For which tax year are you speaking?
The corporation is the US Naval Sea Cadet Corps Eisenhower (CVN-69) Division, inc. It was incorportated in 2008 as a NJ non profit. It is a youth development group. We had intended to file a 501c3e but only received approx $6500 over the year of 2008.
Would you be able to tell me what forms I need to file? Thank you
Prior to 2008, non-profits with less than 25,000 had no requirement to file.
Now, as of 2008, in order to maintain your 501(c) and tax exempt status you need file an electronic notice.
Use the following link to file your federal tax return: http://www.irs.gov/charities/article/0,,id=169250,00.html
This takes care of Federal.
Now for NJ.
Did you have your Sales Tax Exempt Certificate?
Do you have sales tax to report?
No, we had no sales tax to report as being exempt of because we did not have our 501c filed. We paid sales taxes as is reflected by all our receipts. Do we have to file the same forms even though we never had our 501c?
Tim, OK so help me out here.
The way you stared was that you incorporated a non-profit.
You can form a non-profit organization, as a 501(c) 3 etc without getting tax exemption. TAx exemption is not automatic, except in the case of certain religious organizations.
You have to file for exemption status with the FED. NJ will not recognize you as a non-profit unless you have the tax exempt certificate from the IRS.
It is not to late to file for the tax exempt status.
Without it, you will be taxed as a corporation at Fed and state level;and you have to file a sales tax return for NJ for any sales of services and products if any.
After my explanation, please confirm that:
1. You formed a non-profit organization under 501(c),
2. Did you file form 1023 with the IRS: http://www.irs.gov/pub/irs-pdf/f1023.pdf
No sir, I did not file the 1023 though I did incorporate under non profit status.
I understand we may be taxed if we did not file these papers. We received approx 6500. to operate. should I file regular forms? should I try to file the non profit? The corp is no longer functioning or operating.
If you are no longer operating then you will not be able to get the tax exempt certification.
In this case you need to file as a for profit corporation.
Do not forget to file the NJ corporate AND sales tax return, even if you had no sales or services on which to charge sales tax.
ALSO if you are no longer operating, do not forget to close your business with the state.
The state will consider you still functioning, and they assess sales tax on estimated receipts.
Hence you need to file a sales tax return even if a zero return and you have to file the final year return and close the business.
Federal closing guidance: http://www.irs.gov/businesses/small/article/0,,id=98761,00.html
State guidance: http://www.nj.gov/njbusiness/registration/filing/disolve.shtml
You may need this: http://www.state.nj.us/treasury/revenue/dcr/pdforms/c159a.pdf
Since you never redceived your tax exempt status, I would do this as a corporation.