At a Glance

Montana nonprofits must file an annual report with the Secretary of State by April 15 each year (filing fee: $10), submit the appropriate IRS Form 990 based on revenue thresholds, and maintain a registered agent with a Montana address. Missing the state deadline triggers a $15 late fee and potential dissolution by December 1.

Filing the Montana Annual Report

Montana requires all nonprofits to maintain good standing by submitting timely reports to the Secretary of State. Let's explore the essential requirements for your organization.

Who must file and when

Every domestic and foreign nonprofit corporation registered in Montana must file an annual report with the Secretary of State. This filing is mandatory regardless of your organization's size or revenue.

The annual report deadline falls on April 15 each year, with the filing period opening on January 1. First-time filers must submit their initial report between January 1 and April 15 of the year following incorporation or authorization to conduct business in Montana, and you should follow the IRS recordkeeping requirements for exempt organizations.

Notably, while most entities file annually, partnerships (including LPs, LLPs, and LLLPs) operate on a five-year renewal cycle instead. If your nonprofit has begun dissolution proceedings or has already dissolved, you are exempt from filing requirements.

How to file online

Montana has moved to a fully digital system, requiring all annual reports to be submitted online through the Secretary of State's business portal. The process includes:

1. Visit the Montana Secretary of State website (www.sosmt.gov)
2. Create or log in to your ePass Montana account
3. Select “File My Annual Report” from your dashboard
4. Search for your nonprofit by name
5. Click on your organization in the results
6. Select “File My Annual Report”
7. Review and update your information as needed
8. Complete the declarations and required fields
9. Submit your filing

The online system processes reports immediately upon submission, providing instant confirmation of your filing. For organizations managing multiple filings across different states, Labyrinth, Inc. can track these deadlines and handle the preparation and submission process.

What information is required

Your Montana annual report must include several key pieces of information:

• Your nonprofit's legal name and jurisdiction of incorporation
• Current registered agent name and address
• Principal office address and business mailing address
• Names and business addresses of directors and principal officers
• Brief description of your organization's activities
• Confirmation of whether your nonprofit has members, and ensure proper documentation per the IRS recordkeeping requirements for exempt organizations

Additionally, you must certify that all information is current as of the date you execute the report. If any information is missing or incorrect, the Secretary of State will return the report to you for correction. You'll have 30 days from notification to make corrections without penalty. For documentation standards, see the IRS recordkeeping requirements for exempt organizations.

Late fees and penalties

Failing to file your annual report by the April 15 deadline triggers immediate consequences. First, a $15 late fee will be applied in addition to the standard $10 filing fee. This increases your total payment from $10 to $25.

• Your nonprofit will lose its good standing status
• By September 1, you'll receive notification of impending dissolution
• Domestic nonprofits face dissolution by December 1 if they fail to file
• Foreign nonprofits face revocation by November 1

Once dissolved or revoked, your organization loses legal protections, name rights, and the ability to conduct business in Montana. To reinstate a dissolved domestic nonprofit, you must file all missing reports, pay accumulated fees, and potentially obtain a Title 15 Certificate from the Montana Department of Revenue.

Understanding IRS Form 990 Requirements

Beyond state filings, maintaining your federal tax-exempt status requires annual reporting to the Internal Revenue Service. Form 990 serves as the IRS's tool to ensure transparency and verify your nonprofit continues to fulfill its tax-exempt purpose.

Which version of Form 990 to file

The appropriate Form 990 version depends on your organization's financial activity. Four main versions exist:

Form 990-N (e-Postcard): For small organizations with gross receipts normally less than or equal to $50,000 annually, per the IRS Form 990 filing requirements. This eight-question electronic form must be submitted online and cannot be printed.

Form 990-EZ: For organizations with gross receipts less than $200,000 and total assets less than $500,000, per the IRS Form 990 filing requirements.

Form 990 (Full): Required when gross receipts are $200,000 or more, or total assets equal $500,000 or more, per the IRS Form 990 filing requirements.

Form 990-PF: All private foundations must file this form regardless of financial status, per the IRS Form 990 filing requirements.

Filing deadlines and extensions

The Form 990 filing deadline falls on the 15th day of the 5th month after your nonprofit's fiscal year ends, per the IRS due date rules for exempt organizations. For calendar-year organizations (ending December 31), this means May 15 of the following year, as outlined in the IRS return due dates for exempt organizations.

• Fiscal year ending July 31: Due December 15
• Fiscal year ending June 30: Due November 15 (see IRS return due dates for exempt organizations)
• Fiscal year ending March 31: Due August 15 (see IRS return due dates for exempt organizations)

Should you need more time, Form 8868 allows for an automatic six-month extension under the IRS due date rules for exempt organizations. This request must be filed before your original deadline. However, obtaining an extension for filing doesn't extend the deadline for any tax payments due—see IRS extension of time to file exempt organization returns.

Failure to file for three consecutive years results in automatic revocation of your tax-exempt status. Missing deadlines can trigger financial penalties:

• For organizations with gross receipts under $1,208,500: $20 per day late, up to $12,000 or 5% of gross receipts
• For organizations with gross receipts over $1,208,500: $120 per day late, up to $60,000

Common mistakes to avoid

Several common errors can delay processing or trigger IRS scrutiny:

1. Filing the wrong form based on your financial thresholds.
2. Incomplete documentation, especially failing to complete Schedule B when required — see the IRS filing tips for Form 990-PF.
3. Missing signatures from authorized officers or trustees — see the IRS filing tips for Form 990-PF.
4. Inadequate financial reporting, particularly in balance sheets — see the IRS filing tips for Form 990-PF.
5. Neglecting to complete all required parts, even with “N/A” where appropriate — see the IRS filing tips for Form 990-PF.

Private foundations with assets of $5,000 or more must complete additional sections, including Part XV of Form 990-PF — see the IRS filing tips for Form 990-PF.

Maintaining a Registered Agent in Montana

Every registered nonprofit in Montana must designate and maintain a registered agent as part of their ongoing compliance obligations. This requirement continues throughout your organization's existence, making it an essential aspect of your annual filing responsibilities.

Why a registered agent is required

Montana law mandates that all formally registered nonprofits maintain a registered agent to operate legally in the state. This requirement exists primarily because your organization needs an official point of contact for receiving critical legal and government communications. Your registered agent serves as the designated receiver for:

• Service of process documents (lawsuits)
• Tax notices from government agencies
• Annual report reminders
• Official correspondence from the Montana Secretary of State

Failing to maintain a valid registered agent can result in severe consequences, including loss of good standing, financial penalties, or even administrative dissolution of your nonprofit. Throughout your organization's existence, the registered agent plays a crucial role in ensuring you receive time-sensitive legal documents promptly.

Who can serve as a registered agent

Montana offers flexibility in who can serve as your nonprofit's registered agent. You have several options:

1. Individual person – Including yourself, a board member, employee, friend, or family member
2. Business entity – A corporation or organization authorized to conduct business in Montana

Regardless of who serves in this role, all registered agents must meet these requirements:

• Maintain a physical street address in Montana (P.O. boxes are not permitted)
• Be available during standard business hours to receive documents
• If an individual, be at least 18 years old
• If a business entity, be authorized to operate in Montana

Montana divides registered agents into two categories: commercial and noncommercial. Commercial agents register with the Secretary of State by filing a listing statement, whereas noncommercial agents simply consent to serve without filing such a statement.

How to update your agent information

Should you need to change your registered agent, Montana provides a straightforward process:

1. Select a new qualified Montana registered agent
2. Notify your current registered agent about the change
3. Complete and submit a Statement of Change of Registered Agent form

This update can be completed entirely online through the Montana Secretary of State's website at no cost. Alternatively, you can update your agent information during your annual report filing between January 1 and April 15. When handling updates to officers, directors, or registered agent information, Labyrinth handles these update filings as part of its corporate filing services.

For expedited processing, you can request one-day service for $20 or one-hour processing for $100. During busy filing seasons (notably April), standard processing may take up to 10 days.

Charitable Solicitation and Public Fundraising Rules

Unlike many states, Montana takes a unique approach to nonprofit fundraising regulation. Understanding these rules saves your organization from potential compliance issues as you raise funds for your mission.

When registration is required

Montana stands out among U.S. states as it does not require nonprofits to register with a state agency before soliciting contributions from Montana residents. This exemption makes Montana one of only eleven states without charitable registration laws at the state level.

However, this doesn't mean your organization can ignore all registration requirements. Some key considerations include:

• Out-of-state activities: If your Montana nonprofit solicits donations beyond state borders, you must comply with registration requirements in those jurisdictions—approximately 40 states and the District of Columbia mandate charitable registration.
• Local requirements: Certain Montana counties and municipalities may require charities to register prior to conducting in-person fundraising.
• Foreign corporations: Out-of-state nonprofit corporations may need to register to do business in Montana, regardless of fundraising activities.

For nonprofits operating or fundraising across multiple states, Labyrinth helps monitor varying renewal dates, reporting schedules, and jurisdiction-specific rules.

Exemptions from registration

Since Montana has no statewide charitable solicitation registration system, all nonprofits effectively operate under a blanket exemption. This contrasts sharply with other states where organizations must qualify for specific exemptions such as:

• Educational institutions and their foundations
• Religious organizations
• Membership-based organizations soliciting only from members
• Small charities with limited annual revenues

Nonetheless, if your nonprofit engages in gambling-related fundraising activities (raffles, casino nights, etc.), you must comply with Montana's gambling regulations. For raffles specifically, remember that:

• Drawing dates must be identified before ticket sales begin
• Raffles cannot be canceled once sales start
• Credit cards cannot be accepted as payment for raffle tickets
• Records must be maintained for 12 months after the drawing

Renewal and reporting obligations

Given that Montana doesn't require initial charitable solicitation registration, there are no renewal requirements or periodic reports specific to fundraising activities at the state level.

Still, your nonprofit must fulfill other crucial reporting obligations:

• Submit your Annual Report to the Montana Secretary of State by April 15 each year
• File the appropriate IRS Form 990 annually
• Maintain accurate records of all fundraising activities, especially those involving gambling
• Follow specific record-keeping requirements for raffle proceeds, which may only be used for charitable purposes or to pay prizes—not for administrative costs

For Montana nonprofits expanding their fundraising beyond state lines, managing compliance across multiple jurisdictions can become administratively complex. When organizations reference Attorney General filings or annual charity renewals, Labyrinth manages the full renewal process and tracks each deadline.

Ensuring Transparency and Recordkeeping Compliance

Proper recordkeeping serves as the backbone of your nonprofit's compliance strategy. Maintaining organized documentation helps satisfy both legal requirements and builds trust with donors and stakeholders.

Documents to make publicly available

As a tax-exempt organization, you must provide certain documents upon request for public inspection. See the IRS public disclosure and availability requirements.

• The three most recently filed annual information returns (Form 990)
• Your organization's application for tax exemption
• Any correspondence with the IRS related to your exemption application

Many Montana nonprofits choose to post these documents directly on their websites to demonstrate transparency. Remember that 501(c)(3) organizations are not required to publicly disclose their donor lists.

Best practices for board meeting minutes

Board meeting minutes function as legal documents that provide critical evidence of your organization's decision-making process. Well-documented minutes:

• Demonstrate that directors exercised proper care in decisions
• Document institutional memory and commitments
• Provide evidence of compliance with legal requirements

Avoid recording every word spoken during meetings. Focus on documenting actions taken, alternatives considered, votes cast (including abstentions), and assignments made. Store these records securely as they may be requested during audits or legal proceedings.

How to store and organize financial records

The IRS requires that you maintain books and records showing compliance with tax rules — see the IRS recordkeeping requirements for exempt organizations. Your organization must be able to document:

• Sources of all receipts
• Details of all expenditures
• Information supporting credits claimed on returns

Consider adopting a formal document retention policy specifying which records to keep and for how long. Although traditional “minute books” work effectively, digital storage through cloud-based systems offers accessibility advantages.

For electronic storage, implement security protocols and create reliable backups to protect against data loss. Whatever system you choose, ensure records remain accessible for potential IRS inspection — having complete documentation significantly expedites any examination process. See the IRS recordkeeping requirements for exempt organizations.

Conclusion

Maintaining your Montana nonprofit's compliance status requires diligent attention to several key filing requirements. Throughout this guide, you've learned about the essential components needed to keep your organization in good standing, with professional guidance making the entire process more manageable.

First and foremost, your annual report must reach the Montana Secretary of State by April 15 each year to avoid the $15 late fee and potential dissolution. Additionally, selecting the correct IRS Form 990 based on your financial thresholds ensures federal compliance while preventing penalties that can reach $120 per day for larger organizations.

Your registered agent serves as a critical link between your nonprofit and government communications. Therefore, keeping this information current protects your organization from missing important legal notices. Although Montana provides flexibility regarding charitable solicitation rules, fundraising activities still demand proper documentation, especially when conducted across state lines.

Behind every compliant nonprofit stands a robust recordkeeping system. Proper documentation of board decisions, financial transactions, and public disclosure materials safeguards your organization during audits and builds donor confidence. These records become particularly valuable should questions arise about your tax-exempt status.

Regular attention to these filing requirements allows your nonprofit to focus on its mission rather than administrative penalties. Missing deadlines might seem minor initially but can escalate quickly into serious consequences. Consequently, many successful organizations work with compliance specialists who provide deadline tracking and proactive management of required filings across all jurisdictions.

Remember that maintaining good standing involves more than just paperwork—it demonstrates your commitment to transparency and accountability. Your nonprofit's reputation depends partially on how responsibly you manage these obligations. Armed with this step-by-step guide, you now possess the knowledge to navigate Montana's nonprofit filing requirements confidently and keep your organization legally sound for years to come.

Frequently Asked Questions