Tax News:

IRS expedites tax-exempt status of charitable organizations (09-18-01)

Due to the unprecedented breadth of the grave tragedy of Sept. 11, 2001, and the unexpected but heartfelt outpouring of love and brotherhood among the people and those affected by the tragedy, IRS has decided to ease the burden of tax administration for those individuals and organization lending a philanthropic hand to a battered nation. The only exception to the rule is a charitable organization that exists for the good of a pre-selected individual.

Other than that, any organization can fill the form 1023 with a special heading of, “Disaster Relief, Sept. 11, 2001”, to expedite it quickly through the new review and approval process set up by the IRS.

According to the IRS, “An organization qualifies as an exempt charitable organization if it is organized and operated exclusively for charitable purposes, serves public rather than private interests, and refrains from engaging in any political or significant amounts of lobbying activity.” Simply put for the greater good of all not one.

Form 1023 and its instructions contain the addresses for submitting the application –one for regular mail and another for express mail or a delivery service. In addition, those seeking more information about applying for charitable tax-exempt status can call the IRS toll-free phone number for exempt organizations determinations, 1-877-829-5500.