IRS Form 990 (2016): Return of Tax-Exempt Organizations

Form 990 is the annual information return that tax-exempt organizations, certain nonexempt charitable trusts, and section 527 political organizations use to report finances, governance, and program activities under section 6033. The 2016 form also requires Schedule O for narrative explanations.

Large Tax-Exempt Organizations

Organizations with gross receipts of at least $200,000 or total assets of at least $500,000 generally must file the full 2016 Form 990.

Smaller Voluntary Filers

An organization eligible for Form 990-EZ or 990-N may still choose the full form when it wants a more complete compliance record.

Section 4947(a)(1) Trusts

Certain nonexempt charitable trusts described in section 4947(a)(1) use Form 990 to provide the annual information return required under section 6033.

Donor-Advised-Fund Sponsors

If required to file an annual return, sponsoring organizations of donor-advised funds must file IRS Form 990, not Form 990-EZ.

Supporting Organizations

Section 509(a)(3) supporting organizations generally must file Form 990 or Form 990-EZ even when their gross receipts are normally small.

Late or Amended Filers

The same 2016 form is used for late filing or an amended return, with the amended box checked and Schedule O explanations included.

Follow the steps below to complete the 2016 return accurately. Several line references, threshold checks, and e-file rules are specific to this tax year.

1. Gather your documents before starting

Collect the organization’s employer identification number, governing documents, financial statements, contribution records, payroll data, prior filings, schedules, and any IRS notices before you start. Good records help you report gross income, wages, property, and explanations correctly.

2. Complete the heading and filing status

Complete the heading first and confirm the organization’s tax period, legal name, mailing address, accounting method, and employer identification number. Check the correct boxes for initial return, terminated return, amended return, application pending, or group return status, because the wrong label can misdirect Internal Revenue Service processing and public inspection records.

3. Report all revenue on the correct lines

Use Part VIII and enter contributions on lines 1a through 1h, program service revenue on lines 2a through 2g, investment income on line 3, other revenue on line 11, and total revenue on line 12. Do not net gross receipts against expenses unless the form or instructions specifically allow it for that item.

4. Report expenses and compensation accurately

Use Part IX to report grants on line 1, benefits paid to members on line 4, other salaries and wages on line 7, payroll taxes on line 10, professional fundraising fees on line 11e, information technology on line 14, occupancy on line 16, travel on line 17, and depreciation on line 22.

5. Complete governance, Schedule O, and the balance sheet

Complete Parts VI and X with care. Every Form 990 filer must complete Schedule O. On the balance sheet, total assets appear on line 16, tax-exempt bond liabilities on line 20, total liabilities on line 26, and net assets or fund balances on line 33. Review all entries before submitting.

6. Review filing date, extension, and submission

A calendar-year organization’s 2016 return was due May 15, 2017. Request more time on Form 8868, and e-file if the organization filed at least 250 returns and had $10 million or more in assets.

Missing Form 990 or Tax Records for 2016?

Late filers often discover that the original 2016 return, schedules, or supporting records are incomplete. IRS public-disclosure tools and internal accounting records can help reconstruct the return and verify what information was previously filed.

Tax Exempt Organization Search

TEOS lets users view Form 990 series returns received in 2017 or later and check filing history, tax-exempt status, automatic revocation data, and related information.

Form 4506-A Copy Request

Use Form 4506-A to request a copy of an exempt organization return, report, or notice when you need older records or documentation not available online.

Prior Internal Records

Gather audited financial statements, donor reports, payroll records, board minutes, and prior workpapers so the organization can complete every page and schedule accurately for 2016.

Tax Professional or E-File Provider

Ask the preparer, software provider, or prior payroll service for archived PDFs, workpapers, and submission confirmations that support amended filing or error correction for 2016.

Do not guess at income, wages, or schedule items; match records to filed data so the IRS receives a correct return and fewer follow-up notices.

These frequent errors can delay IRS processing, trigger notices, or leave a 2016 filing incomplete.

• Using the wrong tax year form — Always use the 2016 form, schedules, and instructions, since page references, required items, and explanations differ significantly from other years.
• Missing Schedule O — All Form 990 filers must complete Schedule O to provide required explanations, amended return notes, and certain mandatory governance responses.
• Misreading filing thresholds — Gross receipts and total assets together determine whether your organization must file IRS Form 990, Form 990-EZ, or Form 990-N.
• Reporting net instead of gross amounts — Gross receipts represent total amounts received without subtracting costs or expenses, unless the instructions specifically authorize net reporting for certain items.
• Skipping required schedules — Omitting Schedule O or any other triggered schedule can render the return incomplete and prompt costly, time-consuming IRS follow-up requests.
• Wrong amended or final boxes — Failing to check the correct amended or final filing status box can confuse your organization's IRS account and unnecessarily delay processing.
• Missing signatures or officer data — An unsigned return or incomplete officer, director, trustee, and key employee information will likely delay IRS acceptance of your filing.
• Ignoring 2016 e-file rules — Organizations meeting both the 250-return threshold and the $10 million total asset requirement were mandated to submit Form 990 electronically.
• Assuming Form 990 covers every tax issue — Unrelated business income tax, estimated tax payments, and certain underpayment penalties may still require filing separate returns or schedules independently.

What is IRS Form 990 (2016) used for?

IRS Form 990 (2016) is the annual information return used by tax-exempt organizations, certain nonexempt charitable trusts, and section 527 political organizations to report finances, governance, program service activity, and required schedules to the IRS under section 6033. It is not the same as an individual income tax return.

Can I still file a 2016 Form 990 return?

Yes, a nonprofit organization can still file a late 2016 Form 990, and filing is important even after the original due date has passed. A late return may still reduce ongoing compliance problems, support a correct organization account, and help address an IRS notice or amended filing need.

Who must file Form 990 for tax year 2016?

Organizations generally must file the full Form 990 for 2016 if gross receipts were at least $200,000 or total assets were at least $500,000 at year's end. Certain section 4947(a)(1) trusts, sponsoring organizations of donor-advised funds, and some supporting organizations also fall under Form 990 rules.

How do I file an amended form?

File a complete new return for 2016, check the amended return box in Item B on page 1, and explain the corrections on Schedule O. An amended form should not include only changed pages; it should present the full corrected return for that year.

Is Schedule O required with IRS Form 990 (2016)?

Yes, all Form 990 filers are required to complete Schedule O, which provides the narrative explanation the IRS requests for specific answers, amended return details, governance disclosures, and other supplemental information that does not fit neatly on the main form page.

Where can I get a copy of an older return or check filing status?

Use the Tax Exempt Organization Search to review Form 990 series filings, tax-exempt status, and automatic revocation data. If you need a copy not available through TEOS, you can request one from the IRS with Form 4506-A and keep the response with your records.

What happens if the organization misses three years of filing?

Failing to file the required annual return, notice, or report for three consecutive tax years can automatically revoke the organization’s tax-exempt status. That consequence is separate from late filing penalties, so an organization should continue filing even if it already expects to owe money or face notices.

Do spouse, household, dependent, credits, or estimated tax payments belong on Form 990?

No, terms such as spouse, household, dependent, single, and most personal credits belong to individual income tax filing, not a standard Form 990. However, separate returns for employment tax, unrelated business income, or estimated tax payments may still be required for the organization.