Final Regulations Released on Electronic Filings for Small Nonprofit Organizations

The IRS finalized the regulations on the “E-Postcard” filing requirements for small nonprofits that both are not required and choose not to file a Form 990 series report (TD 9454).

The IRS, in the preamble to the regulations, noted a comment that objected to the requirement that filings be done electronically. The IRS noted that the electronic filing requirement is specified by statute, so the IRS did not see that it had the authority to create a paper filing option. However, the Irs noted that the regulations do allow the organization to file the appropriate Form 990 series paper form in lieu of the electronic filing.

The regulations note that, in filing the electronic statement, the organization asserts it is not required to file a regular Form 990 because its annual gross receipts are less than $25,000. Thus, the regulations remind all organizations that they must keep records adequate to enable the computation of the annual gross receipts. The report must be electronically filed by the 15th day of the fifth calendar month following the end of the accounting year of the organization or, if the organization has no established accounting period, on the basis of a calendar year.

With the publication of the final regulations, the prior temporary regulation §1.6033-6T is no longer in effect.

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