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Recently, the IRS, for the first time, enforced a rule stating that not-for-profit organizations that fail to file tax information returns for three consecutive years will have their tax-exempt status revoked. Due to the enforcement of this rule, approximately 275,000 organizations, many of which likely did not know of their filing requirement, had their tax exempt statuses revoked. We will discuss the law that allows for this to occur and the process for requesting a reinstatement.
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