Which of the following tax-exempt organizations must file an annual information return (Form 990)?

Answer options:

A church.

A private foundation with $1 million in assets.

A federal agency.

A charitable organization with gross receipts of $25,000.

How to approach this question

Form 990 Exceptions: CHRIST (Churches, High gross receipts <$50k (990-N), Religious orders, Internal support groups, Societies (missionary), Tax-exempt federal agencies). Private Foundations MUST file.

Full Answer

B.A private foundation with $1 million in assets.✓ Correct

Private foundations are required to file an annual information return (Form 990-PF) regardless of gross receipts. Churches and certain government agencies are exempt.

Common mistakes

Thinking churches must file.

Question 70 All questions Question 72

Practice the full CPA REG Practice Exam 4

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