What IRS Form 990-PF (2017) Is For

IRS Form 990-PF is the annual information return for private foundations and certain charitable trusts. All domestic private foundations, taxable private foundations, and section 4947(a)(1) nonexempt charitable trusts must file it, regardless of income or asset levels. The form calculates the excise tax on net investment income (2% or reduced 1% if qualifying distributions are met) and serves as a public disclosure document showing charitable distributions, operations, and compliance with federal law (IRS Instructions for Form 990-PF (2017)).

When You’d Use Form 990-PF for 2017 (Late or Amended Filing)

You’d file a late 2017 Form 990-PF if your foundation missed its original May 15, 2018 deadline (or extended deadline) and later received IRS notices, penalty assessments, or compliance inquiries. Common late filing triggers include:

• IRS delinquency letters (e.g., CP-215).
  
  
• Discovery of unfiled years during audits or board reviews.
  
  
• Preparation for reinstatement after automatic revocation.
  
  

You’d file an amended 2017 Form 990-PF if you need to correct:

• Understated investment income or excise tax.
  
  
• Charitable distribution miscalculations.
  
  
• Omitted schedules or inaccurate disclosures.
  
  

Refund claims for overpaid excise taxes must be made within 3 years of filing or 2 years of payment, whichever is later.

Key Rules Specific to 2017

• Excise tax rates: 2% on net investment income, reduced to 1% for foundations meeting distribution tests under §4940(e). (This was later replaced with a flat 1.39% rate starting in 2020.)
  
  
• Minimum payout requirement: At least 5% of average investment assets had to be distributed for charitable purposes.
  
  
• Late filing penalties: $20/day (up to $10,000 or 5% of receipts), or $100/day for large organizations (up to $51,000).
  
  
• Electronic filing: Required only for organizations filing 250+ returns in the calendar year. Smaller filers could still file on paper.
  
  

Step-by-Step (High Level)

1. Gather documents: IRS transcripts (Form 4506 or 4506-T), financial statements, investment income records, and grant documentation.
   
   
2. Prepare the correct-year form: Use the 2017 version of Form 990-PF. Do not substitute later versions.
   
   
3. Calculate excise tax: Complete Part VI for 2% or 1% rate, depending on distribution qualification.
   
   
4. Check payout requirement: Complete Part XII to verify the 5% minimum charitable distribution.
   
   
5. Attach schedules: Include Schedule B (contributors) and other required attachments. Provide explanations for late or amended filings.
   
   
6. File return: Mail to IRS Ogden, UT center or e-file if eligible. Mark “Amended return” in Item G when correcting a prior filing.
   
   
7. Maintain records: Keep all returns, supporting documentation, and state copies for at least 3 years.
   
   

Common Mistakes and How to Avoid Them

• Excise tax miscalculation: Don’t assume 1% applies—confirm eligibility under §4940(e).
  
  
• Omitted investment income: Report all capital gains, dividends, and interest.
  
  
• Distribution errors: Track timing correctly—payout requirement allows 12 months after year-end to meet obligations.
  
  
• Blank or incomplete schedules: Always complete Schedule B and prohibited activities disclosures in Part VII-A.
  
  
• No late filing explanation: A reasonable cause statement may reduce penalties.
  
  
• State filing oversights: Send copies to your state attorney general where required.
  
  

What Happens After You File

• Processing: IRS review takes 4–6 months on average; longer for amended or delinquent filings.
  
  
• IRS notices: You may receive requests for clarification, penalty assessments, or balance due statements.
  
  
• Penalties:
  
  
  
  • Late filing: $20/day ($100/day for large filers), capped at $10,000 ($51,000 for large filers).
    
    
  • Failure-to-pay: 0.5% per month on unpaid excise taxes (up to 25%).
    
    
• Appeal rights: You may challenge IRS findings via the Office of Appeals.
  
  
• Public record: Returns become publicly available, including on the IRS’s Tax Exempt Organization Search tool.
  
  

FAQs

Q: What are the penalties for late filing?
A: $20/day up to $10,000 or 5% of gross receipts. For large organizations (gross receipts > $1,028,500), $100/day up to $51,000.

Q: Can I still claim a refund of overpaid 2017 excise taxes?
A: Only if within 3 years of filing or 2 years of payment. For most 2017 filers, that window has now closed.

Q: How do I get IRS transcripts for 2017?
A: File Form 4506 (copy of return) or Form 4506-T (account transcript). Processing takes 2–4 weeks.

Q: Do I need to amend state filings if I amend the federal return?
A: Yes, most states require amended filings if your federal 990-PF was amended.

Q: What if I missed the 5% payout requirement for 2017?
A: You may face a 30% excise tax on undistributed income under §4942. Corrective distributions had to be made by May 15, 2019.

Q: Can I e-file a 2017 Form 990-PF today?
A: Only if your foundation filed 250+ returns that year. Otherwise, paper filing was the norm for 2017.

Q: What if my foundation lost tax-exempt status for non-filing?
A: Your foundation automatically became a taxable private foundation. You must file as taxable and apply for reinstatement of exemption.

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