So, when exactly are a nonprofit’s tax returns due. Well, the IRS requires charities to file their tax return five months and fifteen days after their fiscal year closes. For the majority of charities whose tax year closes on December 31 that means that the tax return will be due on May 15. If a charity fails to file or is late filings its tax return three consecutive years, it can lose its tax-exempt status. From the middle of 2010 to the end of 2017, the IRS revoked the tax-exempt recognition of more than 760,000 nonprofit organizations for failing to file Form 990 returns. To put that in perspective that means 20% of all known nonprofits lost their nonprofit status for failing to file taxes. Only 10% of those nonprofits that lost status have applied for their nonprofit to be reinstated, which means that more than 684,000 charities owe federal taxes from the moment they lose status unless they apply for reinstatement with the IRS.

The Pension Protection Act of 2006 requires all nonprofit organizations (except churches) to file a tax return every year from the date of their formation to disclose their income, expenses, and core activities (even if they have not applied for tax-exempt status). Whether your charity earned $0 or $5.2 billion (looking at you United Way Worldwide), all charities are required to file a tax return every year from the moment the nonprofit forms and can experience significant penalties for failing to file or being late.