The IRS requires all tax-exempt entities to file a Form 990 yearly as one of the requirements for maintaining their tax-exempt status. There are four types of 990s based on the size and type of your nonprofit and each type has their own set of filing requirements.
The first type of 990 is the full Form 990. The full form is required for nonprofits with $200,000 or more in total gross receipts or total assets of $500,000 or more. This form is a multi-page deep dive into the financial information of larger nonprofits. It includes a summary of the organization, details of governance and management, compensation paid to highly paid employees, a full statement of revenue and expenses, reconciliation of net assets and comparative balance sheets.
The Form 990EZ is an abbreviated version the full Form 990. The 990EZ is for nonprofits that are below the full form requirements but generally have more than $50,000 in total gross receipts. The EZ is shorter in length but still includes revenue, expenses and changes in net assets, balance sheet and list of officers and directors.
The 990-N (e-Postcard) is the simplest version of the four types of 990s. This is generally allowed if you received less than or equal to $50,000 in total gross annual receipts. This form can easily be filed by setting up a 990-N profile online with the IRS and then completing the e-Postcard (also online) of brief information about the nonprofit organization. You will be asked to enter information such as taxable year, confirm total gross receipts, official name of the organization, EIN and name/address of principal officer.
The 990-PF is strictly for private foundations. Organizations that are marked as exempt private foundation or taxable private foundations must file a 990-PF.
If you have any questions on what form 990 your organization should file, contact your Henry+Horne advisor.