Small Exempt Organization - E-postcard

Small tax-exempt organizations whose gross receipts are normally $25,000 or less may be required to electronically submit Form 990-N, also known as the e-Postcard.
The Pension Protection Act of 2006 added this filing requirement to ensure that the IRS and potential donors have current information about your organization.
Due Date of the e-Postcard The first e-Postcards are due in 2008 for tax years ending on or after December 31, 2007. The e-Postcard is due every year by the 15th day of the 5th month after the close of your tax year. For example, if your tax year ended on December 31, 2007, the e-Postcard is due May 15, 2008. You cannot file the e-Postcard until after your tax year ends.

Supporting Organization Exemption Revoked

The Service has revoked the tax-exempt status of a section 509(a)(3) supporting organization because 1) it failed to pass any of the three prongs of the relationship test; 2) it failed to support a public charity; and 3) it failed to pass the operational test by conducting any activity in furtherance of its exempt purpose. More information.

2008 Economic Stimulus Act

The recently passed 2008 Economic Stimulus Act provides a rebate based on income levels. To qualify for the rebate, individuals must 1. Have at least $3,000 in earned income or social security benefits. SSI benefits and patrimony income do not qualify toward meeting this limit. 2. File a 2007 tax return, even if no tax is due. For more information on this topic, see the IRS Fact Sheet or February's webcast which will discuss the preparation of the tax return for religious with taxable income, including filing for the rebate.

IRS Fact Sheets

IRS Examination and Compliance Check Processes For Exempt Organizations: The IRS has issued a Fact Sheet in which it reviews the variety of tools at its disposal to make certain that tax-exempt organizations comply with federal law designed to ensure they are entitled to any tax exemption they may claim. These include correspondence examinations, field examinations, and compliance checks.
IRS Complaint Process For Tax Exempt Organizations: The IRS has issued a Fact Sheet in which it describes the process by which complaints (also called "referrals") alleging the abuse of the tax exempt status by a organization can be made to the IRS and how they are handled.

Annual Increase in Alienation Limit - Canon Law

The amount which requires the approval of the Congregation for Institutes of Consecrated life and Societies of Apostolic Life in cases of alienation of stable patrimony or business transactions which could have an adverse effect on the patrimonial condition of an institute/society is raised to $5,475,000. This amount refers to the appraised value not the actual selling price.

E-Card Reminder - Small Nonprofits.

A new annual electronic filing requirement for certain small exempt organizations is in effect for this year. The filing system will be available in early February. Please check the IRS website then to file an e-Postcard.