Kappa Psi Southwest Province

© 2012-2019

Kappa Psi Pharmaceutical Fraternity, Inc. Instructions for Chapters to File Taxes 

 

Chapter with Gross Receipts Totaling <$50,000 Annually

  • An IRS Form 990-N e-postcard must be filled annually even if you brought in $0.00

  • This form may only be submitted electronically. No paper form is available.

  • Chapters may choose to complete Form 990 or Form 990-EZ instead of the e-postcard

  • Each Province should follow the same directions for chapters to file taxes using their own Employer Identification Number (EIN)

 

  • Form 990-N is due by the 15th day of the 5th month after the close of the Chapter’s tax year

    • Most tax years close on a calendar year unless otherwise stated in an organization’s by- laws. If unsure, you can call the IRS to verify your tax year

    • If your tax year ends on December 31 – Taxes are due May 15th annually

 

  • There is no penalty for late filing but if taxes are not filed for three consecutive years then the Chapter will automatically lose tax-exempt status

    • Revocation of the Chapter’s tax-exempt status will happen on the filing due date of the third consecutively missed year.

    • Watch this IRS YouTube presentation for more information

 

 

To file Form 990-N e-postcard

 

  • First time users must register and create a User ID and Profile o To Create a User ID

    • Step 4: The User ID has been created, note no actions are required for this step

    • Step 3: Create a User ID, Password, Unique Phrase, Site Phrase, Site Image and four challenge questions.

      • Don’t forget to record the choices in the Chapter records for future use

    • Step 2: Enter the confirmation code sent to the entered email address

    • Step 1: Complete Name and E-mail address fields

      • ‚ÄčBest to use the chapter email @kappapsi.org

    • Select ‘Get Started’ under First Time Users

 

  • First Time Filing - Create the e-Postcard Profile and File the e-Postcard

    • Select ‘Manage E-Postcard Profile’ under e-Postcard Profile

    • Select ‘Exempt Organization’

    • Add the Chapter Employer Identification Number (EIN)

    • Select ‘Create New Filing’

    • From the drop down menu, select the Chapter EIN

    • Enter the date for the end of the Tax Year and the Organization Name

      • If an e-Postcard has ever been previously submitted, the fields ‘For Tax Year Ending’ and ‘Organization Name’ are already entered based on previous returns

    • Answer No to the question ‘Has your organization terminated or gone out of business’

    • Answer Yes or No to the question ‘Are your gross receipts normally $50,000 or less’

      • If you answer No, then Form 990 or Form 990-EZ must be completed NOT the Form 990-N e-postcard

    • Complete the information for Organization Name and Principal Officer

      • Recommended to use the school address for collegiate chapters

      • Enter any additional information in the DBA Name field (Doing Business As)

        • Enter the Chapter Name if not already part of the legal name

      • Enter the Chapter web-site address if applicable

    • Entered information may be Saved or Submitted

    • Print a copy of the on-screen confirmation that the e-Postcard was submitted

    • The filing may be confirmed by selecting ‘Manage Form 990-N Submissions’ on the initial page

      • Under Submission Status the updated filing status may be noted

 

  • Filing the e-Postcard for Returning Users

    • Enter User ID

    • Verify the site image and site phrase are accurate and enter password

    • Review recent login activity, select ‘Continue’

    • Select ‘Manage E-Postcard Profile’ under e-Postcard Profile

    • Select ‘Create New Filing’

    • From the drop down menu, select the Chapter EIN

    • Verify the ‘For Tax Year Ending’ and ‘Organization Name’ fields are accurate

    • Answer No to the question ‘Has your organization terminated or gone out of business’

    • Answer Yes or No to the question ‘Are your gross receipts normally $50,000 or less’

      • If you answer No, then Form 990 or Form 990-EZ must be completed NOT the Form 990-N e-postcard

    • Complete the information for Organization Name and Principal Officer

      • Enter any additional information in the DBA Name field (Doing Business As)

        • Enter the Chapter Name if not already part of the legal name " Enter Chapter web-site address if applicable

    • Entered information may be Saved or Submitted

    • Print a copy of the on-screen confirmation that the e-Postcard was submitted

    • The filing may be confirmed by selecting ‘Manage Form 990-N Submissions’ on the initial page

      • Under Submission Status the updated filing status may be noted 

 

  • Items needed to complete the e-postcard

    • Employer identification number (EIN)

      • Contact the Central Office or Grand Counselor if you do not know the Chapter’s EIN

      • Each Chapter must have an EIN.

        • Do NOT use the Tax ID # for Kappa Psi nationally

      • If the chapter does not have an EIN see below for information on obtaining one

    • Tax year

      • Calendar tax year – January 1 to December 31

      • Fiscal tax year – 12 consecutive months ending on the last day of any month except December

      • The Chapter’s tax year may be found in the following documents

        • Chapter local ordinances

        • Chapter’s application for federal tax-exempt status

        • A copy of a prior year return filed with the IRS

    • Legal name and mailing address

      • Recommend using the Grand Council Deputy (GCD) name and school address (for collegiate chapters)

      • Legal names as it appears on Certification of Incorporation (Charter) or on the organization’s application for federal tax exempt status

      • Please use Kappa Psi Pharmaceutical Fraternity (Chapter Name)

    • Any other names the organization uses

      • DBA Name = Doing Business As Name

      • If the Chapter Name was not used as part of the Legal Name on previous returns add it here 

    • Name and address of a principal officer

    • Recommend to use the GCD name and school address for Collegiate Chapters o Web site address if the organization has one

      • Only use a Chapter web-site NOT the International web-site

    • Confirmation that the organization’s annual gross receipts are $50,000 or less

 

 

Chapter with Gross Receipts Totaling >$50,000 Annually

  • The Chapter is not eligible to use the IRS Form 990-N e-postcard

  • Form 990-N or 990-EZ must be filed

  • It may be best to consult an accountant when gross receipts exceed $50,000 

 

Apply for an Employer Identification Number (EIN) Online

  • Apply for an Employer ID Number (EIN)

  • Step 1: Click “Begin Application”

  • Step 2: Check “View Additional Types Including Tax-Exempt and Gov’t Org” and click Continue

  • Step 3: Check “Other Non-Profit/Tax-Exempt Organizations” and click Continue

  • Step 4: To confirm selection please click Continue

  • Step 5: Check “Banking Purposes” and click “Continue”

  • Step 6: Check “Individual” and click “Continue”

  • Step 7: Enter pertinent individual name, check “Authorized Member or Officer”, and click “Continue”

  • Step 8: Enter mailing address and individual name to receive mail and click “Continue”

  • Step 9: Under legal name state Kappa Psi and Chapter name for example: “Kappa Psi Pharmaceutical Fraternity Idaho Graduate Chapter”, fill in the rest of the information, and click “Continue”. If this is not done, then the name may already be in the system and will be denied.

  • Step 10: Check the appropriate responses (usually No) and click “Continue”

  • Step 11: For what does the business or org do, check “Other” and click “Continue”

  • Step 12: Check “Organization” and click “Continue”

  • Step 13: When asked to define Other, check “Other” and state “Fraternal society” then click “Continue”

  • Step 14: Check receive confirmation online and click “Continue” (needs Adobe)

  • Step 15: In a few minutes the EIN should pop up. Please make sure you open the document and print this out IMMEDIATELY to avoid losing it and save for your records. Click “Continue”.

  • Step 16: Click “Continue” and it should be completed 

 

Search for the Chapter’s E-Postcard to Verify it was Filed

  • http://www.irs.gov/app/ePostcard/

    • Click “Exempt Organizations Select Check Tool”

    • Select “Have filed Form 990-N (e-Postcard)

    • Enter the Chapter EIN and click search

    • Look for a filing under the current tax year 

 

Search for the Chapter’s Full 990 or 990EZ to Verify it was Filed 

  • http://www.guidestar.org

  • Enter the Chapter EIN into the search field

  • Click on Organization Name which will show details of the organization or click “Preview Report”

    • The years in which 990 Forms were completed will be listed in the Preview

    • To view the forms directly, an account must be created 

 

Obtain Tax-Exempt Status

  • Contact the Grand Counselor (grandcounselor@kappapsi.org) to write a group exemption letter

    • Provide SS-4 form (or Chapter EIN and Address) along with principle officer listed with IRS on original application form

    • Chapter must mail this in to the IRS

    • Takes about 6-8 weeks for them to process 

 

Reinstate Tax-Exempt Status