The National Center for Charitable Statistics (NCCS) is offering free electronic filing for nonprofits that file the annual Form 990 to the Internal Revenue Service (IRS) online. The process offers features that make filling out the form easier and helps make it more accurate. Charitable organizations with budgets over $25,000 a year are required to file an annual information return (Form 990) with the IRS. The IRS uses the information to ensure groups continue to be eligible for tax-exempt status. The completed forms are made available to the public, and used for donor decisions, research and other purposes. The IRS will begin requiring electronic filing of Form 990 for organizations with assets over $100 million next year. The following year electronic filing will be mandatory for groups with assets over $10 million and all private foundations and charitable trusts. However, smaller organizations can take advantage of NCCS's free service now. 990 Online includes:

• A calculator that automatically totals and checks for errors
• Links to instructions and tips, eliminating the need to wade through the 49-page IRS instruction booklet
• Ability to create an Adobe Acrobat PDF file for printing or distribution
• Ability to import files from Excel.

NCCS, a national clearinghouse of research data on nonprofits sponsored by the Urban Institute, is working with state charity officials to offer electronic state registration at the same time Form 990 is filed electronically with the IRS. Pennsylvania and Colorado will be the first states to offer this service. NCCS is encouraging nonprofits to contact their state charity officials and ask them to participate.