Who Must File the IRS 990-EZ Form?

Not every nonprofit organization is required to file Form 990-EZ, it depends upon the gross receipts and total assets of the organization at the end of their accounting period.

According to the IRS, an organization's gross receipts can be calculated by using the total amount, without subtracting any costs or expenses, the organization received from all sources during its annual accounting period.

Consider an organization that has gross receipts less than $200,000 and the total assets within $500,000 at the end of their tax year, then the organization is required to file Form 990-EZ instead of a Form 990 or 990-N (e-postcard).

Tax exempt organizations, Section 527 political organizations, and non-exempt charitable trusts are required to file IRS Form 990-EZ.


What Form Should I File For a Group Return?

A group return filed by the central or parent organization on behalf of the subordinates in a group exemption must be filed using Form 990, not Form 990-EZ.


Can I File Form 990 or Form 990-EZ Instead of the e-Postcard?

Yes, but please note that if you choose to file an annual information return (Form 990 or Form 990-EZ) instead of the e-Postcard, you must file a complete return. An incomplete or partially completed Form 990 or Form 990-EZ will not satisfy the annual filing requirements of the IRS. Also, you may be assessed a late filing penalty if you file Form 990 or Form 990-EZ late.


What Happens if I Fail to File the e-Postcard (or Form 990 or Form 990-EZ)?

An organization that fails to file the required e-Postcard (or annual return) for three consecutive tax years automatically loses its tax-exempt status. The revocation of an organization’s tax-exempt status does not take place until the filing due date of the third year.


Can I File Form 990-EZ for a Private Foundation?

Form 990-EZ cannot be used by a private foundation required to file Form 990-PF, return of private foundation or Section 4947(a)(1) non-exempt charitable trust treated as a private foundation. A Section 501(c)(3) or Section 4947(a)(1) organization should refer to the instructions for Schedule A (Form 990 or 990-EZ), public charity status and public support to determine it is a private foundation.

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