February 4, 2020
Authored by: Keith Kehrer
The IRS is revising Form 1023, Application for Recognition of Exemption Under Section 501(c)(3) of the Internal Revenue Code, and its instructions, to help charities apply for 501(c)(3) tax-exempt status.
Effective January 31, 2020, applications for recognition of exemption on Form 1023 must be submitted electronically online at www.pay.gov. The IRS will provide a grace period during which it will continue to accept paper versions of Form 1023 (Rev. 12-2017).
The user fee for Form 1023 will remain $600 for 2020. Applicants must pay the user fee through www.pay.gov when submitting the form. Payment can be made directly from a bank account or by credit/debit card.
IRS News Release on the Taxpayer Certainty and Disaster Tax Relief Act provisions
The following provisions may apply to tax-exempt organizations’ current and previous tax years:
- Retroactive Repeal of Unrelated Business Taxable Income – Qualified Transportation Fringe Benefits aka