Tax Tips: How to Get Your Tax-Exempt Status Back

Are you a small tax-exempt group and have you recently lost your tax exempt status? If so, this most likely happened because a law was passed in 2006 that requires all tax-exempt organizations to file a yearly informational return or notice with the IRS (Form 990, Return of Organization Exempt from Income Tax).

If you didn’t do so for three years in a row, your tax exempt status is automatically revoked.

Now the IRS understands that quite possibly you weren’t aware of your new filing requirement with them, or that perhaps you tried to file but sent your return to the IRS too late to make the deadline. If so, the IRS can help you get your tax exempt status back. And in some cases, you can get it reinstated retroactively.

In addition, small organizations with $50,000 or less in gross annual receipts last year may only have to pay a $100 reduced application fee. That’s instead of the regular $400 or $850 fee. This special lower application fee is only available until the end of 2012.

To get all of the details, including the step-by-step instructions on how to get your tax exempt status back, go to www.irs.gov.

About Cozby & Bruno, LLC

Heather L. Cozby, CPA/Tax Manager, has worked in the accounting field for over ten years. Most of her experience before going into business for herself came from her employment at a South Shore accounting firm specializing in financial needs of condominium associations, small businesses owners, real estate entities, and high net worth individuals. Christine L. Bruno, CPA/Audit & Accounting Manager, spent seven years in public accounting on the South Shore, where she audited such clients as municipalities and prepared financial statements and tax returns for small businesses and high net worth individuals. She's worked as an accountant for over 18 years, and prior to her current venture, operated her own consulting business specializing in providing CFO-level expertise to smaller companies that could not support a full-time advisor.
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One Response to Tax Tips: How to Get Your Tax-Exempt Status Back

  1. BlueTax says:

    Thanks for the tips and the video on how to get a tax-exempt status back. Great post.

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