RSO Taxes
As shared in the annual Registered Student Organization (RSO) training, the vast majority of student organizations registered with Michigan Tech are considered separate entities that are responsible for their own decision-making, liability, and finances. Many organizations, therefore, have their own Employer Identification Numbers (EINs), bank accounts, and legal obligation to file taxes annually.
Many RSOs would be eligible for tax-exempt status. A tax-exempt entity is an organization that is exempt from paying federal and state taxes. This includes groups such as religious organizations, educational institutions, charitable organizations, and social clubs. To be considered tax-exempt, an organization must meet certain requirements set forth by the Internal Revenue Service (IRS) and apply to be recognized. RSOs are not exempt through the university and do not have that status unless they have sought and received it on their own. Tax-exempt organizations must still file an annual information return or notice with the IRS.
Please note that groups closely affiliated with the university, such as SBGs, housing associations, and some academic groups, operate within the university structure. If your primary funds are through a university index, this is likely the case for your organization. Please respond to this email if you are unsure if this applies to your group.
Student Leadership and Involvement (SLI) and Undergraduate Student Government (USG) recognize that applying for tax-exempt status and filing annual returns on behalf of your organization can be intimidating and difficult to navigate. Over the last year, we have worked together to help identify a solution to support our many dedicated student organizations in managing these processes.
We are pleased to formally announce that we have contracted with Omega Fi to assist organizations in addressing these concerns. Through our contract with Omega Fi, they will provide:
- A tracking dashboard for SLI to view RSO’s tax-exempt and filing statuses
- Professional support hours to assist RSOs in filing for tax-exempt status, filing for reinstatement if their status has been revoked, and completing annual filings
- Discounted rates to file taxes through file990.org, a platform similar to TurboTax, specific to tax-exempt organizations.
The professional support hours will be available at no cost to registered groups. Our current contract spans four years, so it is important to note that we will only be able to assist a small portion of organizations each year. Groups will be selected in priority order based on their annual revenue and expenses and their current tax status in consultation with Omega Fi.
Thank you to Undergraduate Student Government for supporting this initiative!
Next Steps:
- Have Questions or Want to Learn More? Attend the RSO Tax-Exempt Info Meeting
To help onboard RSOs to this process, SLI is hosting a meeting to talk about the steps and timeline for the process. There will also be a Q&A time for you to ask your questions. The meeting will be on November 13, from 4:30–5 pm in EERC 103. This meeting will also be recorded and shared with RSO officers.
- INFORMATION NEEDED: RSO EINs
To fully understand the needs of each organization, we need your organization to share your EIN by completing this form. An EIN is a federal tax ID number for businesses, tax-exempt organizations, and other entities. If your RSO opened a bank account, you have an EIN. If you do not know your EIN, you may call your bank and request this information or reference the IRS website for recovering your EIN. Providing your EIN will allow us to know your organization’s current status, track your status over time, and provide timely advice. It will also allow your organization to benefit from the reduced filing fee through file990.org. If you have shared your EIN during re-registration or via email, you do not need to complete the form again.
Upcoming RSO Council Meetings
- Presentation/Q&A with Catering
Monday, November 3rd, from 4:00–5:00 PM. Catering staff will be available to answer your questions and provide guidance. Don’t miss this opportunity to connect, learn, and get the support you need for a successful semester. Location: MUB Superior Room (Basement)
- Presentation/Q&A with Husky Motors
Wednesday, November 5th, from 4:00-5:00 PM. Husky Motors and SLI Staff will share important policy changes and answer any questions. Location: EERC 100