- May 14, 2014
IRS has given the privilege to small non-profit exempt organizations whose annual income normally is $50,000 or less to file the annual electronic notice called e-postcard the 990-n and not the full form 990 or 990-EZ because they are small and doing a service to society with fewer contributions in receivables of kind and money from donors and so it is naturally impracticable for them to maintain an office administration expenses. So IRS is helping the small tax-exempts as non-profits and charities to lessen their burden on their expenditures towards administration costs and can file form 990-n notice comfortably every year by the 15th day of the 5th month showing their income and expenditure tax filing and there is no tax levy burden on them.
Filing annual electronic notices on the e-postcard is very easy for small exempt organizations by registering with an IRS-certified partner Tax2efile by answering a few simple questions.
What if a small exempt organization misses tax filing 990-n for a year say 2011 and files only for 2012, then IRS will send notices to the exempt organization for reminding of the missed out filing of the year 2011 and IRS will persist in asking queries through notices that why one has failed to file the 2011 annual electronic notice 990-n and when continually small exempt organization fails even to respond answering queries of IRS, and moreover when they do not file 990-n consecutively for 3 annual years, they may have to face automatic revocation of their tax-exempt status and more sooner will be on the IRS list of automatic revocation.
So it is always better to respond and call on the queries to provide reasonable answers to IRS there are no tax penalties applied here by IRS but the very danger of losing the status of being tax-exempt.
Okay, then how small tax-exempt organization will manage the situation for the missed out year 2011 tax return say 12/31/2011 filing, and how they can file the overdue annual electronic notice 990-n for 2011. This facility for filing the missed out year 2011 tax-filing for small exempt organizations is not possible with IRS website but however, IRS may direct these failing candidates to IRS-certified web-partners’ websites like Tax2efile and where-in the small exempt organization must register to follow up the guidelines of IRS to go ahead with late tax return filing of 2011 for the annual electronic notice 990-n the e-postcard by paying a reasonable transmission fee.
It is always advisable for tax-exempt non-profit organizations to file an annual electronic notice of the 990-n every year by the 15th day of the 5th month to avoid revocation of tax-exempt through IRS-certified and approved partner Tax2efile
