Frequently Asked Questions Regarding IRS Filings and 501c3 Status


Q1. Does every Club, no matter the size, need to file a Form 990-N?

Answer: Yes, there is a requirement that all tax-exempt entities, as well as clubs affiliated with those entities under the same exemption, must file a Form 990-N regardless of the amount of revenues they have generated for the year. The filing is due on the 15th day of the 5th month after the fiscal year end for the club. For example, if your fiscal year ends May 31st (as do most clubs in order to coincide with the end of the school year), your 990-N is due on October 15th.



Q2. Beginning with tax years ending on or after December 31, 2007, every Club must file an annual information form with the IRS regardless of the amount of gross receipts or income generated by the Club. The amount of gross receipts determines the specific type of form to file. What revenues should be included in this gross receipts total?

Answer: All revenue that goes through the Club’s account should be included in the gross receipts calculation. This includes dues, revenues from fundraising activities, donations, sale of goody bag revenues, funds for social events, etc. The only funds not included in the calculation are those that are not payable to the Club, but instead to an individual member. For example, if there is a social event and funds are collected for that event, those checks could be made payable to the individual in charge of that event, in which case they would not constitute revenue of the Club.



Q3.With all our clubs now being required to file an annual information form with the IRS for tax years ending on or after December 31, 2007, how does our club figure out its tax year end?

Answer: The end of the Federation tax year is May 31st, and it is likely a number of the clubs have chosen this same tax year end date. Places to look for your tax year end include the Bylaws of the Club as well as resolutions adopted by the Board at the time of its organization. If you ultimately cannot find information regarding the tax year, it would be advisable for the Board to adopt a resolution to select a tax year and then make the filing with the IRS according to that chosen tax year.