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Employment Taxes for Exempt Organizations

The following information provided by the IRS to help you with nonprofit organizations understands their roles when it comes to employment taxes. What are the Employment Taxes? When the tax-exempt organization has employees, then the organization is responsible for Federal Income Tax withholding and Medicare and Social Security taxes. These organizations are also responsible for Federal Unemployment Tax. Before hiring an employee, the organization needs a federal Employer Identification Number (EIN). When the organization has employees working...

Keeping Your Nonprofit Compliant with the IRS – Etax990n

There are many nonprofit organizations who are not aware of the whole thing that takes to stay in compliance with the IRS requirements. Later those nonprofits will receive the dreaded “status revoked” letter through the mail. When you are not sure whether your nonprofit organization is in a good position, then this article is a must-read for you. Why did Nonprofits need to be Compliant? Nonprofit compliance laws are in place in order to safeguard the public...

Difference between Nonprofit and Tax-Exempt Status

The terminologies “Nonprofit” and “Tax Exempt Status” used to define the professional and trade associations is often confusing. It is necessary to clarify both of the two key terms. Organizations are usually controlled and operated as both tax-exempt and non-profit entities. The status of the non-profit refers to the incorporation status under the law of the state, and the tax-exempt status states to the federal income tax exemption under the Internal Revenue Code (IRC). What are the Differences between...

Major Tips to Avoid Charity Tax Deductions Scams

There are many individuals and groups those are pretending to be charitable organizations. These fake organizations are active during the tax seasons in order to attract donations from Americans who are looking for some tax reduction. According to the IRS, these are turned out to be Dirty Dozen Tax Scams for the 2017 filing season. IRS Commissioner John Koskinen said that Fake charities set up to steal the money or personal information are a recurring problem. The...

Which Form 990 Series You Need To File for your Tax Exempt Organization

Do you know the Form 990 series return for the tax year, which is to be filed by the organizations? The 990 filing thresholds for the tax year is given below for all the organizations that are required to file 990 series return. Form 990 series need to be filed by most of the tax-exempt organizations, except government-affiliated organizations and churches. Form 990 serves as a primary tool for IRS to gather the information about the tax-exempt organizations....

Types of Tax-Exempt Organizations – Etax990N

Tax exemption is a reduction in the taxes, which is usually enforced on the individuals and organizations by state and federal governments. To attain a tax-exempt status, an organization should meet certain criteria that are defined by the U.S Internal Revenue Code (IRC). Organizations that receive tax exemptions from the taxes under the IRC are churches, trusts, charities and any other organizations which are functioned for the tax-exempt purposes. Let us check various types of organization which...

General Non-profit Summer Fundraising Checklist

The days of summer are here and time to try out new things that you may have been stacking up on your thoughts list. Discussing some of the ways which you can utilize at your downtime during the last weeks of summer and get more out of fundraising marketing efforts come the fall. Non-Profit Fundraising Checklist This fundraising checklist will assist you in all the cases whether you are a new fundraiser for the group, evaluating an...

Requirements to E-File and Complete IRS 990-N Form Annually

Generally, every tax-exempt organization whose annual gross receipts are $50,000 or less must file Form 990-N online which is also referred as e-postcard. Form 990-N must be filed electronically between July 1 and November 15, for the fiscal year that ends on June 30. Required Information to File IRS Form 990-N In order to file IRS 990-N, you are required to fill a set of information to complete the process. Check out the following information that you need to...

Major Reasons for Your Tax 990 N Form Rejection by the IRS

IRS Form 990N filing and submitting to IRS is easy when your Form 990N rejected by IRS. Re-filing the form 990N is becoming a common practice as the IRS started to reject many of the tax Form 990N. So it is important for every tax filer to know why the IRS 990 Form is rejected on your return and need to know how to correct it to avoid penalties or losing the tax-exempt status. Reasons for IRS...

E-file Tax Exempt Return Form 990-N and Extension at Anytime

The tax season has started and all taxpayers are getting ready to file their exempt organizations to file tax returns and filing e-Postcard process before the deadline May 15th. Also, the tax-exempt organizations are expected to file their annual information return to IRS every year. Filing a tax return either Form 990N e-Postcard or Form 8868 Extension in between your tight work schedule is always a problem as it takes much time and effort to file them even if you are...