Will private schools lose their tax-exempt status for racial-preference policies? Under Treasury and IRS proposed regulations issued September 3, 2026, a private school that discriminates on the basis of race, color, or national or ethnic origin would not qualify for §501(c)(3) recognition. This post explains what changes to private school tax exempt status, when, and…
Do foreign FIFA teams have to file Form 990 for the 2026 World Cup? In most cases, no. New FIFA World Cup 990 relief under IRS Rev. Proc. 2026-28 waives Form 990 for eligible foreign member associations, but only for tax years in which their U.S.-source income is tied to competing in the tournament. The…
What did the OBBBA actually change for my nonprofit? Quite a lot. The OBBBA nonprofit tax rules created a new charitable deduction for non-itemizers, added floors that shrink deductions for high-income and corporate donors, expanded the §4960 excise on high pay, and set a tiered endowment tax for large private colleges. The One Big Beautiful…
Can a nonprofit still claim the direct-pay clean energy credits if it needs more time to file? Yes — but only if it files Form 8868 for a 990 T elective payment extension by the original due date. Miss the deadline and the election is lost for tax year 2025. Since the enactment of the…
How do central organizations report their subordinates to the IRS in 2026? With new IRS Form 15644. Under Revenue Procedure 2026-8, every central organization that holds a group exemption letter must file Form 15644 each year, at least 30 but not more than 90 days before the close of its annual accounting period. If your…
How did OBBBA expand the §4960 excise tax on nonprofit executive compensation? Internal Revenue Code §4960 imposes a 21% excise tax on a tax-exempt organization’s “excess remuneration” — compensation over $1 million paid to a covered employee — plus certain excess parachute (separation) payments. Under the One, Big, Beautiful Bill Act, beginning with tax years…
