What is form 990 and what does a treasurer actually do

Last updated 2026-07-25

What is Form 990?

Normally ≤ $50,000	990-N (e-Postcard)	10 minutes online, 8 data fields
< $200,000 AND assets < $500,000	990-EZ (or full 990)	A few hours, basic accounting needed
≥ $200,000 OR assets ≥ $500,000	Full Form 990	Often needs a preparer, days of prep	Thresholds per IRS instructions for Form 990 and 990-EZ [2]. Confirm current thresholds with the IRS before you file, since dollar limits have shifted over time and could again. If your group is genuinely small (most volunteer booster clubs and PTOs are), you'll probably land on 990-N, the "e-Postcard." It's free, it's online-only, and it asks for basics like your EIN, tax year, and confirmation that gross receipts are normally $50,000 or less [3].

Form 990 is the annual information return the IRS requires from most tax-exempt organizations, the paperwork that reports revenue, expenses, program activities, and governance to the federal government. It is not an income tax return in the way a business files one, because most 501(c)(3) and similar organizations don't owe income tax. It is closer to a public accountability document. The IRS says the 990 series exists so "the IRS and the public can evaluate a nonprofit's operations and determine whether it is fulfilling its tax-exempt purpose" ^[1]. There isn't one single "990 form." There's a family of them, sized to the organization's money. A tiny booster club with $12,000 a year in gross receipts files something very different from a large nonprofit hospital's foundation. That's the part that confuses new treasurers most: you have to figure out which version applies to your group before you can even start. Here's the breakdown most booster clubs, PTOs, and youth sports groups will fall into: | Gross receipts (annual) | Which form | Approx. filing effort |

What is a treasurer?

A treasurer is the person responsible for an organization's money: tracking it, reporting on it, and making sure it's used the way donors and members expect. In a booster club, PTO, or youth sports league, that's usually an unpaid volunteer, often a parent, who agreed to take the job at a meeting and then discovered nobody handed them a manual. Legally, in most states, the treasurer is an officer of the corporation (if the group is incorporated) with fiduciary duties, meaning a legal obligation to act in the organization's best financial interest, not their own. That's a real legal standard, more than a job description. State nonprofit corporation law generally imposes duties of care and loyalty on officers and directors, which is why "I didn't know" isn't a great defense when money goes missing. Practically, the treasurer's job splits into three buckets: bookkeeping (recording what came in and went out), controls (making sure two people touch the money, not one), and reporting (telling the board, the members, and the IRS what happened). Miss any one of the three and the whole system gets shaky.

What does a treasurer do, day to day?

Day to day, a treasurer reconciles the bank account, deposits cash and checks promptly, pays approved bills, and keeps a simple ledger of income and expenses by category (concessions, uniforms, tournament fees, whatever applies). Monthly, they report a balance and a summary to the board. Annually, they close out the books and either file the appropriate 990 or get the numbers to whoever does. A realistic month for a mid-size booster club treasurer looks like this: collect concession stand cash after each game and deposit it within a day or two (never let it sit in someone's car trunk over a weekend), record every transaction in a spreadsheet or basic accounting tool, reconcile against the bank statement, and flag anything odd to the board before it becomes a bigger problem. A few things separate a good treasurer from one who's just keeping their head above water: - They never let one person both collect cash and record it. Two sets of hands, always.

• They keep receipts and invoices, more than bank statements. The IRS and a future auditor both want the paper trail, more than the total.
• They know their filing deadline (typically the 15th day of the 5th month after the fiscal year ends) ^[2] and put it on a calendar in January, not April.
• They understand the group's gross receipts trend, because that number decides which 990 to file.

What does a club treasurer do that's different from a corporate one?

A club treasurer, whether for a PTO, a youth sports booster club, or a hobby association, usually handles smaller dollar amounts but faces more chaos: cash from bake sales, Venmo payments from parents, raffle proceeds, concession stand receipts. A corporate treasurer at a mid-size company has an accounting department, software, and internal audit. A club treasurer often has a shoebox, a group text, and a spreadsheet they built themselves. The fundamentals don't change. You still need to record money in and out, reconcile bank statements, and report honestly. What changes is the volume of small, informal cash transactions and the total absence of professional backup. That's exactly why cash-handling controls (two counters at the concession stand, sequentially numbered raffle tickets, a lockbox instead of a coffee can) matter more for a club treasurer than for someone working inside a company with an ERP system already enforcing separation of duties. A club treasurer of a nonprofit-status group also carries the 990 obligation the corporate world doesn't have in the same form, since most for-profit businesses don't file information returns at all. That's a distinctly nonprofit-world job requirement, and it's the one new club treasurers are most likely to miss entirely until a renewal notice or bank issue forces the question.

What is a 990 tax form, exactly, and is it a tax return?

Calling it a "990 tax form" is common but a little misleading. It's an information return, not a tax return, because most organizations that file it don't owe federal income tax on the activities reported. The IRS still calls the whole family "Form 990, Return of Organization Exempt from Income Tax" ^[4], which is where the tax-form language comes from, even though no tax is typically due. The distinction matters practically. If your group has unrelated business income (income from an activity not substantially related to your exempt purpose, like renting out your building for unrelated commercial use), you might also owe Form 990-T and actual tax on that income ^[5]. That's separate from the regular 990 filing and catches people off guard, especially concession-stand-heavy booster clubs that also do things like renting equipment commercially. So: Form 990 reports your finances and operations to keep the IRS and public informed. Form 990-T reports and taxes unrelated business income if you have any. Two different purposes, easy to conflate, worth knowing apart.

What is the 990-N e-Postcard, and does my small group need it?

The 990-N, also called the e-Postcard, is the simplest filing in the 990 family, built for organizations with gross receipts normally $50,000 or less ^[3]. It's filed entirely online through the IRS's Form 990-N portal, takes about eight data points (EIN, tax year, legal name, address, principal officer, confirmation of gross receipts, and a statement the organization hasn't terminated), and there's no dollar figures to report, no balance sheet, nothing to attach. If your booster club or PTO is small (most are), 990-N is very likely what you need. It's free. There's no paper option; it has to be filed electronically ^[3]. And here's the part that trips up new treasurers constantly: filing the 990-N (or any 990) is mandatory even if you owe zero tax and even if you think you're "too small to bother." Skip it three years running and the IRS automatically revokes your tax-exempt status, no warning letter required beyond the filing reminders they already sent ^[6]. The IRS states plainly: "Organizations that fail to file required Form 990-series returns for three consecutive years will automatically lose their tax-exempt status" ^[6]. That's not a penalty notice, that's your exemption gone, retroactive to the filing due date. Reinstating it means refiling for exemption, often paying a new user fee, and in some cases paying back taxes for the gap years. It is a genuinely bad situation, and it happens to volunteer-run groups constantly because nobody told the incoming treasurer the filing existed.

What does a treasurer of a club do about IRS filings specifically?

The treasurer's IRS-facing job has three parts: know which form applies, file it on time, and keep proof you filed. That's it, but all three matter. First, know your form. Pull your last few years of gross receipts and compare against the thresholds in the table above. If you're not sure your group even has an EIN or has ever filed anything, that's your first task, not the 990 itself. Check the IRS's Tax Exempt Organization Search tool to see your filing history. Second, file on time. The due date is the 15th day of the 5th month after your fiscal year ends ^[2]. Calendar-year organizations (fiscal year ending December 31) file by May 15. If your fiscal year runs July to June (common for school-affiliated groups), your deadline is November 15. An automatic 6-month extension is available using Form 8868, but 990-N filers can't get an extension because there's genuinely nothing to extend (it takes eight fields) ^[7]. Third, keep proof. Save the confirmation screen or email from the 990-N portal, or the acknowledgment from your preparer if you filed a full 990 or 990-EZ. When the next treasurer takes over in two years, that folder of confirmations is the difference between a five-minute handoff and a multi-week scramble. For deeper detail on the mechanics of the e-Postcard specifically, see our guide to 990-N filing and the broader form 990 overview.

What happens if a treasurer misses a 990 filing?

Nothing happens after missing one year, honestly, beyond a reminder notice from the IRS. The real damage is cumulative: miss three years in a row and the organization's tax-exempt status is automatically revoked by law, under Internal Revenue Code section 6033(j) . This isn't discretionary on the IRS's part; the statute requires it. Once revoked, your organization shows up on the IRS's Auto-Revocation List, donations are no longer tax-deductible to donors, and you may owe corporate income tax on money you thought was exempt. Getting reinstated means filing Form 1023 or 1023-EZ (the exemption application) again, paying the associated user fee, and in many cases filing the missed 990s anyway. The IRS does offer streamlined retroactive reinstatement for small organizations that file within 15 months of revocation, if this is their first revocation . Miss that window, and it gets more expensive and slower. The honest takeaway for a new treasurer: check your organization's status on the IRS's Tax Exempt Organization Search tool in your first week on the job. If you're already revoked, don't panic, but don't wait either. Reinstatement paperwork gets more expensive the longer you sit on it.

Do state filings matter too, separate from the 990?

Yes, and this is the part treasurers most often overlook. The federal 990 goes to the IRS. Most states also require a separate annual charitable registration or renewal, filed with the state attorney general's office or secretary of state, sometimes with its own fee and its own deadline that doesn't match the IRS's. There's no single national rule here, deliberately, because each state charity office sets its own registration and renewal requirements. Confirm with your state charity office or attorney general what your group specifically owes; some states exempt small PTOs and booster clubs from registration entirely, others don't, and the fee ranges vary widely by state. Don't assume the IRS filing takes care of the state requirement. It doesn't. They're two separate bureaucracies asking two separate questions.

What does a treasurer do besides taxes: the financial controls piece

Filing the 990 is maybe 5% of the job. The other 95% is day-to-day money handling, and it's where volunteer groups actually lose money, whether to honest mistakes or occasionally something worse. Basic controls that cost nothing and prevent most problems: - Two people count cash at every fundraiser, sign off together, and both keep a copy of the tally sheet.

• Deposits happen within 48 hours, never held "until it's convenient."
• Every expense over a set threshold (pick a number, $100 or $250) needs two signatures or a board vote, more than the treasurer's judgment.
• Bank statements go to someone other than the treasurer for a quick look, even just the club president skimming for anything odd.
• Nobody who counts the money is the same person who reconciles the bank account. If your group is small enough that one person must do both, at minimum have a second person spot-check every quarter. None of this requires software or a CPA. It requires discipline and a habit of writing things down the same day, not "later." A messy shoebox of receipts reconciled honestly beats a beautiful spreadsheet built on guesses.

Getting help without hiring an accountant

Most booster clubs, PTOs, and small youth sports groups don't need a CPA on retainer. What they need is a system built once, correctly, that survives the yearly turnover of volunteer treasurers. That's the gap a lot of groups fall into: the outgoing treasurer knew what they were doing, but nothing was written down for the next person. If you want that groundwork done for you rather than assembled from scratch, BoosterLedger's $99 one-time State-Personalized Treasurer Kit builds the filing calendar, the state-specific registration checklist, and the handoff templates for your specific state, so the next treasurer isn't starting cold. It's not a substitute for an accountant or attorney, and it doesn't guarantee any filing outcome or exempt status determination. It's just a head start. Whether you build your own system or use a kit, the goal is the same: nothing lives only in one person's head.

Frequently asked questions

What does a treasurer do?

A treasurer tracks all money coming in and going out of an organization, reconciles the bank account, pays approved bills, reports balances to the board or membership, and files or supports the annual IRS Form 990 filing. In incorporated nonprofits, treasurers are officers with legal fiduciary duties, more than a volunteer job title.

What is a treasurer?

A treasurer is the officer or volunteer responsible for an organization's finances: bookkeeping, cash controls, and financial reporting to the board, members, and government agencies. In most states, if the organization is incorporated, the treasurer holds a formal fiduciary duty under state nonprofit corporation law, more than an informal role.

What is Form 990?

Form 990 is the IRS's annual information return for tax-exempt organizations, reporting revenue, expenses, and governance details. It comes in versions sized by gross receipts: 990-N for the smallest groups (under $50,000), 990-EZ for mid-size ones, and the full Form 990 for larger organizations ^[3]. It's public record, not a tax bill.

What is the 990 tax form used for?

It's used by the IRS and the public to evaluate whether a tax-exempt organization is operating consistent with its exempt purpose. Despite the name, it's an information return, not typically a bill for taxes owed, since most filers owe no federal income tax on the activities reported.

What is the difference between Form 990 and 990-EZ?

Form 990-EZ is for organizations with gross receipts under $200,000 and total assets under $500,000; the full Form 990 is required above those thresholds ^[3]. 990-EZ is shorter and simpler to prepare. Organizations below both limits can also choose to file the full Form 990 voluntarily if they prefer.

What does a club treasurer do differently from a corporate treasurer?

A club treasurer handles smaller, messier transactions (cash from fundraisers, Venmo from parents, raffle proceeds) usually without professional accounting support, and carries a 990 filing obligation most corporate for-profit treasurers never face. The core duties (recording, reconciling, reporting) are the same; the scale and support system are very different.

Do all nonprofits have to file a 990?

Most tax-exempt organizations must file some version of the 990 annually, including the simplest 990-N e-Postcard for the smallest groups. A few categories, like certain churches and church-affiliated organizations, are exempt from filing ^[3]. Confirm your specific organization's requirement with the IRS or a qualified preparer.

What happens if my booster club never filed a 990?

If your organization missed 990 filings for three consecutive years, its tax-exempt status was automatically revoked by law under Internal Revenue Code section 6033(j) ^[8]. Check the IRS's Tax Exempt Organization Search tool immediately, then look into streamlined reinstatement if you're within 15 months of revocation ^[9].

How do I know which 990 form to file?

Compare your organization's gross receipts and total assets against the IRS thresholds: normally $50,000 or less means 990-N, under $200,000 in receipts and under $500,000 in assets means 990-EZ or full 990, and above those means the full Form 990 ^[3]. Check your last few years' totals before deciding.

Is the 990-N e-Postcard really free?

Yes, filing the 990-N costs nothing and is done entirely online through the IRS's system, typically in under 15 minutes. It requires only basic identifying information: EIN, tax year, legal name, address, and confirmation that gross receipts are normally $50,000 or less ^[1]. No extension is available or needed for it.

Does the treasurer file state paperwork too?

Often, yes. Many states require a separate annual charitable registration or renewal with the state attorney general's office or secretary of state, apart from the federal 990. Requirements and fees vary by state, so confirm with your state charity office directly rather than assuming the IRS filing covers it.

Can a volunteer treasurer get in legal trouble for financial mistakes?

Honest mistakes made in good faith are generally treated differently from negligence or misuse of funds under state nonprofit law, which is why keeping records and following basic controls (two-person cash counts, timely deposits, board oversight) matters. Officers do carry a legal duty of care; documented, careful handling is your best protection.

Sources

1. IRS, Annual Electronic Filing Requirement for Small Exempt Organizations, Form 990-N (e-Postcard): 990-N is for organizations with gross receipts normally $50,000 or less, filed free online
2. IRS, Exempt Organizations Annual Reporting Requirements: purpose of the 990 series is public and IRS evaluation of exempt organization operations
3. IRS, About Form 990, Return of Organization Exempt from Income Tax: official name and description of Form 990
4. IRS, About Form 990-T: unrelated business income is reported and taxed separately on Form 990-T
5. IRS, Automatic Revocation of Exemption: organizations that fail to file for three consecutive years automatically lose tax-exempt status
6. IRS, About Form 8868, Application for Extension of Time To File an Exempt Organization Return: 6-month extension available for 990/990-EZ but not for 990-N filers
7. Cornell Legal Information Institute, 26 U.S.C. § 6033(j): statutory basis for automatic revocation after three consecutive years of non-filing