Is your nonprofit organization operating on a calendar tax year? If yes, then you have a Form 990 deadline coming up on May 15, 2023! With just a week left, it’s important that you file your 990 form on time to avoid needless penalties from the IRS.
Now, if your organization is operating in California, you may have another tax return to file on or before the same deadline, the California Form 199.
California Form 199 – Who Must File?
CA Form 199 is an annual information return that must be filed by organizations that obtained tax-exempt status from the California FTB (Franchise Tax Board). This includes,
- Organizations with gross receipts of more than $50,000
- Private foundations (regardless of gross receipts)
- IRC Section 4947(a)(1) Nonexempt charitable trusts.
Just like the IRS uses the information reported on Form 990 to ensure that the organization isn’t abusing its tax-exempt status, the state of California uses Form 199 to ensure the same.
Note: Organizations with gross receipts less than $50,000 may be required to file FTB 199N. Visit https://www.ftb.ca.gov/forms/index.html.
Information Required to Complete Form 199
In order to complete your CA Form 199, you will need to have the following information available,
- Organization’s basic information – Name, FEIN, Address, California Corporation Number, etc.
- The exempt status of the organization and type of return
- Receipts and revenues of the organization
- Expenses and Disbursements of the organization
- Total tax balance due, if any
Based on the data you enter, you may be required to attach Schedules M-1 and L for reporting additional information.
Deadline to File Form 199
The deadline for filing CA Form 199 is the same as the 990 deadline, the 15th day of the 5th month after the accounting period ends.
So as mentioned earlier, if your organization follows a calendar tax year, your CA199 deadline is May 15, 2023, just a few days away!
Penalties Associated with CA Form 199
If your organization fails to file CA Form 199 on or before the due date, the FTB may impose a penalty of $5/month or part of the month, the return is late. The maximum penalty amount is $40.
Extension for filing CA Form 199
If you need more time to file your CA Form 199, the FTB will automatically grant an additional 6 months of time without having to furnish any written request.
However, this automatic extension will be granted only if your organization is in good standing with the FTB.
CA Form 199 Filing Made Easy and Secure!
With time running out, Tax 990 to help you meet your May 15th deadline successfully!
We are an FTB-approved e-file provider that allows you to complete and e-file your Form 199 with ease.
If you have an already approved 990 form filed with us, you can copy certain data directly onto your CA Form 199. If your Form 990 is pending approval, you can upload it directly to your Tax 990 account.
Our system automatically includes Schedule M-1 and L for free, based on the information you enter on your CA Form 199.
Have questions? Reach out to our support team via live chat, phone, and email for assistance throughout the filing process.
