ExpressTaxExempt Blog

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:

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