For Part 4 of our series on Upcoming Filing Deadlines and Annual Review for Exempt Organizations, we’re talking about changes in a nonprofit organization’s officers and directors and who should be notified of such changes.
At the federal level, a nonprofit organization should include changes in its officers and/or directors on its applicable Form 990 Return. In addition, all entities with an Employer Identification Number ("EIN") are required to submit Form 8822B to update the IRS on any changes to the entity's responsible party (generally, the President or Treasurer). The form must be filed with the IRS within 60 days of the change. While the instructions to Form 8822B note that there are no penalties for failure to file the form, interest and penalties set forth on any notice of deficiencies or assessments made against a nonprofit organization that were sent to the wrong responsible party will not be abated. Thus, departing officers and directors should make sure that the nonprofit organization files a Form 8822B, if necessary, within 60 days of its officer and director elections.
Additionally, many states require a nonprofit organization to notify the state when there has been a change in the nonprofit organization’s officers and/or directors. Pennsylvania, for instance, requires a nonprofit organization to file an annual statement on or before April 30th of each year if there has been a change in the nonprofit organization’s officers. These filing requirements vary from state to state, so it is important to be aware of and consult local laws to ensure your nonprofit organization is in compliance.
Check back Monday for Part 5 of this series!
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