On July 26, 2010, the IRS announced a one-time reprieve to small tax exempt charities that have failed to file the appropriate tax returns from 2007 through 2009. The filing deadline has been extended to October 15, 2010. Along with the announcement, the IRS
posted a list of tax exempt charities which have not filed the required annual tax returns for 2007, 2008, 2009 and are at risk for automatic revocation of their tax exempt status.
If a charity losses its tax exempt status they will have to reapply. While all charities should examine their records and put procedures in place to make sure the appropriate
Annual returns are filed, the charities on the IRS list should take immediate steps to prepare and file the required returns prior to October 15, 2010.
The IRS reprieve only applies to small tax exempt charities that are required to file Form 990-N or Form 990-EZ whose filing deadlines fall on or after May 17, 2010 and before October 15, 2010. In addition charities who are required to file a 990-EZ must also pay a Compliance Fee based upon their 2009 gross receipts.
Any tax exempt charities that have not filed the required tax returns by October 15, 2010 will have their tax-exempt status revoked, and the IRS will publish a list of those organizations in early 2011.
The IRS list is available online at the following internet address: http://www.irs.gov/charities/article/o,,id=225889,00.html.
