NATIONAL HEADQUARTERS VETERANS OF FOREIGN WARS OF THE UNITED STATES
General Orders No. 2 2011-12 Series
1. Organizations exempt from income tax under Section 501(c) of the Internal Revenue Code are generally required to file Form 990 by the 15th day of the fifth month following the close of their accounting fiscal year. For the 2010 Tax Year (tax years beginning on or after January 1, 2010), if the organization's annual gross receipts are normally more than $50,000, the organization must file Form 990 or 990-EZ. Small tax-exempt organizations whose annual gross receipts are normally $50,000 or less are required to electronically submit Form 990-N, also known as the e-Postcard. There is no penalty assessment for late filling the e-Postcard, but an organization that fails to file required information returns for three consecutive years will automatically lose its tax-exempt status. The revocation of the organization's tax exempt status will not take place until the filing due date of the third year.
Gross receipts are considered to be normally less than $50,000 if the organization:
1. Has been in existence for 1 year or less and received, or donors have pledged to give, $75,000 or less during its first taxable year;
2. Has been in existence between 1 and 3 years and averaged $60,000 or less in gross receipts during each of its first two tax years; and
3. Is at least 3 years old and averaged $50,000 or less in gross receipts for the immediately preceding 3 tax years (including the year for which the calculations are being made).
If annual gross receipts are normally more than $50,000, the organization must file Form 990 or 990-EZ. For the 2010 Tax Year, if an organization has gross receipts less than $200,000 and total assets less than $500,000, it may file form 990-EZ. However, if either gross receipts or total assets are above those limits, Form 990 must be filed.
For purposes of filing requirements, gross receipts include: total contributions; gifts and grants; program service revenue; membership dues and assessments; gross investment income (including interest, dividends, gross rents, and other investment income); gross income from the sale of assets other than inventory; gross income from special fundraising events; gross sales net of return allowances; and any other revenue.
IRS regulations require that all tax-exempt organizations make both their Application for Exemption and 990's for the last three years available for public inspection at their principal office and provide copies in response to written requests, subject to the payment of reasonable fees. There are substantial penalties for violation of these regulations.