INTERNAL TAX PROCEDURES Sample Clauses
The "Internal Tax Procedures" clause outlines the processes and responsibilities that a party must follow to ensure compliance with applicable tax laws within an organization. It typically details how taxes should be calculated, reported, and paid, and may require the maintenance of specific records or the use of designated accounting methods. By establishing clear internal guidelines, this clause helps prevent tax-related errors or violations, thereby reducing the risk of penalties and ensuring the organization meets its legal tax obligations.
INTERNAL TAX PROCEDURES. A. Annual Information Returns – Form 990. Form 990 is an annual information return which is filed with the Internal Revenue Service (IRS) by tax-exempt organizations described in Section 501(c)(3) of the Internal Revenue Code. The return provides important information and financial reporting that supports the organization’s tax exempt purpose, which is used by federal and state governments and the general public. The IEEE Tax Department annually files Form 990 on behalf of the Foundation, and is responsible for any audit reviews initiated by the IRS. Annually, the Foundation President, Treasurer, Assistant Treasurer, and Executive Director shall meet with the tax preparer to review the Form 990. Prior to signing and filing the Form 990, a copy shall be distributed to the Foundation Board of Directors so they may review it and ask questions of the tax preparer. The three most recent Form 990 filings shall be available on the Foundation web site.