FAQ
Straight answers before you begin
Common questions about auto-revocation, reinstatement routes, timing, fees, and working with Apex.
What is automatic revocation?
If an organization fails to file a required Form 990, 990-EZ, or 990-N for three consecutive years, the IRS automatically revokes its tax-exempt status by operation of law.
How do I know if we’ve been revoked?
Revoked organizations appear on the public IRS Auto-Revocation List and generally drop off Publication 78. The free status check reviews both and looks for later determination activity.
Can donors deduct gifts again once we’re reinstated?
With retroactive reinstatement, exempt status and deductibility are restored back to the revocation date. Postmark-date reinstatement does not close the prior gap.
Will we owe income tax for the lapsed years?
Possibly, depending on activity and revenue during the lapse. Many small organizations owe nothing, but the facts should be assessed before filing.
How long does the process take?
Apex generally targets two to three weeks for preparation once the necessary documents are available. IRS processing time varies by form, case complexity, and backlog.
What is the difference between retroactive and postmark-date reinstatement?
Retroactive reinstatement restores status to the revocation date. Postmark-date reinstatement restores status only from the filing date, leaving a gap.
Do you prepare the delinquent Form 990 returns too?
Yes. When the applicable route requires missing returns, those filings are coordinated with the reinstatement application.
What is a reasonable-cause statement?
It is a written explanation of why required returns were missed. The applicable reinstatement route determines whether it is needed for one year or all three missed years.
Is there a deadline?
Timing matters. The streamlined and lighter retroactive routes are generally available only within 15 months of revocation. Later applications require a more extensive reasonable-cause showing.
How much does reinstatement cost?
The PDF brief lists $1,500-$2,000 for streamlined matters and $4,500-$7,500+ for full matters. Apex provides a fixed written quote after the free status check.
Are IRS user fees included?
No. The PDF brief lists IRS application fees of $275 for Form 1023-EZ and $600 for the full Form 1023. Those fees are set by the IRS and billed separately at cost.
Who does the work?
The engagement is prepared within a licensed CPA practice. The written engagement letter identifies the professional responsible for the case.
Is Apex affiliated with the IRS?
No. Apex is a private CPA service. It prepares and files on behalf of clients but is not affiliated with or endorsed by the IRS.
What if we also have state-level issues?
Many revoked organizations also have lapsed charitable registrations or annual reports. Those issues can be identified and scoped with the federal reinstatement work.
Still have a question?
A free status check gives Apex enough context to explain the next step for your organization.