Local not-for-profits in danger of losing tax-exempt status

More than 100 not-for-profit organizations in Cape Girardeau, Perry and Scott counties are at risk of having their tax exempt status revoked by the Internal Revenue Service.

Starting in 2007, a regulation went into effect requiring small not-for-profit organizations to start filing annual returns with the IRS, said agency spokesman Michael Devine. The organizations on the list released this week by the IRS have not filed necessary forms for 2007, 2008 and 2009.

If an organization loses its exemption, its income may be taxable.

The organizations listed must file 990N forms with the IRS by Oct. 15 to avoid having their status revoked.

The list for Cape Girardeau, Perry and Scott counties includes a number of fraternities and sororities at Southeast Missouri State University; several community music and theater groups; and local medical, cemetery, school and veterans associations.

Devine said some of the organizations listed may no longer be operating but have not filed paperwork necessary to notify the IRS of the termination of their organization.

"It's also possible that some of these organizations are part of a larger umbrella organization and may think they are part of a bigger return," Devine said.

To get back into compliance and preserve their tax-exempt status, organizations must complete an online form asking for eight pieces of basic information, he said.

For more information and to view the complete list of organizations at risk, visit www.irs.gov/charities/.

mmiller@semissourian.com

388-3646