What IRS Form 990-EZ (2025) Is For

Form 990-EZ is the short-form annual information return that certain smaller tax-exempt organizations, nonexempt charitable trusts, and section 527 political organizations must file with the IRS under section 6033.

It can be used if, at the end of the 2025 tax year, the organization has:

• Gross receipts greater than $50,000 but less than $200,000, and
  
  
• Total assets under $500,000.
  
  

Organizations above these thresholds must file the full Form 990, while those with normally $50,000 or less in gross receipts may file Form 990-N (e-Postcard) instead (IRS Instructions for Form 990-EZ).

When You’d Use Form 990-EZ for 2025 (Late or Amended Filing)

You would file a late 2025 Form 990-EZ if your organization missed the original due date (the 15th day of the 5th month after the tax year ends) and did not file an extension using Form 8868.

Common late filing triggers include:

• Receiving CP-515 delinquency notices or Letter 2695C for missing information,
  
  
• Facing IRS-assessed failure-to-file penalties, or
  
  
• Risking automatic revocation of tax-exempt status after three consecutive years of non-filing.
  
  

You would file an amended return if you discovered errors in a previously filed 2025 return. To do so, check the “Amended return” box in the heading and explain the changes in Schedule O.

Key Rules Specific to 2025

• Electronic filing is mandatory: All 2025 Form 990-EZ returns must be submitted electronically. Paper filing is not accepted.
  
  
• Eligibility thresholds:
  
  
  
  • ≤ $50,000 gross receipts → Form 990-N (e-Postcard).
    
    
  • $50,000–$199,999 gross receipts and < $500,000 assets → Form 990-EZ.
    
    
  • ≥ $200,000 gross receipts or ≥ $500,000 assets → Form 990.
    
    
• Penalty thresholds: Daily late-filing penalties are $20 per day (up to $10,500 or 5% of gross receipts). For organizations with gross receipts over ~$1.2 million, the penalty rises to $105/day (up to $54,500).
  
  
• Paid preparer authorization: Authorization expires on the due date (without extensions) for the following year’s return (2026 Form 990-EZ).
  
  

Step-by-Step (High Level)

1. Gather records: Request IRS account transcripts to confirm your filing history and check for penalty assessments.
   
   
2. Complete the correct form year: Use the 2025 Form 990-EZ for the 2025 tax year only. Check the “Amended return” box if correcting prior filings.
   
   
3. Attach required schedules: Depending on your activities, this may include:
   
   
   
   • Schedule A (public charity status & public support test, for 501(c)(3)s),
     
     
   • Schedule B (donor disclosure for contributions ≥ $5,000),
     
     
   • Schedule G (fundraising/gaming activities),
     
     
   • Schedule O (mandatory for narrative explanations).
     
     
4. File electronically: Submit via IRS-approved e-file software or through a tax professional.
   
   
5. Keep records: Maintain filed returns, schedules, and supporting documentation for at least three years, as returns are subject to public inspection.
   
   

Common Mistakes and How to Avoid Them

• Missing signature: Ensure an authorized officer signs Part VI—unsigned filings are invalid.
  
  
• Incorrect gross receipts calculation: Include all revenue sources (contributions, program service revenue, investment income, etc.).
  
  
• Filing the wrong form: Organizations exceeding $200,000 in gross receipts or $500,000 in assets must file Form 990 instead.
  
  
• Incomplete Schedule B: File Schedule B if contributions ≥ $5,000 from any donor, unless an exception applies.
  
  
• Netting contributions/expenses: Report revenues and related expenses separately, not as net figures.
  
  
• Inadequate late filing explanation: When seeking penalty relief, provide detailed, documented reasons in Schedule O.
  
  

What Happens After You File

• Processing time: The IRS typically processes electronic Form 990-EZ filings within 6–8 weeks, though returns with penalties or amendments may take longer.
  
  
• IRS notices: You may receive requests for additional information or correction letters.
  
  
• Penalties: Late filing penalties accrue daily until a complete return is submitted. Organizations with three consecutive missed filings face automatic revocation of tax-exempt status.
  
  
• Relief options:
  
  
  
  • Request penalty abatement for reasonable cause (illness, natural disasters, or other unavoidable circumstances).
    
    
  • Request an installment agreement (Form 9465 or IRS Online Payment Agreement) if unable to pay penalties in full.
    
    
• Appeals: You may appeal penalty assessments through the IRS Office of Appeals.
  
  

FAQs

Q: Can I still file if I’m several years behind?
A: Yes. File all delinquent years immediately. Three consecutive missed filings trigger automatic revocation of tax-exempt status.

Q: How much are late filing penalties?
A: $20 per day (up to $10,500 or 5% of gross receipts) for smaller organizations. Larger organizations (over ~$1.2 million in receipts) face $105/day penalties up to $54,500.

Q: Do I need transcripts before filing late?
A: Not required, but transcripts help confirm prior filings, penalty balances, and ensure you file for the correct years.

Q: Can penalties be waived?
A: Yes, if you demonstrate reasonable cause, such as illness, natural disasters, or reliance on incorrect IRS guidance.

Q: What if my receipts exceed $200,000?
A: File Form 990 instead—Form 990-EZ eligibility is limited to gross receipts < $200,000 and assets < $500,000.

Q: Should I amend my state filings too?
A: Likely. Many states require amended filings when federal returns are amended. Check with your state charity regulator.

Q: How long does processing take for late or amended returns?
A: Typically 6–8 weeks, but longer if penalties are involved or the return requires manual IRS review.

‍