The formulas
- Normally $50,000 or less: up to 1 year old and $75,000 or less received or pledged in the first year; 1 to 3 years old and an average of $60,000 or less in the first 2 tax years; or 3 years or more and an average of $50,000 or less over the current and 2 prior tax years
- Form 990 required if gross receipts are $200,000 or more or year-end total assets are $500,000 or more
- Otherwise Form 990-EZ may be filed
How it works
The Form 990 instructions require Form 990 from an exempt organization with gross receipts of $200,000 or more or total assets of $500,000 or more at the end of the tax year. Below both lines the organization can choose Form 990-EZ. Organizations whose gross receipts are normally $50,000 or less submit Form 990-N if they do not choose to file Form 990 or 990-EZ, using the three-part normally test in Appendix B.
Gross receipts are the total amounts received from all sources during the tax year, without subtracting costs or expenses. Section 509(a)(3) supporting organizations must file Form 990 or 990-EZ even when receipts are normally $50,000 or less, and private foundations file Form 990-PF. The tool does not apply the other special cases the instructions list, such as sponsoring organizations of donor advised funds, controlling organizations under section 512(b)(13), political organizations, or organizations excepted from filing altogether.
Illustrative figures only. Check the result against your firm's methodology before relying on it.
Common questions
Are gross receipts the same as total revenue?
No. Gross receipts add back costs netted in revenue, such as the cost of goods sold, the basis of assets sold and direct expenses of fundraising events.
What if the organization is under 1 year old?
It meets the normally test if it received, or donors pledged, $75,000 or less during its first tax year.
Sources
Runs in your browser. The figures you type are not sent to CORAA or stored. Check the result against your firm's methodology before relying on it.