Charitable organizations with annual gross receipts of $25,000 or less have just a few more days to get compliant under an important deadline extension from IRS. In July 2010, the IRS issued a statement (you can read the statement online here.)
So really, what all of this means is this: The new deadline for filing a form 990-N for the 2009 tax year is October 15, 2010.
As a reminder, under a 2006 law, charities with annual gross receipts of $25,000 are required to file a form 990-N (sometimes called an e-postcard) with IRS each year; this is a change from the prior law. Failing to file for three years in a row results in an automatic loss of status. This means that 2010 is the first year that many charities are at risk of losing their tax-exempt status.
The extension allows charities at risk for losing their status to remain in compliance. This is a one time offer. Charities that fail to timely file their returns under the extension will lose their tax-exempt status. However, compliance is simple. You can click over to the IRS web site and follow the prompts to the e-Postcard site or go directly to the e-Postcard site and complete the paperwork online.
A list of charities that the IRS has identified as at-risk has been published on the IRS web site. If your charitable organization needs assistance remaining compliant, I strongly urge you to contact your tax professional.
