New IRS annual notice requirement.

The IRS began mailing educational letters in July to more than 650,000 small, tax-exempt organizations that may be required to submit a new annual notice, Form 990-N, "Electronic Notice (e-Postcard) for Tax-Exempt Organizations Not Required to File Form 990 or 990-EZ."

[ILLUSTRATION OMITTED]

Tax-exempt organizations with gross receipts of $25,000 or less were previously not required to submit information returns.

Any organization that fails to meet its annual reporting requirement for three consecutive years automatically loses its tax-exempt status under the new law. An organization that wants to regain its exempt status will then have to reapply for recognition as a tax-exempt organization.

More information is available at www.irs.gov/charities/index.html.