Deaf Non-profits to lose Tax exemption
May 8, 2010 - 8:43am — Brein
Thousands of Non-profit organizations are at risk of losing their nonprofit status if they do not file with the IRS by May 15th. Many small Deaf non-profits may be especially hard hit.
The IRS implemented a new rule in 2006 requiring all non-profits to file with the IRS. Organizations that earned under $25,000 a year were previously exempt. If organizations do not file their returns for three years, they lose their non-profit status. As this is the third year that this rule has been in effect, this May 15th may be the execution date for many non-profits.
Most non-profits earning less than $25,000 a year only have to file the Form 990-N or "e-Postcard" which is a simple electronic application which requires 8 basic pieces of information, including the organizations contact information.
To find out if a non-profit organization needs to file, or is in danger of losing their tax exempt status by checking the database at the National Center for Charitable Statistics
Comments
Collaboration among Deaf Community
I'm not surprised this is happening. There are several things that is being noticed among deaf organizations and that includes the fact that there is so little support for these organizations. Not because they're solely deaf organizations but because there are too many of them.
If we would figure out a way to either combine or collaborate among organizations that have a fairly common goal (the betterment of the deaf community) but in different ways, their income annually would raise over 25k. I believe the IRS set this rule because they wanted to give non-profit organizations time to build up their income before paying taxes.