Filling out IRS form 8718 for tax exemption?

Question

What if I check the less than $10K per year and py $300 and I receive more than $10k? Is there a fine? What is the penalty if I check the under $10K.. but then unknowingly planned - receive larger donations in excess of $10k?

3 years ago - 2 answers

Best Answer

Chosen by Asker

It is a matter of degree. If, for instance receipts were: Year 1 $9,000 Year 2 $9,500 Year 3 $10,500 Year 4 $12,000 You might get away with it. If, however, it is clear that receipts were always going to average over $10,000 you can expect to be audited at some point. That, especially for a non-profit, can be more problematic than paying the additional fee and penalty. Frankly, anyone filling out this form should have a CPA in public practice. I strongly advise contacting your professional adviser.

by skip

3 years ago

Asker's Rating:

Search Yahoo! Answers