IRS Removes Donor Disclosure Requirement on Information Returns for Many Tax-Exempt Organizations

By Harold Spector, CPA, Tax Manager

Tax-exempt organizations — other than charitable organizations exempt under Code Sec. 501(c)(3) and political organizations exempt under Code Sec. 527 — will soon be able to stop reporting the names and addresses of contributors on Schedule B when filing their information returns for tax years ending on or after December 31, 2018.

Under existing rules, tax-exempt organizations that file Form 990, 990-EZ, 990-PF, and 990-BL and that receive contributions are required to prepare Schedule B, Schedule of Contributors, and list the names, addresses, and amount of contributions received by the organization during its tax year. Rev. Proc. 2018-38 modifies the existing rules by no longer requiring tax-exempt organizations, other than those described in Code Sec. 501(c)(3) or 527, to provide names and addresses of contributors on  Forms 990 or 990-EZ Schedule B.

Organizations that are relieved from the requirement to report contributors’ names and addresses on Schedule B must continue to collect and record the donor information and have it available to the IRS upon request.

Contact Us

If you have questions regarding how these rules will apply to your organization, contact either of the below or another member of your not-for-profit or tax-exempt client service team at PKF O’Connor Davies.

Garrett M. Higgins, CPA
Partner-in-Charge, Exempt Organization Tax and Advisory Services
ghiggins@pkfod.com  

Harold Spector, CPA,
Tax Manager, Exempt Organization Tax and Advisory Services
hspector@pkfod.com