the entire database, should you really want to. With the EO Select Check, finding and keeping track of your organization is easier than ever.

Read More »

Understanding Your CP259E Notice

There are a ton of reasons why a tax-exempt organization might not have filed their Form 990. Maybe you’re an entrepreneur and you’re just starting a movement to better your community. You’re not worried about taxes, you’re worried about helping people. Maybe you've just been employed as a manager for a non-profit and getting settled into the groove of things. There are donors to talk to, accounts to balance, fundraising events to plan, and not to mention just getting acclimated to the job. On top of all these things, you get this letter in the mail telling you that you haven’t filed your 990-N yet and it’s past due.

What is this piece of paper? What does it mean? 

The letter is called a CP259E Notice and it’s the IRS’s way of warning you that your organization is about to lose its tax-exempt status. Should you decide not to file for 3 consecutive years, the IRS will automatically revoke your tax-exempt status; no letter, no phone call, no parlay.

This notice is the only warning your organization will receive that it isn't compliant with the IRS tax code. It’s a little slip of paper with big consequences. Don’t get caught up in the hurry and worry of doing your organization’s taxes. Don’t risk losing your tax-exempt status. File with Express990.com today and get back to doing what you love.

And what if it’s too late?
What if you go to file and your form is rejected because you've lost your tax-exempt status? How do you get it back? Never fear, the process is a lot easier than you’d expect. If you need to be reinstated as tax-exempt, you must file an application for exemption and pay the appropriate user fee, even if it was not required to apply for exempt status originally. The list of user fees can be found on the IRS website. The application for tax-exempt status can be done on the same types of forms that your organization used originally, Forms 1023 and 1024. Once you've filed the applicable form and paid the necessary fee, you may begin to file as a tax-exempt status organization again. Make sure you check with the IRS so that you’re aware of any changes to the filing requirements!

Don’t get caught off-guard again and don’t lose sleep over tax-exempt revocation. Express990 is here to help you have the easiest and fastest filing process possible.

More On Revocation & Reinstatement of Tax Exempt Status:

Read More »

How To: File 990-N for Tax Year 2012 & 2011

Have you missed filing your 990-N for a previous tax year?
If you don't file the form for any single year, the IRS will merely send your nonprofit a reminder notice. But if you fail to file your Form 990-N year after year, things will get tougher. If your nonprofit is required to file Form 990-N but fails to do so for three consecutive tax years, it will automatically lose its tax-exempt status  on the filing due date of the third year. The IRS will not send additional notices once your tax-exempt status is automatically revoked.

If your nonprofit loses its tax-exempt status, you'll have to apply for a federal tax exemption all over again. That means filing IRS Form 1023 again and paying the hefty filing fee that comes with it (not to mention the headache of all that unnecessary paperwork).

If you haven't e-filed the 990-N for tax years 2012 and/or 2011, don't worry, you can transmit your nonprofit organization's previous years tax return to the IRS using Express990.com. Saving your organization hours of work is as simple as creating an account on our site, choose your tax year, and start e-filing the 990-N. You will need to provide the required information to e-file 990-N:
          - EIN or TIN
          - Tax Year you are e-filing for
          - Legal Name and Address
          - Different names the organization uses ( if any)
          - Website ( if you have one)
          - Name and Address of a Principal Officer
          - Confirmation of gross receipts of $50,000 or less
          - A statement that the organization is going out of business ( if applicable)
Should you need any assistance, our US-based Express990 Support Team would be happy to help you out. You can contact us via phone: 704.839.2321 or 24/7 email support: support@expresstaxexempt.com

Read More »

How To: Filing An Annual Tax Exempt Return For a New Organization

Are you new to the wonderful world of nonprofit/tax exempt organizations? Express990.com would like to be the first to welcome you and get you ready for e-filing your organizations IRS Form 990.

Let's take a look at the process...

Once you receive a confirmation from the IRS that they have you filed as a tax-exempt organization, you may begin gathering the information you need to file. You need to determine which 990 form to file by knowing your total gross receipts for the tax period...
  • Form 990-N - $50,000 or less a year in gross receipts
  • Form 990-EZ - $200,000 or less a year, or total assets of less than $500,000
  • Form 990 - $200,000 or more a year, or total assets greater than or equal to $500,000
Next, after you determine which 990 form to file and have all the needed information to enter, it's time to get started.

Express990.com has designed our filing experience to feel more like a conversation than a tax form. Simply go to the homepage and select "New User". From there, you will enter in your email address, create a password, set up a username, and provide a phone number.

After creating your account, you will be redirected to your "Dashboard" page, where you will immediately be able to start creating your return. From there just follow the directions and transmit to the IRS, it really is that easy. Once your return has been accepted, you will receive a confirmation email form us. Should your return be rejected, you will also receive an email containing details as to why it was rejected. You can quickly correct the information and re-submit the form to the IRS at no cost.

If you have any questions about e-filing Form 990 for your new organization, please do not hesitate to give us a call. You can contact our US-based Express990 Support Team via phone: 704.839.2321 or email: support@expresstaxexempt.com 

Read More »

When is the 990 e-Postcard due?

Express990.com provides Form 990-N, which is an annual IRS e-filing requirement for small exempt organizations and charities that typically gross in receipts of $50,000 or less in a year. It is an electronic notice that the IRS can can quickly use to update their database of basic information on all active nonprofits. There is not one set deadline to file the 990-N, instead the deadline is dependent on your tax period.

A Little 990-N Back Story:
Nowadays most small nonprofits must file an "e-postcard": IRS From 990-N. Prior to 2007, nonprofits with annual gross receipts under $25,000 did not have to make any yearly filings with the IRS. But in 2008, the IRS introduced a new form just for small nonprofits: Form 990-N ( called the Electronic Notice (e-Postcard) for Tax-Exempt Organizations Not Required To File From 990 or 990-EZ).

Congress passed this tax filing requirement in response to concerns that smaller nonprofits were not keeping the IRS up to date on new business addresses and changes to other key information. In fact, the IRS suspects that thousands of small nonprofits have closed their doors without notifying the agency. The new 990-N should allow the IRS to maintain an up-to-date database of basic information on all active nonprofits. This will help the IRS meet its administrative goals, but it will also come in handy for donors who want to make sure they are giving money to the recognized nonprofits.

Exempt Organization Return Due Dates - Tax Year 2013

The IRS explains, "return due dates are always on the 15th of the month. However, when the 15th of the month falls on a weekend or holiday, IRS accepts returns as timely filed if received by the next business day. This applies to extended due dates as well as original due dates". 

Your 990-N due date is dependent on your tax period. If your tax period beginning and ending dates are the same as the calendar year then your due date is May 15th. If your tax period beginning and ending dates are not the same as the calendar year, then your due date will be different. The IRS has published a schedule of the 990 filing deadline according to your tax period. The 990 filing schedule shows when your e-Postcard is due, as well as, the new deadline if you file for an extension.

Read More »

IRS Form 990: Frequently Asked Questions

When e-filing the IRS Form 990, you might have some questions? Here are 8 FAQs that should help you out when e-filing your tax-exempt return through Express990.com:

1) What information is needed to file Form 990-N?
To file Form 990 you will need your Employer Identification Number (EIN), also known as the Tax ID Number (TIN). You will need the correct Tax Year, Legal Name and Address, different names the Organization uses, principal officer details, website (if you have one), confirmation of gross receipts of $50,000 or less, and a statement that the organization is going out of business (if applicable).

2) What is the due date for Form 990-N?
The deadline for filing Form 990 is the 15th day of the 5th month after the end of the organization's fiscal year. If the organization is liquidated, dissolved, or terminated, file the return by the 15th day of the 5th month after liquidation, dissolution, or termination.

3) Who is eligible to file Form 990-N?
You may only file an e-Postcard if you are a tax-exempt organization that totals $50,000 or less a year in gross receipts.

4) Are there any penalties for not filing Form 990-N?
There is no penalty if you decide not to use the e-Postcard option, filing late or not filing at all. But an organization that fails to either send an e-Postcard or file Forms 990 or 990-EZ manually, the IRS will revoke all privileges and the organization will automatically lose tax exempt-status.

5) Is there an extension for Form 990-N?
Yes, there sure is! Use Form 8868, Application for Extension of Time to File an Exempt Organization Return, to request an automatic 3-month extension if the original 3 months was not enough time. To obtain this additional extension of time to file, the organization must show reasonable cause for the additional time requested. For a quick and easy way to e-file Form 8868, visit our sister product, ExpressExtension.com

6) Who are principal officers?
The current president, vice president, treasurer, assistant treasurer, chief accounting officer, or other corporate officer (such as the tax officer) qualify as principal officers.

7) Does my organization have to file the e-Postcard if it is a subordinate organization in a group exemption?
If the parent organization added the subordinate organization to the parent's group filing, you are not required to file an e-Postcard. If your parent organization failed to file and your annual gross is $50,000 or less you are still required to file an e-Postcard. You must get in contact with your parent organization to verify your standing in regards to the list of subordinate organizations for the IRS> Otherwise, your parent organization will have to contact the IRS and mail a request in writing for the information to be updated to:

Internal Revenue Service
1973 North Rulon White Blvd
Ogden, UT 84404-5402
ATTN: M/S 6273

8) Can I go to the IRS office to file?
Unfortunately no, the e-Postcard can only be filed online.

If you have any further questions about e-filing your Form 990, please don't hesitate to call the Express990 support team, located in Rock Hill SC via phone: 704.839.2321 email: support@expresstaxexempt.com

Read More »

Need Further Help? Contact Us

Our live support specialists in Rock Hill, SC are always ready to offer professional service and assistance.


Frequently Asked Questions

Find answers related to e-filing IRS Form 990, 990-EZ, 990-PF, 990-N (e-Postcard), Form 1120-POL and Extension Form 8868 with our Frequently Asked Questions.

Learn More

Start Now

Start now to e-file an exempt organization returns or file for a extension with ExpressTaxExempt.

Start Now