Some local nonprofits could lose tax status

SIKESTON -- Some small local nonprofit organizations may be at risk of losing their tax-exempt status.

The IRS is working to get the word out to the organizations that they have failed to file required returns for 2007, 2008 and 2009. However, a one-time relief program offered by the IRS will let the groups preserve their status if they file returns by Oct. 15.

Michael Devine IRS media relations for Missouri and Kansas explained that in 2006, Congress passed legislation mandating all tax-exempt organizations had to file an annual report starting in 2007. At that time, the IRS sent more than a million letters alerting groups of the filing requirement, he said.

The initial deadline for filing or face losing the tax-exempt status was in May. However, the IRS extended the deadline and began efforts to publicize the need to file forms.

According to Devine some of those on the list may have just inadvertently overlooked the process.

"They could be part of larger organization and think the umbrella organization is filing for them," Devine said. "So we are going this extra step, so we can prevent these small exempt organizations from losing status simply because didn't fill out simple form."

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