Despite the IRS’s best efforts to inform the public, many tax-exempt organizations fail to file their annual informational return (examples here). While failing to file for a single year may trigger late fee penalties, the real threat is that if an organization fails to file their 990 for three consecutive tax years, they AUTOMATICALLY lose their tax exempt status.
Whether by negligence, ignorance, or a transition to new leadership without informing the new leadership of the 990 filing obligations, Apex Law has recently helped several organizations seeking reinstatement of their tax-exempt status after a failure to file for three years.
Don’t let this be you—file your informational return!
P.S. A couple of helpful hints:
- The 990 is due 5 months and 15 days from the end of your organization’s tax year. The IRS has a helpful chart with extension dates that can be accessed here.
- If your tax year ends on the calendar year (December 31), then your 990 is due each year on May 15th (without extensions).
For more information on this subject click here.