Form 990

What is Form 990?

Form 990 is the annual information return most tax-exempt organizations file with the IRS. It reports finances, governance, program accomplishments, and executive compensation. Unlike a corporate tax return, Form 990 is a public document: donors, grantmakers, journalists, and watchdog sites read it. For a nonprofit, it functions as much as a public disclosure as a tax filing.

Which version applies and when it is due

Organizations with gross receipts normally $50,000 or less file the 990-N postcard. Those under $200,000 in receipts and $500,000 in assets may file the 990-EZ. Everyone above those thresholds files the full 990, and private foundations file the 990-PF. The deadline is the 15th day of the fifth month after year end, which is May 15 for a calendar-year organization, with extensions available. Three consecutive missed filings revoke exempt status automatically.

Writing it for the audience that reads it

Funders check the program expense ratio, the functional expense breakdown, and executive compensation before they check anything else. Schedule O lets you explain numbers that look odd, and leaving it thin invites the reader to draw their own conclusion. The governance section asks whether you have conflict of interest, whistleblower, and document retention policies; answering no is legal but reads poorly to a grantmaker. Treat the narrative sections as part of your fundraising material.