WASHINGTON – The IRS reminded large tax-exempt organizations of the mandatory electronic filing deadline for federal returns, including income, excise, employment tax and information returns such as forms W-2 and 1099.
Exempt organizations with at least $100 million in assets and filing at least 250 returns a year are required for the first time to file electronically. Federal credit unions are exempt from filing the Form 990, according to CUNA, but state charters and trade associations must file; some states file aggregate 990s for the credit unions so there's no way to know how many credit unions are impacted by the mandatory e-filing. Neither CUNA nor NAFCU has over $100 million in assets to qualify for mandatory electronic filing.
However, for tax years ending on or after Dec. 31, 2006, mandatory e-filing will be expanded to tax-exempt entities with $10 million or more in assets and file at least 250 returns a year, the IRS said. Additionally, private foundations and charitable trusts will be required to file Form 990-PF electronically regardless of asset size if they file at least 250 returns per year.
Recommended For You
NAFCU plans to have its financials ready by mid-May, a spokesperson said, while a CUNA representative said that organization will likely file an extension, which would give CUNA until Aug. 15 to file. The IRS is encouraging tax-exempt entities to file extensions electronically as well.
"IRS has worked closely with our stakeholders to ensure that our e-filing procedures meet their needs," said Steven T. Miller, Commissioner of the IRS Tax Exempt and Government Entities Division. "But equally important is that e-filing greatly enhances the transparency of the operations of the tax-exempt community, a key component of public confidence."
The IRS has already received more than 3,600 information returns this year from exempt organizations using electronic filing. Last year, the IRS received about 6,700 electronically filed information returns from tax-exempt organizations. [email protected]
© Touchpoint Markets, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more inforrmation visit Asset & Logo Licensing.
