Friday, May 10, 2013

Tax-Exempt Organizations Must File with IRS By May 15

A key deadline of May 15 is facing several exempt organizations that area unit needed by law to file annual reports with the internal Revenue Service. Organizations will see their federal tax exemptions mechanically revoked if they have not filed reports for three consecutive years.
The Pension Protection Act of 2006 mandates that the majority exempt organizations file annual form 990-series informational returns or notices with the agency. below this law, organizations that fail to file reports for three consecutive years mechanically lose their federal exempt standing. The law, that went into result at the start of 2007, also obligatory a brand new annual filing requirement on little organizations. Churches and church-related organizations aren't needed to file annual reports.
Form 990-series data returns Associate in Nursing notices area unit due on the 15th day of the fifth month after an organization’s year ends. Organizations that require additional time to file could obtain Associate in Nursing extension. Many organizations use the civil year as their year, that makes could 15 the deadline for them. Organizations that fail to file annual reports for three consecutive years will see their tax exemptions mechanically revoked as of the maturity of the third needed filing. Small exempt organizations with average annual receipts of $50,000 or less could file Associate in Nursing electronic notice known as a form 990-N (e-Postcard), that asks organizations for a number of basic items of data. exempt organizations with average annual receipts higher than $50,000 must file a form 990 or 990-EZ, counting on their receipts and assets. private foundations file a form 990-PF.The agency began to publish the names of organizations identified as having mechanically lost their exempt standing for failing to file annual reports for three consecutive years. Organizations that have had their exemptions mechanically revoked and want to possess that standing reinstated must file Associate in Nursing application for exemption and pay the appropriate user fee.