WHAT IS IRS FORM 8868?

Application for Extension of Time to File an Exempt Organization Return.

Form 8868 is used by an exempt organization to request an automatic 6-month extension of time to file its return and also to apply for an additional (not automatic) 3-month extension if the original 6-month extension was not enough.

You cannot apply for both the automatic 6-month extension and the additional (not automatic) 3-month extension at the same time. Use Form 8868 to apply for an automatic 6-month extension of time to file an organization’s return, and submit the original form to the IRS (no copies are needed) or for applying for an additional (not automatic) 3-month extension.

Automatic 6-month extension

The automatic 6-month extension will be granted if this form is properly completed, filed, and any balance due on line 3c is paid by the due date for the return for which the extension applies.

File Form 8868 by the due date of the return for the form you are requesting an extension, or, in the case of an additional 3-month extension, by the extended due date of the return. When requesting an additional extension of time to file, file Form 8868 early so that if your request is denied you can still file your return on time.

An organization will only be allowed a total extension of 6 months for a return for a tax year. Automatic 6- month can be electronically filed. However, you cannot file Form 8868 electronically if you want the additional (not automatic) 3-month extension or you are filing extension request for Forms 990-BL, 6069, or 8870, group returns, or a composite or consolidated Form 990-T.

If an organization has not filed the required Form 990 series for three consecutive years, and if the due date (or extended due date) of the third year's filing has passed, the tax-exempt status will be revoked to the original filing date. If you have received an approved extension from the IRS for filing your return, and have not filed your return with the IRS for 3 years (including during the approved extension period), please go to Automatic Revocation of Exemption at www.irs.gov/charities-nonprofits/automatic- revocation-of exemption for details on revocation and reinstatement for an exempt organization.

Electronic Filing for Form 8868

Electronic filing provides fast acknowledgement that the IRS has received the return and reduces normal processing time, making compliance with reporting and disclosure requirements easier. Charities and non-profits can file the following forms electronically through http://ExtensionTax.com an IRS Authorized e-File Provider at just $9.99.

File a separate Form 8868 for each return for which you are requesting an automatic extension of time to file. This extension will apply only to the specific return marked. It does not extend the time for filing any related returns.

Interest

Interest will be charged on any tax not paid by the regular due date of the return from the regular due date until the tax is paid. It will be charged even if the organization has been granted an extension or has shown reasonable cause for not paying on time.

Generally, a penalty of ½ of 1% of any tax not paid by the due date is charged for each month or part of a month that the tax remains unpaid. The penalty cannot exceed 25% of the amount due. The penalty will not be charged if you can show reasonable cause for not paying on time.

Automatic 6-month extension time to file or additional 3- month (not automatic) extension for the following forms can be requested by filing form 8868

Form 990 or Form 990-EZ Form 990-T (Corporation)
Form 990-BL Form 1041-A
Form 4720 (Inidividual) Form 990-T (trust other than Individual)
Form 990-PF Form 5227
Form 990-T (sec. 401(a) or 408(a) trust) Form 6069
Form 990-T (trust other than above) Form 8870

Click here for the due dates of above tax returns