The IRS released the final revised Form 990 (PDF) on December 23, 2008. The revised Form 990, which goes into effect for reports on fiscal years beginning on or after January 1, 2008, is much more than a financial document -- it’s the primary source of information about your governance, operations, and programs available to government regulators, the press, and the public. You still have time to adopt policy changes this year that will be asked about in the new form. Here are questions you should be asking now to present the best picture of your organization on your annual information return:
Are You Ready for the New Form 990? (PDF) (IS Member Password Required)

Independent Sector has prepared more detailed documents, What Nonprofits Need to Know About the New Form 990 (PDF), and What Nonprofits Need to Know About the Form 990-EZ (PDF), that outline some of the issues your organization should address before your tax year ends.

You can also listen to a recorded conference call on the revised form that IS hosted this summer. Julie Floch, director of not-for-profit services at Eisner LLP; Frank H. Smith, senior tax manager with RAFFA, P.C.; and Pat Read, IS’s senior vice president of public policy, shared insights about what nonprofits should be thinking about to prepare for the new 990 and 990-EZ. Click Here to listen to the program. (IS Member Password Required)

The IRS webcast Preparing for the New Form 990 is available on the Tax Talk Today website.

What Forms Should You File?
Your Organization Must File the New 990 in 2009 (for fiscal years beginning in 2008) if:

• You have annual receipts of $1 million or more, or total assets of $2.5 million or more.
• You maintain any donor advised funds.
• You are recognized as a tax-exempt organization under section 512(b)(13) (controlling organizations).

Private foundations (as described under section 509(a) of the tax code) file Form 990-PF. There have not yet been any changes to the Form 990-PF.

If your annual receipts are between $25,000 and $1,000,000, you may file the Form 990-EZ in 2009, although some states in which you are required to file a copy of your federal return may require that you file the full Form 990. 

If your annual receipts are under $25,000, you must file the new electronic postcard (Form 990-N).

These thresholds will change for returns filed in 2010 for fiscal years beginning in 2009.  At that time, public charities with annual receipts of $500,000 or more, or total assets of $1.25 million will be required to file the new 990.  The following year (2011), these thresholds drop to receipts of $200,000 and assets of $500,000.

Background on Redesign of the Form 990

Last updated: May 29, 2009