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Nonprofit Law/Loss of tax exemption


QUESTION: We are an American Legion Post who lost its tax exemption. We have applied for tax exemption and are in the determination phase.

What tax form is required to file, if any, during the period the organization was without tax exemption status..

Our receipts are not over $6000 for the year. We are not incorporated.

Thank you.

ANSWER: I would need to know the subsection of IRC 501(c) under which the organization was organized as an unincorporated association and under which the IRS formerly had granted exempt status.  It appears that yours would be a IRC 501(c)(19), but please confirm and, after you give me that information I will reply further.  The IRS writes about such organizations at
and states that "Veterans' organizations may also qualify for exemption under IRC 501(c)(3) as charitable organizations, 501(c)(4) as social welfare organizations, 501(c)(7) as social clubs, or 501(c)(8) or 501(c)(10) as fraternal organizations, if they meet the requirements for exemption under those sections."

Also I need to know whether you lost your published status with the IRS because you made no 990 series filings for a few years or whether, in the alternative, you lost exemption because the IRS found that your organization was not operating as it should.  If the later, please send me a copy of the IRS revocation letter.

Harvey Mechanic, Attorney at Law -

P.S. This response is intended to be a general statement of law, should not be relied upon as legal advice and does not create an attorney/client relationship.    

---------- FOLLOW-UP ----------

QUESTION: Wondering is you received my answer to your question for more information.

No, I don't recall and I just checked and nothing from you since your original March 6th question. You can see a screenshot of my recent questions at

Why don't you just email me to

Harvey Mechanic, Attorney at Law -  

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Harvey Mechanic


I am an attorney and I volunteer time to answer general questions about U.S. Federal income tax issues of nonprofit 501(c)(3) public charities only. Those questions could be about establishing and maintaining legal requirements for such non-profit organizations in the United States, including Internal Revenue service filings and requirements. I will not be working on this free forum to answer questions about Nonprofit's possible unrelated or for-profit businesses or how to fill out forms. This forum is only for general questions about federal tax law, not as the law applies to your specific situation. If you do not make your question public then I will not be spending much of my donated time on answers that would not benefit the public. If you have other questions, please contact me at I will reply from my email. In any case, do not reveal confidential information to me until after I have contracted with you to provide personal legal services. My responses on this forum are intended to be general statements of law, should not be relied upon as legal advice, and do not create an attorney/client relationship. For me to consider your individual situation and how the law applies, I would need to gather extensive information about the situation. To search my previous answers you can do a Google search by "" without the quotes and then add your search terms before hitting enter.


I have been practicing law and especially the law of nonprofit organizations since 1990 when I was admitted to the New York Bar and I have maintained my status with the Bar since that time.


B.S. Columbia University in New York City, 1970

J.D. (Law Degree) Brooklyn Law School, 1990 -- Cum Laude.

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