IRS 990 - Schedule B (2021)

Form 990 Schedule B: Fill Out

Navigating the landscape of tax-exempt organization reporting can often feel like a daunting task, especially when it comes to the myriad forms and schedules required by the IRS. One essential document in this convoluted puzzle is Schedule B, a supplementary schedule that must be filed by certain tax-exempt organizations. 

What is Form 990 Schedule B 2021

Form 990 Schedule B, officially known as the Schedule of Contributors, is a critical reporting requirement for tax-exempt organizations. This schedule is filed annually along with Forms 990, 990-EZ, or 990-PF, and it details significant contributions received by the organization during the tax year. Organizations must report the names, addresses, and donation amounts of contributors who contributed $5,000 or more during the reporting period. The data captured in Schedule B plays a crucial role in IRS audits and transparency of charitable donations.

Who Must File IRS 990 Schedule B 2021

Before diving into the process of filling out Schedule B, it’s important to understand which organizations are required to file this schedule. Not all tax-exempt organizations need to file Schedule B. Primarily, organizations falling under section 501(c)(3) of the Internal Revenue Code, which includes charitable, religious, and educational entities, are required to submit this form. Additionally, private foundations categorized under section 501(c)(3) that file Form 990-PF and political organizations under section 527 must also complete Schedule B if they receive a contribution of $5,000 or more from a single donor during the tax year.

How to Fill Out Schedule B Form 990 2021

Completing Form 990 Schedule B accurately is crucial to maintaining compliance with IRS regulations. Follow these steps to fill out the form:

1. Gather Information: Collect detailed information about each contributor who donated $5,000 or more, including names, addresses, and contribution amounts.
2. Fill Out Part I: Enter the gathered information into Part I. Make sure to accurately report the total contribution and the type of contribution for each donor.
3. Complete Part II: If noncash contributions were reported in Part I, describe each noncash item in detail in Part II. Include the fair market value and the date received.
4. Address Part III: If your organization is a Section 501(c)(7), (8), or (10) entity, list any contributions over $1,000 received exclusively for religious, charitable, etc., purposes.
5. Review and Submit: Double-check all entries for accuracy and completeness before attaching Schedule B to your Form 990, 990-EZ, or 990-PF.

Conclusion

Form 990 Schedule B is an essential reporting tool for tax-exempt organizations reporting significant contributions. Understanding who needs to file this form, the key sections it contains, and how to fill it out correctly will ensure that your organization remains in compliance with IRS requirements. Accurate and honest reporting not only upholds the integrity of your organization but also promotes transparency, fostering trust with donors and stakeholders alike. With this guide, you're well-equipped to tackle Schedule B with confidence.