Form 1023-EZ Is Now Live

In our May 2014 blog post, "Introducing Form 1023-EZ," we provided an overview of the new streamlined three-page Form 1023-EZ, which the Internal Revenue Service (the "IRS") was set to introduce this summer for small charities seeking tax exemption.  The IRS formally announced the Form 1023-EZ's introduction on July 1, 2014.  Now that the form is live, we would like to highlight the following key updated points:

• In response to comments from tax practitioners, the IRS tightened the eligibility requirements.  The Form is only available for use by organizations with annual gross receipts of $50,000 or less for the first three years (rather than $200,000 or less, as contemplated in the draft), and with less than $250,000 of assets (down from the $500,000 threshold contemplated in the draft).