IRS Form 1024 – Tax Exemption for Other Organizations
IRS Form 1024 – for recognition of 501(a) tax-exempt status
What is Form 1024?
Form 1024 is used by organizations to apply for tax exemption under section 501(a). Some organizations require a special letter from the IRS that recognizes their tax status for several reasons. These reasons include…
1. Public recognition of tax-exempt status
2. Exemption from certain state taxes
3. Advance assurance to donors of deductibility of contributions
4. Nonprofit mailing privileges
Who needs Form 1024?
Any tax exempt organization filing form 1023 for recognition as a nonprofit may need to file form 1024. It depends on your individual tax situation. Primary indicators of a 501(a) organization include: the express purpose of promoting the welfare of a certain group of people, who are also its members; the ability to lobby for political candidates and elections; funding from public sources like governments and individuals; and the ability to incorporate as a partnership.
Are there exceptions to who needs to fill out Form 1024?
As the 1024 form is optional, there are no exceptions to who can fill it out. It is generally filled out by organizations who wish to get a special recognition letter from the IRS concerning their state taxes, deductibility, and nonprofit mailing privileges.
How do I fill out Form 1024?
Form 1024 requires many additional steps and forms. Most organizations will follow these steps…
1. Complete Parts I through III of the form.
2. Organizations under Section 501(c)(9), and section 501(c)(17) should also complete Part IV.
3. Complete the schedule indicated on page 1 of Form 1023.
When filling out these forms, you may need additional space that the form does not provide. You can use attachments that follow these guidelines for any additional space that you need:
1. Use 81/2 x 11 inch paper.
2. Provide your name and Employer Identification Number (EIN) at the top of each page.
3. Identify the Part and line number to which the attachment relates.
4. Attachments must be in English.
5. Generally, attachments in the form of tape, recordings or other electronic media are not acceptable unless accompanied by a transcript.
In addition to all of this, you should include any court decisions, rulings, opinions, or any other documents that will assist with processing.
When is Form 1024 due?
Because of the length of time it takes the IRS to process the 1024 form and its accompanying forms, it is recommended that you file within the first 15 months of your organization’s formation.
Where do I send Form 1024?
After ordering payment for the IRS user fee, completing Form 1024, and filling out all of its related documents, put them into a mailing envelope. Send them to:
Internal Revenue Service
P.O. Box 12192
Covington, KY 41012-0192