The document is officially recognized as Short Form Return of Organization Exempt from Income Tax and should be completed and reported to IRS by most entities and trusts that are free from paying profit tax prescribed by Section 501(c).
The fundamental purposes of the paperwork comprise the following aspects:
The completed document must be served to IRS within five months from the end of the accounting period established by the organization. Should the entity or trust cancel its existence, the starting point equals the termination date. Thus the paper must be prepared and reported by the fifth month after the organization is dissolved or liquidated.
Traditionally IRS forms consist of several parts. IRS 990-EZ template contains six sections required to be completed and authorized. You are welcome to use our latest software and generate a needed PDF file. Our technologies help create updated templates convenient to fill out instantly.
Before you start entering the needed info, make sure not to submit your SSN data. Many organizations are obliged to openly disclose yearly data returns, and sensitive information may be jeopardized on publicly open portals.
In Block A, you need to enter the correct accounting period. Thus, for example, if you need to provide return info for 2020, use the 2020 IRS 990-EZ template.
Here, you need to checkbox the alternative that suits your situation:
This block is offered to fill out some general data about the entity filing the respected tax return form. Here, you should specify the following:
Here, you need to provide the employer ID. Also, if the company is privileged to have GEN (Group Exemption Number), include it into Unit F. GENs consist of four digits and are appointed by IRS.
Here, the declarant should specify the accounting method that the organization used during the reporting.
Make sure to checkbox this section if you do not include any amount on line “1” of the respected form. Otherwise, the company needs to prepare and serve the Schedule B attachment and leave the box blank.
Follow the requirements of the blocks I-L and fill out the needed data:
If the company has no web address, please, fill out “N/A.”
Once the introductory information is entered, the entity can proceed to fill out Part One of the form providing the required data next to each unit. Here, the declarant must include the following aspects:
This section comprises units 22-27, which the declarant should fill out considering both the “beginning of the year” and “end of the year” columns. If the declarant fails to report the A and B sections correctly, they can be accused of non-completion of the form and providing insufficient information. Make sure to avoid these unfavorable situations as they may result in penalties.
If the declarant uses Schedule O to fill out the Balance Sheet section, please checkbox the corresponding slot.
Begin entering the data by selecting if the declarant uses Schedule O info to complete the section. Program service includes such aspects as adoptions, rehabilitation, recreations for the elderly, publications.
Specify your entity’s purpose for tax privileges and program service accomplishments.
Enter the necessary info for each of the listed positions, including:
Use the same type of compensation only once in the table.
This section consists of units 33-46. Each statement offers two alternatives. After completing the “Yes-No” poll, the declarant can proceed to the next part of Form 990-EZ.
If any statement appears to be challenging, the declarant should visit the IRS official website for further instructions and advice.
The section consists of lines 47-52. All companies recognized in Section 501(c)(3) should complete the poll and fill out the tables offered in units 50-51.
Use the table in unit 50 to list five employees that have been compensated over 100,000 USD. The declarant should indicate the following data for each person listed:
Complete similar actions in unit 51 to list five independent contractors that have gained over 100,000 USD from the entity. The declarant needs to provide the following info for each name or entity listed:
The organization’s representative authorized to sign tax reports should append their signature, place the current calendar date, and provide their name and title in a print or type format. Before acknowledging the document, the preparer needs to re-check the data submitted to avoid mistakes and penalties.
If the organization hires a person to prepare Form 990-EZ, the contractor should provide the following info to prove their license:
If the preparer is self-employed, they should check the corresponding box.
Select between Yes and No to authorize the appointed preparer for negotiations with IRS regarding Form 990-EZ provided by your organization.