Rev. Proc. 2022-8: Electronic submission required for Form 1024

Beginning January 3, 2022, applications for recognition of exemption on Form 1024 must be submitted electronically (online).

Electronic submission required for Form 1024

The IRS today issued an advance version of Rev. Proc. 2022-8 regarding a new electronic submission process for submitting Form 1024, Application for Recognition of Exemption Under Section 501(a) or Section 521 of the Internal Revenue Code.

Read Rev. Proc. 2022-8 [PDF 177 KB]. The IRS in December 2021 expressed its intention to require Form 1024 to be submitted electronically. Read TaxNewsFlash

In a related release—IR-2022-2 (January 3, 2022)—the IRS announced that beginning January 3, 2022, applications for recognition of exemption on Form 1024 must be submitted electronically (online).

  • The IRS will provide a 90-day grace period during which it will continue to accept paper versions of Form 1024 (Rev. 01-2018) and letter applications that will be processed by the IRS’s EO Determination Office.
  • The rules for individuals or representatives authorized to sign the Form 1024 are modified. In the case of a request for a determination letter made by filing Form 1024, an officer, a director, a trustee or other official who is authorized to sign for the organization must sign the application. The signature of a representative authorized by a power of attorney but who is not an officer, director, trustee or other official of the organization will not satisfy the signature requirement for Form 1024.
  • Applications for recognition of exemption under sections 501(c)(11), (14), (16), (18), (21), (22), (23), (26), (27), (28), (29) and 501(d) can no longer be submitted as letter applications. Instead, these requests must be made with an electronically submitted Form 1024.
  • Organizations that are described in section 501(c) (other than under section 501(c)(3) and (c)(4)) and in section 501(d) applying for tax-exempt status must now use the electronic Form 1024.
  • Section 501(c)(3) organizations must continue to use Form 1023 or Form 1023-EZ, and section 501(c)(4) organizations must continue to use Form 1024-A. These forms also must be filed electronically.
  • Organizations requesting determinations under section 521 also will be able to use the electronic Form 1024 instead of Form 1028, Application for Recognition of Exemption Under Section 521 of the Internal Revenue Code.

No change to user fee

The required user fee for Form 1024 will remain $600 for 2022.

Applicants must pay the fee when submitting the form. Payment can be made directly from a bank account or by credit or debit card.

Procedures for requesting expedited handling

Rev. Proc. 2022-8 explains that except for a request on the electronically submitted Form 1023, Form 1024, or Form 1024-A, a request for expedited handling must be made in writing, “preferably in a separate letter sent with, or soon after filing” the request for the determination letter. If the request is not made in a separate letter, then the letter in which the determination letter request is made needs to state, at the top of the first page: "Expedited Handling Is Requested. See page ___ of this letter."
 

For more information, contact a tax professional with KPMG’s Washington National Tax practice:

Ruth Madrigal | +1 202 533 8817 | ruthmadrigal@kpmg.com

Preston Quesenberry | +1 202 533 3985 | pquesenberry@kpmg.com

 

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