New Rules Remove Requirement To Report Donors for Many Tax Exempt Organizations

Taxpayers who file Form 990 or 990-EZ, with the exception of organizations described under 501(c)(3), will have modified reporting on Schedule B Schedule of Contributors as a result of Revenue Procedure 2018-38 issued by the IRS.  Most tax-exempt organizations reporting Schedule B on Form 990 and 990-EZ and Part IV of Form 990-BL are no longer required to report the names and addresses of its contributors.  They are still required to maintain an annual comprehensive schedule of the contributor’s names and addresses within their books and records.  This information should be readily available if requested by the IRS for examination.

Additionally, organizations described in 501(c)(7), (8) or (10) will no longer be required to disclose the names and address of persons providing contributions of more than $1,000 used exclusively for charitable purposes.

501(c)(3) organization are still required to complete the contributor information on Schedule B.

Although, the IRS makes tax exempt organization returns available to the public, specific contributor information was redacted from the tax return publication.  With the modified reporting, the IRS will no longer be charged with redacting the information on most Form 990 and 990-EZ.

The effective date of this revenue procedure will apply to returns for years ending on or after December 31, 2018, meaning returns due on or after May 15, 2019.