The IRS oversees eligibility and compliance for tax-exempt status of 501(c)(3) organizations.  Some pending and ongoing issues are listed below.  Additional guidance on IRS rules can be found on the IRS Charities and Nonprofits webpage and in the table below.  

2012 IRS Exempt Organization Division Work Plan
The IRS Exempt Organization's Division has released its 2012 Work Plan. Learn more

Updates

• As part of Notice 2012-25, the IRS has invited recommendations for items to be included in the 2012-2013 IRS guidance priority list. The Treasury Department's Office of Tax Policy and the IRS use the Guidance Priority List each year to identify and prioritize the tax issues that should be addressed through regulations, revenue rulings, revenue procedures, notices, and other published administrative guidance.

Guidance

• IRS offers updated guidance on Type III supporting organizations
  
• The Internal Revenue Service has requested public comment on information collections under section 6104 on disclosure of applications for tax-exempt status, annual reports, and return information of exempt organizations.
  
• The IRS released Publication 526, Charitable Contributions (rev. 2011), which explains how to claim a deduction for charitable contributions and discusses organizations that are eligible to receive deductible charitable contributions.
  
• The IRS has updated Publication 892 on how to appeal an IRS decision on tax-exempt status.

Exempt Organizations Select Check
The IRS has developed a new online search tool, the Exempt Organizations Select Check, that allows users to search for organizations that are eligible to receive tax-deductible charitable contributions, have had their tax-exempt status automatically revoked because of failure to file for three consecutive years, or have filed a Form 990-N annual electronic notice (e-Postcard).

IRS Oversight and Guidance
Organizations that fail to file an information return (Form 990, 990-EZ, 990-PF, 990-N) for three consecutive years will automatically lose their tax-exempt status. Because this requirement went into effect for tax year 2007, thousands of organizations were subject to automatic revocation of their tax-exempt status.

The IRS released on June 8, 2011, a list of organizations whose tax-exempt status has been revoked for failure to meet the filing threshold. You can also check the database maintained by the Urban Institute's National Center for Charitable Statistics to see if an organization is in danger of revocation.

Form 990 – the IRS made major revisions to the Form 990 annual information return, which must be filed electronically depending on the size or type of the organization.

Charitable reforms in the Pension Protection Act – the IRS has also issued new rules to implement changes enacted by the Pension Protection Act including guidance for donor advised funds, supporting organizations, and deductibility of certain charitable donations. 

Lobbying and political activity – of nonprofit organizations must be conducted in compliance with tax law.  See guidance under Basics of Nonprofit Lobbying.