Form 990 Filing Software: Simplify Nonprofit Tax Compliance

Filing IRS Form 990 is required for most nonprofits. Form 990 filing software streamlines the process, reduces errors, and helps you stay compliant. In this guide, we'll explain what Form 990 is, who needs to file, and how software can help.

What Is Form 990?

Form 990 is an annual information return that most tax-exempt organizations must file with the IRS. It provides information about your organization's mission, programs, finances, and governance. The IRS and the public use Form 990 to evaluate nonprofit accountability and transparency.

Who Needs to File Form 990?

Most 501(c)(3) organizations must file one of the following:

• Form 990-N (e-Postcard): For organizations with gross receipts ≤ $50,000
• Form 990-EZ: For organizations with gross receipts < $200,000 and assets < $500,000
• Form 990: For larger organizations

Churches and certain religious organizations are generally exempt from filing.

What's on Form 990?

Form 990 includes sections on:

• Mission and programs: Description of your activities and accomplishments
• Governance: Board composition, policies, and procedures
• Compensation: Executive and key employee pay
• Financial statements: Revenue, expenses, assets, and liabilities
• Fundraising: Fundraising activities and expenses
• Compliance: Conflicts of interest, document retention, and more

Why Form 990 Matters

1. Legal Requirement

Failure to file can result in penalties and, after three years, automatic revocation of tax-exempt status.

2. Public Transparency

Form 990 is a public document. Donors, grantors, and watchdog organizations use it to evaluate your nonprofit.

3. Board Accountability

Your board should review Form 990 before filing. It's a key governance responsibility.

Key Features of Form 990 Filing Software

1. Automated Form Preparation

Pull data from your accounting system to pre-populate Form 990. Reduce manual entry and errors.

2. Error Checking and Validation

Built-in checks catch common mistakes before you file. Avoid IRS rejections and penalties.

3. Secure E-Filing

File electronically with the IRS for faster processing and confirmation.

4. Integration with Accounting

Sync financial data from your accounting software. Ensure consistency between your books and your 990.

5. Document Storage

Store completed returns and supporting documents securely for future reference and audits.

Common Form 990 Challenges and Solutions

Challenge	Solution
Manual data entry	Automated import from accounting
Errors and rejections	Built-in validation and error checking
Missed deadlines	Automated reminders and e-filing
Board review	Easy sharing and approval workflows
Document retention	Secure cloud storage

Form 990 Filing Tips

• Start early: Don't wait until the deadline to gather information.
• Reconcile financials: Ensure your books are closed and accurate before preparing the 990.
• Review with your board: The board should review and approve the return before filing.
• File electronically: E-filing is faster and provides confirmation of receipt.
• Keep records: Store copies of filed returns and supporting documents.

Alignmint: Tax Compliance Made Easy

Alignmint's Form 990 tools help nonprofits file accurately and on time, every year. Automate preparation, catch errors, and e-file with confidence.

Ready to simplify your 990 filing? Join our waitlist