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Ann Arbor Michigan Form 990 or 990-EZ - Schedule N: What You Should Know

A new Form 990-PF is required for each year a nonprofit organization files, and has a complete change of control. The tax treatment of Form 990-PF can vary based on the type of arrangement a group of nonprofit organizations makes with their affiliates. The IRS defines a controlled nonprofit organization as one that has no more than 50% of the assets or profits of its activities in the course of carrying on exempt activity. The organization must have a chief executive officer or a board of directors composed entirely of nonprofit individuals who are members of the organization. They must have independent control at all times over all transactions that occur in the course of carrying out the exempt activities of the organization.

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