Section 23778 - Relief from Revocation of Exempt Status(a) An organization whose exemption was revoked under Section 23777 may reestablish itself as an exempt organization upon the filing of: (1) A new application for exemption and payment of the twenty-five dollar ($25) filing fee required under Section 23701; and(2) Any information returns, statements, notifications, or amounts due under Section 23772, 23774 or 23775 which were not previously submitted or paid which resulted in the revocation; and(3) When revocation occurred because of the conduct of improper activities of the organization, satisfactory proof must be furnished that the improper activities have ceased and that the organization will operate in an exempt manner in the future and the payment of any tax due for the period it operated as a taxable organization.(b) Where the organization or trust was granted an exemption in 1968 or subsequent years, abbreviated information may be furnished to support the exemption application if the revocation occurred for failure to submit a return or statement or to pay an annual filing fee. (1) Complete page one of the application and the appropriate question number 11 through 21.(2) Do not furnish a copy of the constitution or bylaws or trust document unless they have been revised after exemption was granted.(3) Furnish a statement of all significant activities conducted during the last three years.(4) Submit any returns, or statements, or filing fees, or assessments made under Section 23703 that have not been submitted that resulted in the revocation. Any time a $10.00 filing fee is due and it will be paid late, it is automatically increased to $25.00.(5) Where a Form 199 must be submitted for December, 1971, or later, a penalty of $5.00 a month not exceeding $40.00 is due unless there is a reasonable cause for the late filing of the report.(c) Organizations or trusts which were granted an exemption prior to 1968 should furnish all the information required on page two of the exemption application, including the information requested in subdivision (b) above.(d) Organizations whose exemption was revoked for improper activities must include a copy of the revocation letter, a detailed statement as to the change of activities, and a description of action that has been taken to prevent the reoccurrence of the improper activities in addition to all the information required on the exemption application. Copies of any income tax returns submitted during the period the organization was taxable (not to exceed the three latest years) must be submitted.Cal. Code Regs. Tit. 18, § 23778
1. Amendment of subsections (a)(1) and (b)(4) filed 8-25-88; operative 9-24-88 (Register 88, No. 36). Note: Authority cited: Section 26422, Revenue and Taxation Code. Reference: Section 23778, Revenue and Taxation Code.
1. Amendment of subsections (a)(1) and (b)(4) filed 8-25-88; operative 9-24-88 (Register 88, No. 36).