IRS Form 990: Did You Know?

As 2011 winds down, it’s the perfect time to review your financial documents and make sure you’re in compliance with IRS disclosure regulations for 501(c)(3)s and 501(c)(4)s.

Under IRS rules, generally you are required to make the following documents (and copies, if requested) available for viewing by the public:

• Your application for tax exemption (IRS Form 1023/Form 1024), including all attachments, any supporting documents, and any correspondence from the IRS concerning your application.
• Your Form 990 or Form 990-PF (annual tax return) including attachments and schedules, for the past three years.
• Your Form 990-T, Exempt Organization Business Income Tax Return for the past three years.  This must also include any attachments, schedules, and supporting documentation, including documents that relate to the imposition of tax.

You are only required to provide the exact documentation named in any requests.  For example, if someone asks for your “2002 tax return”, you must provide your 2002 Form 990, including schedules and attachments, but no tax-exempt applications or returns for prior years.  If the request is for your “annual return” and no year is given, you must send the 990s, schedules, and attachments for the last three years.  If your organization is a public charity or 501(c)(4), you may omit the names and addresses in Schedule B of your annual return.  Private foundations, however, are not allowed to omit the names and addresses of contributors.

Your IRS Determination Letter is also subject to public viewing.

Not only should your organization have copies of these documents available for the public, you should have a procedure in place to handle all public inquiries.

In-person requests must be fulfilled on the same day.  As a result, it would be beneficial to have copies of disclosable documents on hand.  For written requests, you must respond within 30 days of receipt.

For more information on public disclosure and IRS rules for charitable organizations, download a copy of our free brochure, Give Me Your 990!  Public Disclosure Requirements for Tax-Exempt Organizations. You can also receive free technical assistance by sending us a question, or calling (866)NPLOBBY.