Best Free or Cheap Software for Filing Non Profit Form 990-PF?

Having prepared 990-PFs for several small foundations, I understand your frustration. Unfortunately, there aren't many truly free options for e-filing this specific form. The 990-PF is more complex than other nonprofit returns, which is why most software providers charge for it. Have you looked into MyFreeTaxes? While they don't advertise 990-PF support prominently, some smaller foundations have had success using their platform for a significantly reduced fee (around $50-75 last I checked). Another option is FileTaxes.com, which offers competitive pricing for nonprofit returns. One thing to consider is that the IRS now requires electronic filing for all Form 990s including 990-PFs. Paper filing is no longer accepted except in very limited hardship cases, so finding affordable e-filing is essential.

After struggling with the same issue for our small family foundation, I discovered taxr.ai https://taxr.ai and it's been a game-changer for our 990-PF filings. It's not completely free, but it's way more affordable than other options I tried and the interface is specifically designed for foundation returns. What I found most helpful was how it automatically flags potential audit triggers that are common on 990-PF forms, especially around required distributions and investments.

I wanted to follow up about my experience with taxr.ai after trying it for our foundation's 990-PF. I was initially skeptical, but after our accountant quoted us $1,800 for preparation fees, I decided to give it a shot. The platform was surprisingly comprehensive for foundation returns and handled our investment reporting perfectly. What sold me was the automated minimum distribution calculation - it correctly identified qualifying distributions and calculated our 5% requirement without any manual intervention. It caught a calculation error I'd been making for years! Just submitted our return last week and got confirmation of acceptance within 24 hours.

If your main issue is getting through to the IRS about specific 990-PF filing questions (which I always have), I've been using Claimyr https://claimyr.com to actually reach a live person at the IRS Tax Exempt Organization department. Before finding this service, I wasted DAYS trying to get answers about our foundation's reporting requirements. They have a video showing how it works: https://youtu.be/_kiP6q8DX5c - basically they hold your place in the phone queue and call you when an agent is ready. Saved me hours of hold time last quarter when we had questions about reporting a unique donation situation on our 990-PF.

I need to admit I was completely wrong about Claimyr. After my skeptical comment, I was desperate to get clarification on a 990-PF investment reporting issue before our filing deadline next week. I tried calling the IRS directly first and was quoted a 3.5 hour wait time. Out of desperation, I tried the Claimyr service, and they got me through to an Exempt Organization specialist in about 40 minutes. The specialist answered my specific questions about reporting program-related investments on our 990-PF. Saved me from having to file an extension or risk submitting with errors. I'll definitely use it again for our quarterly filing questions.

Has anyone tried the IRS's own e-filing portal for exempt organizations? I thought they were developing something that would eventually allow free filing for forms including the 990-PF. Is that operational yet or still in development?

Just wanted to share that I found an accountant in my area who specializes in small foundations and only charges $325 for full 990-PF preparation and e-filing. Might be worth checking local CPAs who do this work regularly - sometimes it's actually cheaper than buying software and doing it yourself when you factor in your time and stress.

I've been handling 990-PF filings for a small arts foundation for the past 3 years, and I completely understand the cost frustration. One option I haven't seen mentioned here is Drake Software's Tax Exempt module - they offer a pay-per-return option that's usually around $75-90 for 990-PF filing. It's not as user-friendly as some of the newer platforms, but it's reliable and significantly cheaper than TaxAct. Another thing to consider is timing your software purchase. Many providers offer discounts in late summer/early fall before the busy season. I managed to get TaxAct for about $120 last year by purchasing in August instead of waiting until filing season. Also, if your foundation qualifies, some local United Way chapters offer free tax preparation services for smaller nonprofits. It's worth calling to see if they have volunteers who handle 990-PF forms in your area.

I've been volunteering as a tax preparer for nonprofits for over a decade, and I wanted to add a few thoughts to this discussion. For foundations with assets under $500K, I've had good success with TaxSlayer's nonprofit module, which typically runs about $89 for 990-PF e-filing. It's not the most sophisticated interface, but it gets the job done and includes basic audit protection. One strategy I recommend to all the small foundations I work with is to join the National Association of Charitable Gift Planners or similar professional organizations. Many offer discounted software access to members, and the annual membership fee is often less than what you'd save on tax software alone. Also, don't overlook the possibility of filing for an extension if you're shopping around for better software deals. The 990-PF extension (Form 8868) is free to file and gives you additional time to find the most cost-effective solution for your actual return. Finally, for foundations doing this work year after year, consider the learning curve investment. While switching software annually to chase the lowest price might save money short-term, there's real value in becoming proficient with one platform that handles your specific reporting needs well.

I've been following this thread with great interest as our small environmental foundation faces the exact same challenges. After reading everyone's experiences, I decided to research a few additional options that might be helpful for the community. One platform I discovered is FreeTaxUSA's business/nonprofit module, which offers 990-PF filing for around $60-70. While not as feature-rich as some alternatives, it covers the basics well and includes customer support during filing season. I also wanted to mention that some regional Community Foundation associations offer shared services programs where multiple small foundations can access discounted professional tax preparation services. In our area (Pacific Northwest), we found a program that provides 990-PF preparation for $200 per foundation when you join a group of 5+ small foundations. For those considering the DIY software route, I'd recommend creating a simple spreadsheet to track your annual software costs, time invested, and any compliance issues over 2-3 years. This helped me realize that while software seems cheaper upfront, the time investment (especially for investment reporting) was costing our foundation more than we initially thought when we factored in board members' professional hourly rates. Thanks to everyone for sharing their experiences - this thread has been incredibly valuable for small foundation administrators like us who are trying to be good stewards of limited resources.