Redesigned Form 990

On Aug. 19, 2008, the Internal Revenue Service released the revised instructions that tax-exempt organizations will need to fill out the redesigned Form 990. This redesigned form is effective for the 2008 tax year, filed in 2009.

According to IRS Commissioner Doug Shulman, “These instructions are the final step in a tremendous effort to bring the Form 990 up to date and to reflect the diversity and complexity of the tax-exempt community. The revised form will give the IRS and the public a much better view of how exempt organizations operate. The improved transparency provided by these changes will also benefit the tax-exempt community.”

To allow organizations time to adjust to the new forms, the IRS is phasing in the filing requirements during a three-year transition period, depending on the org’s financial activity. Click here to review the filing requirements during the transition period.

This redesigned form has a core form with eleven parts, and depending on certain activity, an additional 16 schedules. The IRS believes the new filing requirements:
• provides enhanced transparency,
• promotes tax compliance and
• minimizes the burden on the filer.

For more information on the core form and schedules, go to www.irs.gov