"The agencies face losing their tax exempt status and the ability for donors to claim a charitable deduction for gifts," said Chris Malanga, Chief Executive Officer.  "Once you lose non-profit status, it's difficult to get back."

The United Way of Williams County is issuing this warning as a public service to the community.

Under a law adopted by Congress in 2006, non-filing charities will automatically lose their tax exemption. Because most groups' fiscal years follow the calendar year, those IRS returns may be due May 17 without an extension, so prompt action may be required.

"Thousands of Ohio charitable organizations face the loss of their exemption if they do not take action right away," said Peter Thomas, chief of Ohio Attorney General Richard Cordray's Charitable Law Section.

Organizations that have their 501(c)(3) status revoked would have to reapply with the IRS to regain their tax-exempt status and risk tax implications for income received after the revocation. Donations are also not deductible without the exemption, he said.

The Urban Institute's National Center for Charitable Statistics estimates that 8,728 Ohio charities have not filed returns during the three-year period.

The IRS has warned that it has no discretion in whether to revoke groups' tax exempt status and has urged organizations to file the required returns or request an extension for filing. (see http://www.irs.gov/newsroom/article/0,,id=222668,00.html)

The Form 990, which is the type of return required by the IRS, is normally due the 15th day of the fifth month following the end of a group's fiscal year. And because many groups' years ends Dec. 31, this May filing period will be important.

The NCCS has created a database of organizations that can be searched to determine if an organization's tax-exempt status is in jeopardy (http://nccs.urban.org/). Visitors can search the database by organization name or even zip code and find whether the appropriate filings have been made. Resources are also available on the page to assist in filing immediately with the IRS.

Many of the groups that are listed as non-filing organizations may have gone out of business or might have changed their status by affiliating with national organizations, said Malanga.

"It will be interesting to see the true impact of the IRS's actions. But it is important that organizations that are operational and have not filed with the IRS immediately address that issue," Thomas said.