[Organization doesn’t recognize tax-exempt status] - How do I resolve it?
304 views | Last modified 5/13/2024 2:08:41 AM EST |

IRS Error Code: 

Form 990, 990-EZ and 990-N: [F990-906-01] and [F990-902-01]

Rejection Message:
The organization has not been recognized as tax-exempt by the IRS. Only exempt organizations can file Form 990.

What does it mean:
The organization must have an exempt status to qualify for filing a 990 return. The IRS would have rejected the return under the following scenarios.

1. The organization would have filed form 1023 with the IRS seeking exempt status and wouldn't have heard back from them. Or,
2. The organization wouldn't have filed its 990 return for three consecutive years, and as a result, the IRS would have revoked its exempt status. 

Resolution: 

• If your organization haven't filed form 1023 to apply for the tax exempt status, please go ahead and complete.
• If the organization has filed its Form 1023 application with the IRS, it needs to wait until the IRS grants it exempt status before filing Form 990. If the IRS has rejected the return despite the organization having the exempt status, then we suggest you contact the e-help Desk Toll-Free Number 1-866-255-0654.
• If you haven't filed the required 990 return for three consecutive years, you must re-instate the tax-exempt status.