§ 6033. Returns by exempt organizations
(a)
Organizations required to file
(1)
In general
Except as provided in paragraph (3), every organization exempt from taxation under section
501
(a) shall file an annual return, stating specifically the items of gross income, receipts, and disbursements, and such other information for the purpose of carrying out the internal revenue laws as the Secretary may by forms or regulations prescribe, and shall keep such records, render under oath such statements, make such other returns, and comply with such rules and regulations as the Secretary may from time to time prescribe; except that, in the discretion of the Secretary, any organization described in section
401
(a) may be relieved from stating in its return any information which is reported in returns filed by the employer which established such organization.
(2)
Being a party to certain reportable transactions
Every tax-exempt entity described in section
4965
(c) shall file (in such form and manner and at such time as determined by the Secretary) a disclosure of—
(3)
Exceptions from filing
(A)
Mandatory exceptions
Paragraph (1) shall not apply to—
(B)
Discretionary exceptions
The Secretary may relieve any organization required under paragraph (1) (other than an organization described in section
509
(a)(3)) to file an information return from filing such a return where he determines that such filing is not necessary to the efficient administration of the internal revenue laws.
(C)
Certain organizations
The organizations referred to in subparagraph (A)(ii) are—
(iii)
a charitable organization, or an organization for the prevention of cruelty to children or animals, described in section
501
(c)(3), if such organization is supported, in whole or in part, by funds contributed by the United States or any State or political subdivision thereof, or is primarily supported by contributions of the general public;
(b)
Certain organizations described in section
501
(c)(3)
Every organization described in section
501
(c)(3) which is subject to the requirements of subsection (a) shall furnish annually information, at such time and in such manner as the Secretary may by forms or regulations prescribe, setting forth—
(4)
a balance sheet showing its assets, liabilities, and net worth as of the beginning of such year,
(5)
the total of the contributions and gifts received by it during the year, and the names and addresses of all substantial contributors,
(6)
the names and addresses of its foundation managers (within the meaning of section
4946
(b)(1)) and highly compensated employees,
(7)
the compensation and other payments made during the year to each individual described in paragraph (6),
(8)
in the case of an organization with respect to which an election under section
501
(h) is effective for the taxable year, the following amounts for such organization for such taxable year:
(9)
such other information with respect to direct or indirect transfers to, and other direct or indirect transactions and relationships with, other organizations described in section
501
(c) (other than paragraph (3) thereof) or section
527 as the Secretary may require to prevent—
(10)
the respective amounts (if any) of the taxes imposed on the organization, or any organization manager of the organization, during the taxable year under any of the following provisions (and the respective amounts (if any) of reimbursements paid by the organization during the taxable year with respect to taxes imposed on any such organization manager under any of such provisions):
(11)
the respective amounts (if any) of—
(A)
the taxes imposed with respect to the organization on any organization manager, or any disqualified person, during the taxable year under section
4958 (relating to taxes on private excess benefit from certain charitable organizations), and
(B)
reimbursements paid by the organization during the taxable year with respect to taxes imposed under such section,
except to the extent that, by reason of section
4962, the taxes imposed under such section are not required to be paid or are credited or refunded,
(12)
such information as the Secretary may require with respect to any excess benefit transaction (as defined in section
4958),
(14)
such information as the Secretary may require with respect to disaster relief activities, including the amount and use of qualified contributions to which section
1400S
(a) applies,
(15)
in the case of an organization to which the requirements of section
501
(r) apply for the taxable year—
(A)
a description of how the organization is addressing the needs identified in each community health needs assessment conducted under section
501
(r)(3) and a description of any such needs that are not being addressed together with the reasons why such needs are not being addressed, and
(B)
the audited financial statements of such organization (or, in the case of an organization the financial statements of which are included in a consolidated financial statement with other organizations, such consolidated financial statement).[1]
(c)
Additional provisions relating to private foundations
In the case of an organization which is a private foundation (within the meaning of section
509
(a))—
(1)
the Secretary shall by regulations provide that the private foundation shall include in its annual return under this section such information (not required to be furnished by subsection (b) or the forms or regulations prescribed thereunder) as would have been required to be furnished under section
6056 (relating to annual reports by private foundations) as such section
6056 was in effect on January 1, 1979, and
(2)
the foundation managers shall furnish copies of the annual return under this section to such State officials, at such times, and under such conditions, as the Secretary may by regulations prescribe.
Nothing in paragraph (1) shall require the inclusion of the name and address of any recipient (other than a disqualified person within the meaning of section
4946) of 1 or more charitable gifts or grants made by the foundation to such recipient as an indigent or needy person if the aggregate of such gifts or grants made by the foundation to such recipient during the year does not exceed $1,000.
(d)
Section to apply to nonexempt charitable trusts and nonexempt private foundations
The following organizations shall comply with the requirements of this section in the same manner as organizations described in section
501
(c)(3) which are exempt from tax under section
501
(a):
(e)
Special rules relating to lobbying activities
(1)
Reporting requirements
(A)
In general
If this subsection applies to an organization for any taxable year, such organization—
(i)
shall include on any return required to be filed under subsection (a) for such year information setting forth the total expenditures of the organization to which section
162
(e)(1) applies and the total amount of the dues or other similar amounts paid to the organization to which such expenditures are allocable, and
(ii)
except as provided in paragraphs (2)(A)(i) and (3), shall, at the time of assessment or payment of such dues or other similar amounts, provide notice to each person making such payment which contains a reasonable estimate of the portion of such dues or other similar amounts to which such expenditures are so allocable.
(B)
Organizations to which subsection applies
(i)
In general
This subsection shall apply to any organization which is exempt from taxation under section
501 other than an organization described in section
501
(c)(3).
(ii)
Special rule for in-house expenditures
This subsection shall not apply to the in-house expenditures (within the meaning of section 162(e)(5)(B)(ii)) of an organization for a taxable year if such expenditures do not exceed $2,000. In determining whether a taxpayer exceeds the $2,000 limit under this clause, there shall not be taken into account overhead costs otherwise allocable to activities described in subparagraphs (A) and (D) of section
162
(e)(1).
(C)
Allocation
For purposes of this paragraph—
(i)
In general
Expenditures to which section
162
(e)(1) applies shall be treated as paid out of dues or other similar amounts to the extent thereof.
(ii)
Carryover of lobbying expenditures in excess of dues
If expenditures to which section
162
(e)(1) applies exceed the dues or other similar amounts for any taxable year, such excess shall be treated as expenditures to which section
162
(e)(1) applies which are paid or incurred by the organization during the following taxable year.
(2)
Tax imposed where organization does not notify
(A)
In general
If an organization—
(ii)
fails to include in such notices the amount allocable to expenditures to which section
162
(e)(1) applies (determined on the basis of actual amounts rather than the reasonable estimates under paragraph (1)(A)(ii)),
then there is hereby imposed on such organization for such taxable year a tax in an amount equal to the product of the highest rate of tax imposed by section
11 for the taxable year and the aggregate amount not included in such notices by reason of such election or failure.
(g)
Returns required by political organizations
(1)
In general
This section shall apply to a political organization (as defined by section
527
(e)(1)) which has gross receipts of $25,000 or more for the taxable year. In the case of a political organization which is a qualified State or local political organization (as defined in section
527
(e)(5)), the preceding sentence shall be applied by substituting “$100,000” for “$25,000”.
(2)
Annual returns
Political organizations described in paragraph (1) shall file an annual return—
(A)
containing the information required, and complying with the other requirements, under subsection (a)(1) for organizations exempt from taxation under section
501
(a), with such modifications as the Secretary considers appropriate to require only information which is necessary for the purposes of carrying out section
527, and
(3)
Mandatory exceptions from filing
Paragraph (2) shall not apply to an organization—
(A)
which is a State or local committee of a political party, or political committee of a State or local candidate,
(C)
which is an authorized committee (as defined in section 301(6) of the Federal Election Campaign Act of 1971) of a candidate for Federal office,
(D)
which is a national committee (as defined in section 301(14) of the Federal Election Campaign Act of 1971) of a political party,
(E)
which is a United States House of Representatives or United States Senate campaign committee of a political party committee,
(F)
which is required to report under the Federal Election Campaign Act of 1971 as a political committee (as defined in section 301(4) of such Act), or
(G)
to which section
527 applies for the taxable year solely by reason of subsection (f)(1) of such section.
(h)
Controlling organizations
Each controlling organization (within the meaning of section
512
(b)(13)) which is subject to the requirements of subsection (a) shall include on the return required under subsection (a)—
(i)
Additional notification requirements
Any organization the gross receipts of which in any taxable year result in such organization being referred to in subsection (a)(3)(A)(ii) or (a)(3)(B)—
(j)
Loss of exempt status for failure to file return or notice
(1)
In general
If an organization described in subsection (a)(1) or (i) fails to file an annual return or notice required under either subsection for 3 consecutive years, such organization’s status as an organization exempt from tax under section
501
(a) shall be considered revoked on and after the date set by the Secretary for the filing of the third annual return or notice. The Secretary shall publish and maintain a list of any organization the status of which is so revoked.
(2)
Application necessary for reinstatement
Any organization the tax-exempt status of which is revoked under paragraph (1) must apply in order to obtain reinstatement of such status regardless of whether such organization was originally required to make such an application.
(3)
Retroactive reinstatement if reasonable cause shown for failure
If, upon application for reinstatement of status as an organization exempt from tax under section
501
(a), an organization described in paragraph (1) can show to the satisfaction of the Secretary evidence of reasonable cause for the failure described in such paragraph, the organization’s exempt status may, in the discretion of the Secretary, be reinstated effective from the date of the revocation under such paragraph.
(k)
Additional provisions relating to sponsoring organizations
Every organization described in section
4966
(d)(1) shall, on the return required under subsection (a) for the taxable year—
(l)
Additional provisions relating to supporting organizations
Every organization described in section
509
(a)(3) shall, on the return required under subsection (a)—
(1)
list the supported organizations (as defined in section
509
(f)(3)) with respect to which such organization provides support,
(m)
Additional information required from CO–OP insurers
An organization described in section
501
(c)(29) shall include on the return required under subsection (a) the following information:
(n)
Cross references
For provisions relating to statements, etc., regarding exempt status of organizations, see section
6001.
For reporting requirements as to certain liquidations, dissolutions, terminations, and contractions, see section
6043
(b). For provisions relating to penalties for failure to file a return required by this section, see section
6652
(c).
For provisions relating to information required in connection with certain plans of deferred compensation, see section
6058.
[1] So in original. The period probably should be “, and”.