Non-Profit Tax Services
We offer the following services to our non-profit clients:
- Audited financial statements
- Reviewed or compiled financial statements
- Preparation of the Form 990 series of returns
- Assistance with budgets
- Internal control consulting
While tax-exempt non-profit organizations generally do not pay federal taxes, most do have to file an informational return with the IRS called a Form 990. This form allows the IRS and the public to evaluate your non-profit’s operations and includes information on your organization’s mission, programs, and finances.
Filing an informational return is much different from filing taxes as an individual or even as a business. At Steward Ingram & Cooper PLLC, we help non-profit organizations like yours complete your informational return. We assist clients in Raleigh, Cary, Durham, Garner, Wake Forest, Wilson, and surrounding areas.
Filing Taxes as a Non-Profit Organization
Your Form 990 is more than just a tax return. It’s an overview of your financials and it highlights your organization’s achievements throughout the year and reports any potential conflicts of interest, board member and staff compensation, and avoidance of fraud.
Tax-exempt non-profits should know the following about the Form 990:
Some Organizations are Exempt From Filing a 990
Who is Exempt from Filing?
Most religious organizations, including churches, religious schools, and missionary organizations are not required to file a Form 990. In addition, subsidiaries of non-profits are not required to submit a Form 990 since their financial information is reported in the parent organization’s 990. Last, Government corporations or state institutions are exempt from filing and non-profits that are unincorporated or incorporated at the state level but don’t plan to apply to the IRS for tax-exemption don’t have to file a Form 990. If you are unsure if your organization is required to file, the team at Steward Ingram & Cooper PLLC can help.
Does My Exempt Organization Have to File a Return?
With some exceptions, most tax-exempt organizations are required to file an annual information return with the IRS, which is part of the 990 series of returns.
There Are Multiple Versions of Form 990
There are different versions of the form for different organizations: Form 990, 990-EZ, and 990-N. The Raleigh tax professionals at Steward Ingram & Cooper can help determine which version of Form 990 is best for your non-profit and assist you in filing.
Which Return Should I File?
There are several different forms to choose from in the 990 series of returns.
Form 990: The form 990 is the most extensive form in the series. It is a 12-page form with 16 supporting schedules. An organization may not necessarily be required to complete all 16 schedules but should pay careful attention to the questions on the core form to determine which schedules will be required.
Form 990-EZ: The form 990-EZ is a shorter, simpler version of the form 990 with only 4 pages. Filers of the 990-EZ may still be required to complete some of the 16 schedules associated with the 990.
Form 990-N (ePostcard): Organizations not required to file a form 990 or 990-EZ should file form 990-N, also called ePostcard. This form must be filed electronically with the IRS through their website at irs.gov. Organizations eligible to file a 990-N may choose to file form 990 or 990-EZ instead.
Form 990-PF: The form 990-PF is an annual information return that must be filed by private foundations. This return provides financial and other relevant information about the foundation.
When to File the 990
What is the Due Date for Form 990?
The deadline for filing your Form 990 is not the same as the deadline for your personal taxes. The deadline for tax-exempt non-profits is the 15th day of the 5th month after your fiscal year ends. The due date for the form 990 series of returns is the 15th day of the 5th month after the close of the organization’s accounting period. For calendar year organizations, the due date is May 15th. For fiscal years ending on June 30, the due date is November 15th. Not filing on time for three years in a row will result in your tax-exempt status being revoked.
What are the Filing Requirements?
The filing requirements depend on total gross receipts and total assets.
- File form 990-N if annual gross receipts are normally less than $50,000.
- File form 990-EZ if gross receipts are less than $200,000 and total assets are less than $500,000
- File form 990 if gross receipts are $200,000 or more and total assets are $500,000 or more.
- File form 990-PF if the organization is a private foundation.
Can My Organization Request an Extension?
The IRS allows an automatic 6-month extension of time to file for the 990, 990-EZ and 990-PF. The extension can be requested using form 8868. There is no extension allowed for the 990-N.
What Happens if Form 990 is not Filed or Filed Late?
If an exempt organization fails to file form 990 for 3 consecutive years their tax-exempt status will be revoked. If a return is filed late, the IRS will assess penalties unless the organization can provide a reasonable cause for the late filing.
Non-Profit Tax Planning: Frequently Asked Questions
Do I need to file a tax return for my nonprofit?
Yes. While most nonprofits don’t pay taxes, you do need to file a return to provide the IRS with detailed documentation to keep your tax-free status. We will prepare your Form 990 so you can easily share information with your board of directors and donors as well as file your informational return.
What is Form 990?
Your Form 990 is an overview of your finances. It highlights your organization’s achievements throughout the year and provides relevant information for board members and potential donors.
There are several types of 990 forms that can impact your filing status. The nonprofit tax planning professionals at Steward Ingram & Cooper PLLC can help determine which form is best for your nonprofit. We can even help you file your nonprofit tax return!