IRS Giving Wrong Advice on 990-N Filing Requirement to Small Organizations

[@minervaaurora7378]

this happened to me! and now, mid pandemic, I haven't been able to get through over the phone with the IRS since April! They have now revoked my tax exempt status because of it.

[@NonprofitTaxHelp]

I totally understand your frustration. I've been trying to call Exempt Organizations Customer Service all week and can't get through. Sometimes if you call exactly at 8am you can get into the queue with a 45 to 60 minute hold time. Also, sometimes on Friday afternoon around 4pm you can get through. It might be that the easiest thing for you to do it to go to pay.gov and file a Form 1023-EZ if you qualify. It costs $275.00 but you can indicate that you want retroactive reinstatement. Make sure you don't mark the "private foundation" box (unless you are a private foundation). Even if you get through to the IRS, it is not likely they'll reinstate your exempt status unless you got it in writing that you didn't have to file. They won't just take your word for it in most cases.

[@mihrethagos1513]

Thank you for the clarification. We have a nonprofit corporation that haven’t finished forming. We didn’t have bylaws yet and we don’t have more than $3000. Do we need to file 990-N?

[@NonprofitTaxHelp]

It isn't clear to me what you mean by having a nonprofit corporation that you haven't finished forming. Either you have a corporation or you do not. If you filed articles of incorporation with your state and they were approved, then you have a corporation, regardless of whether you have bylaws or not. If you have a corporation that was formed in 2018, then yes, technically you would have a 990-N due on May 15, 2019 if you are using the calendar year as your accounting year. However, there is no penalty for failing to file a 990-N for one or two years. To file the Form 990-N for any year, since you've not applied for tax exempt status, you would need to call the IRS 1-877-829-5500 to have them set up a sub-module so you can e-file the 990-N. If you have not yet filed the articles of incorporation with your state, and you are not operating as an unincorporated association with a written constitution, then you do not qualify as a charitable organization and there would be no filing requirement.