IRS Will No Longer Require Donor Information for Certain Exempt Organizations

On July 16, the IRS announced that they will no longer require donor names and addresses on Schedule B of Forms 990 or Forms 990-EZ. This applies to exempt organizations other than 501(c)(3) organizations, and will become effective for tax years ending on or after December 31, 2018.

Organizations described in section 501(c)(7), (8), or (10) will no longer be required to provide on Forms 990 or Forms 990-EZ donor names and addresses of persons who contributed more than $1,000 during the tax year to be used for exclusively charitable purposes.

These changes do not affect the information required to be reported on Forms 990, 990-EZ, or 990-PF for 501(c)(3) organizations. They include non-exempt charitable trusts under section 4947(a)(1) and non-exempt private foundations under section 6033(d) or political organizations under section 527.

Other than donor names and addresses, the Procedure does not affect the reporting of contribution information required on Schedule B of Forms 990 and 990-EZ.

Organizations must continue to collect donor names and addresses to keep in their books and records and to make it available to the IRS upon request.

The California Franchise Tax Board has not announced conformity and still requires the disclosure on CA Forms 199.

Click here to read Revenue Procedure 2018-38.

 

 

FRANCHISE TAX BOARD SENDS FINAL NOTICES TO FILE

The Franchise Tax Board (FTB) recently sent letters to a number of exempt organizations requesting prior years CA Forms 199 and/or Forms 109. The letter indicates they have sent previous notices requesting the returns and it is a final notice to file. Organizations receiving these letters can respond by contacting the FTB to identify the requested returns and provide them.