When you’re trying to file your IRS tax form 990-N, take heart.
You’re not alone.
Your non-profit organization is one among roughly 1.5 million such ventures in the United States, according to the National Center for Charitable Statistics.
Your organization has its own unique mission, as does every charitable group that falls under this category.
But something you all have in common are the IRS rules for qualifying for and maintaining tax-exempt status. And part of that process involves filing your tax forms each year.
Many believe that simply by forming a qualifying nonprofit, you’re automatically exempt, but this isn’t true—and it can land you in hot water.
- Submit a Form 1023 to be recognized by the IRS as tax-exempt.
- File a 990, 990-EZ, 990-N (e-Postcard), or other appropriate tax form(s) annually to maintain your exemption.
- Meet your filing deadline consistently: the 15th day of the fifth month after the end of the organization’s taxable year.
Unless your organization meets meets these requirements, the IRS can invoke penalties and even revoke your tax-exempt status.
It’s the same for every nonprofit. Yet—as important as financial reporting is—preparing your finances, studying the necessary tax code, and filing all take time and effort.
Imagine over a million nonprofits diverting crucial resources to filing their 990 forms. Now imagine if every charitable organization could use those resources to further their missions.
With a qualified, industry-leading e-filer like File 990, you have a resource at your fingertips to make filing fast and easy.
Let’s talk about how super-easy it can be to file your 990-N.
Who Files a 990-N
Which version of the 990 form you file is based on your total gross receipts and assets, and sometimes other variables factor in. For instance, you file a 990-PF if you’re a private foundation. There are some exemptions to filing.
If you’re reading this, chances are you already know you need to file the 990-N, or the e-Postcard version of the form.
But just to be 100 percent sure, you should file the 990-N if:
- your total gross annual receipts are less than $50,000
- you aren’t one of the exceptions to the filing rules
- you are either a parent organization or a chapter of a nonprofit who must file a separate return and meets the 990-N threshold
Once you know you meet these requirements, have gathered all the appropriate financial records, and gone over them with your team, it’s time to file.
What the 990-N Looks Like When You File Yourself
Honestly, filing yourself adds an unnecessary burden.
That’s why we recommend you use File 990’s e-filing services for the most consistent and straightforward filing strategy every year.
However, let’s see what the process looks like when you’re a financial officer who’s decided to go it alone.
STEP 1: Find the Form Online
There is no physical version of the form. It’s only available as the e-Postcard version, via the IRS website.
You can click here to access the 990-N.
Since the form is filed directly through the IRS, it’s a secure process if you file on your own. However, hiring e-filer File 990 adds another layer of protection, as we use bank-level security to ensure all your personal information is kept safe while e-filing your nonprofit’s taxes.
STEP 2: Fill Out the Form
Note that you can only file the 990-N e-Postcard after your tax year ends. You must also file within the deadline period mentioned above.
It’s better not to file at the very last minute, but if you do, keep in mind that the IRS also states, “If the due date falls on a Saturday, Sunday, or legal holiday, the due date is the next business day.”
The 990-N is an abbreviated form of the longer versions, 990 and 990-EZ. Per the IRS, you’ll need the following information to complete it:
- employer identification number (EIN)
- the tax year for which you’re filing
- legal name and mailing address
- other name(s) the organization uses
- a principal officer’s name and address
- a website address for your organization, if you have one
- confirmation that the organization’s annual gross receipts are $50,000 or less
- if necessary, a statement that the organization has gone or is going out of business
Once the form is complete, you file electronically by following the IRS instructions. It doesn’t seem like much, but it’s one extra step you must keep track of in the day-to-day financial operation of your nonprofit.
What if you decided to hire an e-filing service? What are the benefits?
Let’s take a closer look.
The Benefits of Trusting Us to File for You
If you’re a financial officer or executive, we’re guessing you’re qualified to file your own tax forms.
We know you can handle it. But hiring an e-filer isn’t about the fact that you can file solo. The fact is, you shouldn’t have to.
Using certified e-filer File 990 makes your tax filing easier and more consistent. Here’s how.
- E-filing saves you time.
We gather some basic information about your nonprofit, then we handle the rest, with a secure, proven track record, saving you hours of crucial time and effort.
- You’ll never file late again.
Tracking deadlines and scheduling time to file your tax forms is an extra worry that you don’t need on your shoulders. File 990 saves your data for successive years and reminds you when it’s time to file.
- Filing for multiple chapters or components? No problem.
When your parent organization oversees various chapters spread across the state or country, what was once a straightforward task now means ensuring each chapter files the correct tax forms and maintains its tax-exempt status.
Our digital enterprise option allows you to: track all components’ filing via your EIN; filter and focus on certain components so they never lose tax-exempt status; and remind all financial officers when it’s time to file.
If you have questions, get in touch with File 990 here.
Or get started e-filing your nonprofit tax forms with us today.