If your nonprofit is making plans for virtual fundraising, COVID-19 response, and the holiday season, it’s understandable if meeting IRS requirements isn’t at the top of your to-do list. That being said, add it to your calendar, because filing Form 990 is extremely important for your organization this season.
Form 990 protects transparency in the nonprofit sector, opens up your financial records to the public, and allows your organization to remain tax-exempt. So what do you need to do get prepared? Here is everything you need to know to meet your Form 990 filing deadline on time this year.
When is the Form 990 deadline?
As you get prepared to file Form 990, it’s important to know when your return is due. The Form 990 filing deadline is the 15th day of the 5th month following the end of your organization’s tax year.
For many nonprofits, the Form 990 deadline is November 16, 2020 this year.
Know Which Form To File
When it comes to meeting your deadline, there are quite a few 990 series forms. The IRS requires different forms based on your organization’s size, function, and gross receipts. Smaller nonprofits can opt for shorter forms like Form 990-EZ or, in some cases, postcard Form 990-N. Private foundations often file Form 990-PF.
If you aren’t quite sure what the IRS requirement is for your tax-exempt organization, click here and we’ll find out for you.
Get Your Information Ready
Once you figure out your IRS Form 990 filing requirements for 2020, it’s time to get ready to file. For Form 990, you’ll need to know your organization’s identification information. This includes your Employer Identification Number (EIN), organization name, address, and mission statement. Be ready to provide details about the programs your organization offers, your voting members, how many volunteers work with you, and how many employees you have.
You will also have to provide your financial information when you file Form 990. Be ready to report all your revenue, expenses, and assets. Filing Form 990 provides a statement of financial position to the IRS and the public.
E-filing is the IRS recommendation for tax-exempt filing and has recently become a requirement for most organizations. Filing Form 990 online eliminates mailing lags, supports social distancing, and speeds up IRS processing. Tax software can make your filing process faster and easier, eliminate last-minute mistakes, and raise your chance of IRS acceptance.
Click here for our best advice on picking the right e-file provider for your organization.
Request an Extension
If you’re going through the steps to prepare for your Form 990 deadline and starting to feel like you won’t have time to get everything together, there are other options. Don’t risk missing your deadline and getting penalized by the IRS. Instead, file Form 8868 to request an extension. As long as you file Form 8868 before your deadline, you can receive additional time to meet your IRS requirements. This extension is available for all 990 series forms except 990-N.
When you’re ready to meet your IRS Form 990 deadline, ExpressTaxExempt makes the process easy. Our software walks you through your forms, checks all your information for errors, and keeps you up to date on your status with the IRS. If you run into any problems, our support team is 100% U.S.-based and available by phone, live chat, and email.
Get started now. We’re committed to helping you protect your tax-exempt status.