It is exciting that the APA’s Annual Congress is just around the corner. While many chapter leaders are busy preparing to attend the Chapter Exchange on Wednesday, May 17 - there is a more pressing deadline chapter officers should be concerned about. I’m talking about the submission of your chapter’s Form 990 tax return due to the Internal Revenue Service (IRS) on May 15.
The IRS released a friendly reminder the deadline for filing the 990-series information returns are due on Monday, May 15. In the event you are new to the process, the IRS provides resources such as an on-demand session titled, Welcome to the Form 990 Overview Course. You can also locate a wealth of information by visiting their website. It contains a variety of on-demand courses geared to help exempt organizations stay in compliance.
Some important things to keep in mind include:
- The Form 990 series of returns and notices are due on the 15th day of the fifth month after an organization’s tax year ends. For calendar-year organizations, May 15 is the deadline to file for 2016.
- There is good news for chapters with average annual gross receipts of $50,000 or less. You have the option to file an e-notice called a Form 990-N (e-Postcard).
- Chapters having average annual gross receipts above $50,000.00 must file a 990 or 990-EZ.
Last October, the Chapter Leadership Summit session, ‘Back to the Basics – Chapter Organization’, highlighted the importance of chapter officers’ fiduciary duty to ensure compliance with the IRS. The consequences of failing to file can result in the loss of a chapter’s exemption status. Chapter officers should perform a timely review of the complete IRS Form 990 and all attachments before filing the return with the IRS. It is vital that this task remains at the top of the chapter's list of priorities.
Chapters not prepared to file their 990 and 990EZ returns by Monday can file for an extension. Chapters filing the 990-N (e-Postcard) cannot file for an extension. Be sure to submit Form 8868 to obtain a six-month extension no later than Monday, May 15. It is important to note if a chapter lapses in filing their returns for three years the IRS will revoke the chapter exemption as of the due date of the third year.
Visit the IRS website to obtain a pdf copy of the ‘Form 8868 Application for Automatic Extension of Time To File an Exempt Organization Return’.
