Tax Exemption Application E-Filed | Cincinnati Audit Firm

Non-profit Tax Exemption Applications Must Now Be E-filed

Published on by Paula Hume in Not-for-Profit, Tax Services

Non-profit Tax Exemption Applications Must Now Be E-filed

The desire to help others is one that is shared by most everyone regardless of occupation, income status and location. The transformation of the desire into a passion is when many take action and investigate how to start a nonprofit organization. There are several steps to take which include; identifying a name, preparing articles of incorporation, drafting bylaws, recruiting for the Board of Directors and filing applications on both the state and federal level. While each step requires careful planning and consideration, it’s often the filing process for tax-exempt status which causes the most frustration. Long delays in the approval process can almost cripple the organization as it waits for approval. In fact, processing delays have been an issue since 2013 when it was discovered several applications were delayed for an extended period.

To relieve frustration and make it easier to apply, starting January 31, 2020, IRS Form 1023, Application for Recognition of Exemption Under Section 501 (c)(3), must now be filed online through the There will be a 90-day grace period in which both the electronic and paper version of the new Form 1023 will be accepted. It’s important to note the application fee will remain $600 and can be paid when forms are submitted. The IRS accepts payment via credit card, debit card or through a bank account.

Contact Us

The changes to the application process are designed to reduce delays in processing. If you have questions about the new filing process or need assistance with a nonprofit tax compliance or planning issue, Barnes Dennig can help. For additional information call us at 513-241-8313 or click here to contact us. We look forward to speaking with you soon.


Related Services

Related Industries

More Insights

Apply Now