EO Update March 3, 2010
Issue Number: 2010-6
Inside This Issue
- Providing Relief to Chile Through a Charitable Organization
- IRS to Honor Medical Resident FICA Refund Claims
- Treasury Department FBAR Materials Issued
- Redesigned, Enhanced StayExempt Micro-Site
- Conference on Nonprofit Governance
- New Small and Mid-Sized 501(c)(3) Workshop Locations Added
- IRS Releases Winter 2010 Statistics of Income Bulletin
1. Providing Relief to Chile Through a Charitable Organization
Many individuals, businesses and charitable organizations wish to provide assistance to the victims of Chile's recent earthquake. Consult Disaster Relief Resources for Charities and Donors on IRS.gov to get information about how to provide assistance to victims through a charitable organization.
Contributions to domestic tax-exempt, charitable organizations that provide assistance to individuals in foreign lands qualify as tax-deductible contributions for federal income tax purposes, provided that the U.S. organization has control and discretion over the use of funds. Donors should ensure that they make contributions to qualified charities. Use the Search for Charities function on IRS.gov to see if the charity you intend to support is a qualified charity listed in Pub. 78. Certain organizations, such as churches or governmental organizations, may be qualified to accept charitable contributions, even though they are not listed in Pub.78.
2. IRS to Honor Medical Resident FICA Refund Claims
The IRS announced that it has made an administrative determination to accept the position that medical residents are excepted from FICA taxes based on the student exception, for periods ending before April 1, 2005, when new IRS regulations went in effect. For more information, visit IRS.gov.
3. Treasury Department FBAR Materials Issued
Some tax-exempt organizations organized in the United States (including the District of Columbia, territories and possessions) that maintain foreign accounts or have signature authority over such accounts, are required to file the Report of Foreign Bank Accounts (FBAR). On February 26, 2010, the Treasury Department issued a Notice of Proposed Rulemaking (NPRM) proposing to amend the Bank Secrecy Act implementing regulations regarding the FBAR. The Treasury Department also issued draft instructions to the FBAR, which accompanied the NPRM.
Comments concerning the NPRM and draft instructions are due to the Financial Crimes Enforcement Network (FinCEN) by April 27, 2010.
In addition, the IRS published two pieces of FBAR-related guidance that are immediately applicable. Find these materials relating to the FBAR filing requirements on IRS.gov.
4. Redesigned, Enhanced StayExempt Micro-Site
Visit our redesigned and expanded StayExempt micro-site. New features include links to News and Information and Quick Links to items of interest. The popular virtual workshop covers the basics that exempt organization managers need to know and mini-courses address many additional exempt organizations tax topics. Whether you want to apply for exempt status, deduct charitable contributions or complete your annual information, you can find a course to help you on StayExempt.
5. Conference on Nonprofit Governance
The IRS, Georgetown Law School and Independent Sector are co-sponsoring a conference on Top Issues in Nonprofit Governance on April 21, 2010. Go to our Calendar of Events for more information.
6. New Small and Mid-Sized 501(c)(3) Workshop Locations Added
Are you an exempt organization administrator, active volunteer or a student considering a career in the nonprofit sector? This spring, for the first time, the IRS will offer its popular workshop for Small and Mid-Sized Organizations in cooperation with two academic institutions, Seton Hall University (South Orange, NJ- March 11), and West Virginia University (Morgantown, WV-April 16).
Each one-day workshop, presented by experienced Exempt Organizations specialists, will explain what 501(c)(3) organizations must do to keep their tax-exempt status and comply with tax obligations.
Spring workshops also will be held in Sacramento, CA (March 16-18) Seattle, WA (May 11-13) and Washington, DC (May 25-27). Find more information on our Calendar of Events.
7. IRS Releases Winter Statistics of Income Bulletin
The Internal Revenue Service announced the release of the Winter 2010 issue of the Statistics of Income Bulletin. The issue features articles on unrelated business income tax and split-interest trusts.