Form 990-T and 990
Form 990-T Overview
is the Exempt Organization Business Income Tax Return filed with the Internal Revenue Service (IRS) to report and pay income tax on certain activities conducted by tax-exempt entities, including public universities. Although educational institutions are generally exempt from federal income tax under Section 501(c)(3) of the Internal Revenue Code, they may still be liable for Unrelated Business Income Tax (UBIT) if they engage in specific revenue-generating activities that are not substantially related to their educational mission.
Why is Form 990-T Required?
The IRS requires all tax-exempt organizations, including public universities, to file Form 990-T if they generate gross income of $1,000 or more from an unrelated trade or business during the tax year. Filing this form ensures compliance with federal tax law and helps maintain the institution’s tax-exempt status.
Filing Requirements and Deadlines
- Who files: The Office of Tax and Compliance is responsible for coordinating and filing of Form 990-T.
- When to file: The return is generally due on the 15th day of the 5th month after the end of the university's fiscal year (e.g., November 15 for a fiscal year ending June 30). An automatic six months extension can be requested using the form 8868.
- Electronic filing: The IRS requires that Form 990-T be filed electronically.
Estimated Payments
If the university expects to owe tax of $500 or more, it must make quarterly estimated tax payments using IRS Form 990-W. Failure to make timely estimated payments may result in interest and penalties.
Why It Matters to File 990-T Form
Filing Form 990-T is not just a compliance obligation, it’s a key component of financial transparency and stewardship of public trust. Failure to file or incorrectly reporting unrelated business income can lead to IRS audits, penalties, or even jeopardize the university’s tax-exempt status.
Form 990 Overview
, Return of Organization Exempt From Income Tax, is an annual information return required to be filed with the Internal Revenue Service (IRS) by tax-exempt organizations under Section 501(c)(3) of the Internal Revenue Code. Unlike typical tax returns, Form 990 is primarily a disclosure document, providing transparency about the organization’s mission, governance, programs, and financial activities.
The IRS uses the Form 990 to:
- Ensure continued compliance with tax-exempt requirements
- Promote transparency and accountability to the public
- Assess financial health and governance practices
- Provide data for policymakers and researchers
The Form 990 is publicly available, meaning 黑料社区s, faculty, donors, and the general public can access it to better understand how a tax exempt entity allocates its resources and pursues its mission.
Who Must File
Public Universities, as governmental entities, are typically not required to file Form 990 for their core operations. 黑料社区 fits this exemption so we do not file the form 990. The exemption applies because the University is already subject to public accountability through other means, such as state oversight and financial audits.
However, certain affiliated or supporting organizations, such as are required to file Form 990 annually if they meet IRS filing thresholds.
Contents of Form 990
Form 990 includes detailed information such as:
- Organizational structure and governing body
- Program accomplishments and mission-related activities
- Revenues (tuition, donations, grants, etc.) and expenses
- Executive compensation
- Grants and other assistance
- Financial statements and balance sheet data
Filing Requirements and Deadlines
- Deadline: The form is due by the 15th day of the 5th month after the close of the organization’s fiscal year (e.g., November 15 for a fiscal year ending June 30).
- Electronic filing: All Form 990s must be filed electronically with the IRS.
- Extensions: Organizations may request a 6-month extension using Form 8868.
Importance of Accuracy and Transparency
The Form 990 is a public document, and its content can influence donors trust, media coverage, and public perception. Ensuring the return is complete and accurate reflects the University’s commitment to good governance, accountability, and ethical stewardship of resources.