When an IRS Examiner reviews a tax-exempt application, one of two things happens. Ideally, they mail a physical Letter of Determination. This document conveys an organization’s tax-exempt status, 501c classification, and any other important information necessary. When the Letter of Determination arrives, an organization is officially 501c tax-exempt. If 501c3 status is issued, donations are now tax-deductible.
In the event the IRS Examiner requires additional information before deciding, they will send a physical letter requesting clarifications. When this happens, they include detailed questions and a deadline for replying, usually 30-days. Additionally, the IRS randomly selects 1023 EZ applications for further review requiring additional information. When BryteBridge clients receive these letters, their dedicated specialists respond to the IRS, providing the requested information as part of our service guarantee.