As the time for calendar year nonprofits to file their annual tax return approaches, many nonprofits will need to remember which Form 990 their organization is required to file. As a refresher, the Form 990, Form 990 E-Z, and Form 990-N filing thresholds depend on the exempt-organization’s revenue and assets as follows:
- Small charitable organizations with revenue of less than $50,000 for the 2011 tax year file Form 990-N (e-Postcard). This is an eight question return that is filed electronically;
- Organization with revenue of less than $200,000 and assets of less than $500,000 file the two page Form 990-EZ; and
- Organization with revenue of $200,000 or more or assets of $500,000 or more file Form 990.
Exempt organizations should also be aware that these thresholds are for filing the federal Form 990 (or related Form) only. State agencies may have different income and asset threshold requirements that the organization must also be aware of to ensure compliance on the state level. Also, private foundations and 4947(a)(1) non-exempt charitable trusts are still required to file Form 990-PF regardless of revenue or assets.
Ellis Carter is a nonprofit lawyer licensed to practice in Washington and Arizona. Ellis advises tax-exempt clients on federal tax matters nationwide.