The IRS has to know what you are doing during the year and you have to tell them. If you have no taxable income, it is easy. You submit a Form 990 (electronically in most cases, because your post just doesn’t generate much wealth). Here is where many posts fail. They assume that if they did not earn enough income to report it, it does not have to. That changed several years ago. Your post must now file a report EACH YEAR. There are No exceptions.
To make this process simple, the IRS lets posts submit their report electronically or by using Form 990-N. The 990-N is just a simple post card!
Failure to do so puts your post at risk. The IRS can, and will, pull your tax exempt status. If you don’t have that status, you cannot hold an American Legion Charter. Here is the latest information as provided by the Department Judge Advocate:
Download these items, if you need to reinstate your post or if you would like to assist others with similar issues.
The form that has been prepared by Gaither Keener, Dept Judge Advocate, will posted on the District 12 web site. as soon as it is received.