From the NMMS eNewsletter January 2012
By Stephanie Redman
Except for religious organizations and private foundations, all charitable, tax exempt nonprofit organizations in New Mexico – including 501c3 MainStreet organizations – are required to do the following. The board of directors must ensure that these reporting requirements (and other aspects of legal operation) are being met. It may have staff prepare or complete the reporting process, but the ultimate responsibility for corporate registrations and reporting lies with the board of directors.
- Be registered as a fund-raising charity with the state attorney general’s office. This is a one-time registration process that is done online athttps://secure.nmag.gov/coros. The organization must be registered with the Attorney General before raising funds in the state, and registration must be completed within 30 days of filing an application for recognition as tax-exempt organization (Form 1023 or Form 1024) with the Internal Revenue Service.
- Submit an annual report to the Public Regulation Commission (PRC). This is a simple, one-page report that is due 5 months and 15 days after the end of the organization’s fiscal year. This report is a paper report and can be downloaded from the PRC website athttp://www.nmprc.state.nm.us/cf.htm . Scroll down the site to the section on “Corporate Report Forms.” Find the “Nonprofit Corporate Reports” section and click on the link to “Nonprofit Corporate Report”. Note: PRC also requires an update report when the corporation changes board members, location, officers, and/or registered agent. A small fee is required.
- Submit an annual “information return” called Form 990 to the federal Internal Revenue Service (IRS). This report is due 5 months and 15 days after the end of organization’s fiscal year. There are different versions of Form 990, and what you file depends on how much income the organization had in the fiscal year. Often the organization’s CPA will prepare that report for board/staff review and submission. 501c3 tax exempt organizations with less than $25,000 in gross annual income can file the simplest Form 990-N. Beginning with tax year 2010, 501c3 tax exempt organizations with gross income of less than $200,000 and total assets of less than $500,000 may file Form 990EZ. Organizations with gross income greater than $200,000 and total assets greater than $500,000 must file the “regular” form 990. All report forms can be downloaded from the IRS website here.
- Submit an annual report to the Attorney General’s office, including the Form 990 that you file with the IRS. This report is due 6 months after the end of the organization’s fiscal year. This annual reporting is done online at https://secure.nmag.gov/coros. If the corporation has revised its bylaws during the reporting year, a copy of the bylaws must also be submitted with the annual report to the Attorney General.
Important Contact Numbers
New Mexico Public Regulation Commission: 1-800-947-4722 or (505) 827-4508
N.M. Attorney General’s Office: (505) 222-9046 or Charity.Registrar@nmag.gov
Internal Revenue Service, Exempt Organizations Help Line: 1-877-829-5500
Note: This document is for informational purposes only and does not represent legal or financial advice from the State of New Mexico. Local organizations affiliated with New Mexico MainStreet are encouraged to contact an attorney and/or accountant experienced in working with nonprofit tax exempt organizations to obtain specific advice about their individual circumstances.