The revenue procedure temporarily waives the requirement to make an elective payment election on an electronically filed Form 990-T.
The IRS today released Rev. Proc. 2024-39 that grants certain applicable entities that are making an elective payment election an extension of time to file Form 990-T, Exempt Organization Business Income Tax Return.
According to today’s IRS release—IR-2024-267 (October 11, 2024)—applicable entities now have a six-month automatic extension to file an original or superseding Form 990-T, along with the necessary schedules and forms, for making an elective payment election.
This extension benefits entities that missed the timely filing of Form 8868, Application for Extension of Time to File an Exempt Organization Return. These entities will now have an additional six months from the original return due date to file Form 990-T for the elective payment election.
The IRS has also outlined procedures for entities that receive notices indicating their election was ineffective due to late filing. These entities can still benefit from the automatic extension provided they file within the newly extended timeframe.
Additionally, the revenue procedure temporarily waives the requirement to make an elective payment election on an electronically filed Form 990-T. Entities that are otherwise mandated to file electronically can now submit a paper Form 990-T for the elective payment election, provided they adhere to specific procedural requirements.
This relief applies to entities filing Form 990-T for tax years ending between December 31, 2023, and November 30, 2024.
Ruth Madrigal | ruthmadrigal@kpmg.com
Preston Quesenberry | pquesenberry@kpmg.com