New organizations often ask us whether or not they have to file the Form 990. Recently the IRS made it clear that the answer is yes. The IRS explains that organizations must file the 990 even before they file the Form 1023 (or receive a determination letter) based on the belief that the organization is …
Posts Categorized: Taxes
Nonprofits Get A Tax Credit for Hiring Veterans
You may know that Congress recently provided a tax credit for businesses that hire veterans. You may not know that nonprofits are also eligible for the credit. Here’s how it works: Your organization can claim the lesser of the work opportunity tax credit (25% of first-year wages for those employed between120 and 400 hours and …
Are You Using the Right Forms?
Government agencies often update their forms without providing much notice. It is important that someone in your organization check regularly (at least annually, ideally more frequently) to ensure the organization is filing using the most up-to-date forms available. Failure to use a current form can result in rejection of the filing and late filing penalties. …
IRS Upping Investigations of Abusive Charitable Deductions
IRS increasing investigations of tax-abuse schemes using nonprofits
Obama Budget Would Limit Deductions
The White House 2012 budget proposal takes aim at charitable deductions.
Some California Annual Tax Filings Now Need To Be Filed Quarterly
As of January 2011, certain California employment tax filings that were filed annually now must be filed quarterly. The filings include a new Quarterly Contribution Return and Report of Wages (DE9) in place of the Annual Reconciliation Statement (DE7). More information is available at the Employment Development Department website at https://bit.ly/lfnp211. Continue to use the …