Five IRS Online Tools Nonprofit Leaders Should Know About
Nonprofit leaders are responsible for much more than programs and fundraising. They must also protect the organization's tax-exempt status, meet annual filing requirements, manage employment taxes, respond to IRS notices, and make information available to donors and the public.
The IRS provides several online resources that make those responsibilities easier. Some are designed for existing tax-exempt organizations, while others are especially useful when forming a new nonprofit or applying for federal tax-exempt status. The following seven resources deserve a place in every nonprofit's compliance toolkit.
1. Tax Exempt Organization Search
The Tax Exempt Organization Search, commonly called TEOS, allows nonprofit leaders, donors, grantors, and members of the public to review information maintained by the IRS about tax-exempt organizations. It can be used to confirm whether an organization is eligible to receive tax-deductible charitable contributions and to review its federal tax-exempt status.
The tool also provides access to available Form 990-series returns, Form 990-N filings, determination letters, Publication 78 data, and the IRS list of organizations whose exemptions were automatically revoked. Nonprofit leaders should search for their own organization periodically. This is a simple way to see what donors and grantors see and to identify missing or unexpected information before it causes concern.
Keep in mind that recently filed returns or newly issued determinations may not appear immediately. TEOS is an important public record, but it should not be treated as a substitute for maintaining the organization's own permanent files.
2. IRS Business Tax Account
Tax-exempt organizations can now use the IRS Business Tax Account. An eligible officer, board chairperson, or trustee may register as a Designated Official and receive full access to the organization's account.
Depending on the available records, the account can display the organization's profile, balances, payment history, tax transcripts, tax compliance reports, IRS notices and letters, and an EIN verification notice. A Designated Official can also make federal tax deposits and other payments, manage account access, and add Designated Users.
This can be particularly valuable when leadership changes or the organization cannot locate its original EIN confirmation. The IRS currently requires a Designated Official to renew that role annually, so access should be reviewed as part of the organization's regular officer transition procedures.
3. Form 990 N Electronic Filing System
Most small tax-exempt organizations whose annual gross receipts are normally $50,000 or less may satisfy their annual federal reporting requirement by submitting Form 990-N, the electronic postcard. The filing is completed online, and there is no paper version.
The filing requires only basic information, including the organization's EIN, tax year, legal name, mailing address, principal officer, website address, and confirmation that gross receipts meet the applicable limit. However, simple does not mean optional. Form 990-N is generally due on the 15th day of the fifth month after the close of the organization's tax year.
Failure to file a required Form 990, Form 990-EZ, or Form 990-N for three consecutive years results in automatic revocation of tax-exempt status. Before using the e-postcard system, confirm that the organization is eligible. Certain organizations must file a different Form 990-series return even when their receipts are small.
4. Stay Exempt Training and EO Update
Stay Exempt is the IRS educational resource for current and prospective tax-exempt organizations. Its materials are designed for nonprofit leaders, board members, and volunteers and cover topics such as applying for exemption, annual filing obligations, public disclosure, fundraising, unrelated business income, political activity, lobbying, and the activities that can place exempt status at risk.
The material is particularly useful for board orientation and periodic governance training. The IRS cautions that some Stay Exempt tools may not yet reflect every recent change, so users should confirm important decisions against current IRS guidance or seek professional advice.
Nonprofit leaders can also subscribe to the free IRS Exempt Organization Update. The email newsletter provides brief notices about new guidance, forms, IRS services, website changes, training, and outreach events. Subscribing is an easy way to learn about changes without repeatedly searching the IRS website.
5. Electronic Federal Tax Payment System
Federal income tax exemption does not relieve an organization of its employment tax responsibilities. Nonprofits with employees generally must withhold, report, and deposit federal payroll taxes. An organization may also owe unrelated business income tax, excise taxes, or other federal taxes depending on its activities.
The Electronic Federal Tax Payment System, or EFTPS, is a free U.S. Department of the Treasury system for making federal tax payments. It can be used for employment, income, estimated, and excise tax payments. Users can schedule payments up to 365 days in advance, change or cancel scheduled payments, receive email notifications, and review recent payment history.
Enrollment may take several business days, so an organization should establish access before a payment deadline. Internal controls still matter. The person authorizing a payment should verify the tax form, tax period, amount, and bank account, and the organization should retain the confirmation with its accounting records.
Build the Accounts Before a Deadline
Online access is most useful when it is established before a filing problem, payroll deadline, grant application, leadership transition, or missing-records emergency. Identity verification, account authorization, and user access can take time. Nonprofit leaders should decide who will maintain each account, document how access will be transferred when officers or employees change, and review authorized users at least annually.
Use IRS.gov or another official federal website to reach these services. Avoid links in unexpected emails, text messages, or social media posts that claim to provide access to an IRS account, tax-exempt determination, payment portal, or government grant. When a nonprofit's facts are complicated, an online tool is a starting point, not a substitute for careful professional advice.
This article is for general informational purposes only and does not constitute tax advice. FBAR requirements depend on individual facts and circumstances