U. S. Business Income Tax Return

Note: The draft you are looking for begins on the next page.

Caution: DRAFT—NOT FOR FILING

This is an early release draft of an IRS tax form, instructions, or publication,
which the IRS is providing for your information. Do not file draft forms. We
incorporate all significant changes to forms posted with this coversheet.
However, unexpected issues occasionally arise, or legislation is passed—in this
case, we will post a new draft of the form to alert users that changes were made
to the previously posted draft. Thus, there are never any changes to the last
posted draft of a form and the final revision of the form. Forms and instructions
are subject to OMB approval before they can be officially released, so we post
drafts of them until they are approved. Drafts of instructions and pubs usually
have some additional changes before their final release. Early release drafts are
at IRS.gov/DraftForms and remain there after the final release is posted at
IRS.gov/LatestForms. Also see IRS.gov/Forms.
Most forms and publications have a page on IRS.gov: IRS.gov/Form1040 for
Form 1040; IRS.gov/Pub501 for Pub. 501; IRS.gov/W4 for Form W-4; and
IRS.gov/ScheduleA for Schedule A (Form 1040), for example, and similarly for
other forms, pubs, and schedules for Form 1040. When typing in a link, type it
into the address bar of your browser, not a Search box on IRS.gov.
If you wish, you can submit comments to the IRS about draft or final forms,
instructions, or pubs at IRS.gov/FormsComments. Include “NTF” followed by the
form or pub number (for example, “NTF1040”, “NTFW4”, “NTF501”, etc.) in the
body of the message to route your message properly. We cannot respond to all
comments due to the high volume we receive and may not be able to consider
many suggestions until the subsequent revision of the product, but we will
review each “NTF” message. If you have comments on reducing paperwork and
respondent (filer) burden, with respect to draft or final forms, please respond to
the relevant information collection through the Federal Register process; for
more info, click here.

TREASURY/IRS AND OMB USE ONLY DRAFT

2025

Instructions for Form
1120-POL
U.S. Income Tax Return for Certain Political Organizations
Section references are to the Internal Revenue Code unless
otherwise noted.

General Instructions

Future Developments

Purpose of Form

For the latest information about developments related to Form
1120-POL and its instructions, such as legislation and other
guidance issued after they were published, go to IRS.gov/
Form1120POL.

Electronic payments. If you have access to U.S. banking
services or electronic payment systems, you should use direct
deposit for any refunds and pay electronically for any payments
whenever possible.
Making a payment. If there is a balance due on Part III,
line 24, go to IRS.gov/Payments for information on how to make
a payment. See the instructions for Part III, line 24, later, for more
details.
Direct deposit. If there is an overpayment on Part III, line 25,
enter the organization's direct deposit information on Form 8050,
Direct Deposit of Tax Exempt or Government Entity Tax Refund.
See the instructions for Part III, line 25, later, for more details.

Reminders
Line 21. Tax credits. This line was expanded to include
separate lines for common tax credits such as the foreign tax
credit, other credits, and general business credit.
Section 965(a) inclusion. Section 965(a) inclusion amounts
from Form 965 are not applicable for tax year 2022 and later
years. However, if the organization continues to make tax-based
installment payments on a prior-year section 965(a) election,
continue to attach Form 965-B to Form 1120-POL.
Electronic filing. Under final regulations (T.D. 9972) issued in
February 2023, filers are required to file Form 1120-POL
electronically if they file 10 or more returns in the aggregate in a
calendar year. The regulations are effective for returns required
to be filed for tax years ending on or after December 31, 2023.
See When and Where To File for more information.

How To Get Tax Help

If you have questions about a tax issue; need help preparing
your tax return; or want to download free publications, forms, or
instructions, go to IRS.gov to find resources that can help you
right away.
Getting tax forms and publications. Go to IRS.gov/Forms to
view, download, or print all the forms, instructions, and
publications you may need. Or, you can go to IRS.gov/
OrderForms to place an order.

Phone Help

If you have questions and/or need help completing Form
1120-POL, please call 877-829-5500. This toll-free telephone
service is available Monday through Friday.

Nov 7, 2025

Who Must File

A political organization, whether or not it is tax exempt, must file
Form 1120-POL if it has any political organization taxable
income.
An exempt organization that isn’t a political organization must
file Form 1120-POL if it is treated as having political organization
taxable income under section 527(f)(1).

Political Organizations

A political organization is a party, committee, association, fund
(including a separate segregated fund described in section
527(f)(3) set up by a section 501(c) organization), or other
organization, organized and operated primarily for the purpose of
accepting contributions or making expenditures, or both, to
influence the selection, nomination, election, or appointment of
any individual to any public office or office in a political
organization, or the election of Presidential or Vice Presidential
electors. Political organizations include the following.
1. Newsletter fund if it is a fund established and maintained
by an individual who holds, has been elected to, or is a
candidate (as defined in section 527(g)(3)) for nomination or
election to any federal, state, or local elective public office. The
fund must be maintained exclusively for the preparation and
circulation of the individual’s newsletter.
2. Separate segregated fund if it is maintained by a
section 501(c) organization (exempt from tax under section
501(a)). For more information, see section 527(f)(3) and
Regulations section 1.527-6(f).

Taxable Income

Political organization taxable income (line 19) is the excess of (a)
gross income for the tax year (excluding exempt function income
(defined later)) over (b) deductions directly connected with the
earning of gross income (excluding exempt function income).
Taxable income is figured with the following adjustments.
1. A specific deduction of $100 is allowed (but not for
newsletter funds).
2. The net operating loss deduction isn’t allowed.
3. The dividends-received deduction and other special
deductions for corporations aren’t allowed. See section 527(c)
(2)(C).
Effect of failure to file Form 8871. Unless excepted (see
Other Reports and Returns That May Be Required, later), every
political organization, in order to be considered a tax-exempt
organization, must file Form 8871, Political Organization Notice
of Section 527 Status. An organization that is required to file

Instructions for Form 1120-POL (2025) Catalog Number 94018K
Department of the Treasury Internal Revenue Service www.irs.gov

DRAFT

DRAFT

What’s New

Political organizations and certain exempt organizations file Form
1120-POL to report their political organization taxable income
and income tax liability under section 527.

TREASURY/IRS AND OMB USE ONLY DRAFT
Form 8871 but fails to file it when due must include, in taxable
income for the period before Form 8871 is filed, its exempt
function income (including contributions received, membership
dues, and political fundraising receipts), minus any deductions
directly connected with the production of that income. The
organization may not deduct its exempt function expenditures
because section 162(e) denies a deduction for political
campaign expenditures.

Exempt Function and Exempt Function Income

The exempt function of a political organization includes all
activities that are related to and support the process of
influencing or attempting to influence the selection, nomination,
election, or appointment of any individual to any federal, state, or
local public office, or office of a political organization, or the
election of Presidential or Vice Presidential electors, whether or
not the individuals or electors are selected, nominated, elected,
or appointed. The term “exempt function” also means the making
of expenditures relating to the individual’s office, once selected,
nominated, elected, or appointed, but only if the expenditures
would be deductible by an individual under section 162(a).

• Contributions of money and property.
• Membership dues, fees, or assessments paid by a member of

a political party.
• Proceeds from a political fundraising or entertainment event,
or from the sale of political campaign materials, if those amounts
aren’t received in the active conduct of a trade or business.
• Proceeds from the conduct of a bingo game, as described in
section 513(f)(2).

Specified Taxable Income
Newsletter fund. Taxable income of a newsletter fund is
figured in the same manner as taxable income of a political
organization except that the specific deduction of $100 isn’t
allowed.
Exempt organization that isn’t a political organization.
Gross income for an exempt organization described in section
501(c) that isn’t a political organization should include the lesser
of:
1. The net investment income of the organization for the tax
year, or
2. The aggregate amount spent for an exempt function
during the tax year either directly or indirectly through another
organization.
Net investment income, for this purpose, is the excess of:
1. The gross amount of interest, dividends, rents, and
royalties, plus the excess, if any, of gains from the sale or
exchange of assets, over the losses from the sale or exchange of
assets; over
2. The deductions directly connected with the production of
this income.
Taxable income is figured with the adjustments shown in (1),
(2), and (3) under Taxable Income, earlier.

Who Must Sign

The return must be signed and dated by:

• The president, vice president, treasurer, assistant treasurer,
chief accounting officer; or
• Any other officer (such as tax officer) authorized to sign.
Receivers, trustees, and assignees must also sign and date
any return filed on behalf of an organization.
2

The paid preparer must complete the required preparer
information and:

• Sign the return in the space provided for the preparer’s
signature, and
• Give a copy of the return to the taxpayer.
Note: A paid preparer may sign original or amended returns by
rubber stamp, mechanical device, or computer software
program. Also, facsimile signatures are authorized.

Paid Preparer Authorization

If the organization wants to allow the IRS to discuss its 2025 tax
return with the paid preparer who signed it, check the “Yes” box
in the signature area of the return. This authorization applies only
to the individual whose signature appears in the Paid Preparer
Use Only section of the return. It doesn’t apply to the firm, if any,
shown in that section.
If the “Yes” box is checked, the organization is authorizing the
IRS to call the paid preparer to answer any questions that may
arise during the processing of its return. The organization is also
authorizing the paid preparer to:

• Give the IRS any information that is missing from its return;
• Call the IRS for information about the processing of its return

or the status of any refund or payment(s); and
• Respond to certain IRS notices that the organization may
have shared with the preparer about math errors, offsets, and
return preparation. The notices won’t be sent to the preparer.

The organization isn’t authorizing the paid preparer to receive
any refund check, bind the organization to anything (including
any additional tax liability), or otherwise represent it before the
IRS. If the organization wants to expand the paid preparer’s
authorization, see Pub. 947, Practice Before the IRS and Power
of Attorney.
However, the authorization will automatically end no later than
the due date (excluding extensions) for filing the 2026 tax return.
If the organization wants to revoke the authorization before it
ends, see Pub. 947.

When and Where To File

In general, an organization must file Form 1120-POL by the 15th
day of the 4th month after the end of the tax year.
If the due date falls on a Saturday, Sunday, or legal holiday,
the organization may file on the next business day.

Mandatory electronic filing. A filer required to file at least 10
returns of any type during the calendar year ending with or within
the tax year must file their returns electronically. “Returns” for
purposes of these instructions include information returns (for
example, Forms W-2 and Forms 1099), income tax returns,
employment tax returns (including quarterly Forms 941,
Employer’s Quarterly Federal Tax Return), and excise tax
returns. The failure to file a return electronically when required is
deemed a failure to file the return even if the filer submits a paper
return.
Any other filer can voluntarily file electronically; for general
information about electronic filing, visit IRS.gov/Efile, and see
Pub. 4163, Modernized e-File Information for Authorized IRS
e-File Providers for Business Returns. For more information
about electronic filing see Regulations section 301.6012-2.
2025 Instructions for Form 1120-POL

DRAFT

DRAFT

Exempt function income is the total of all amounts received
from the following sources (to the extent that they are separately
segregated only for use for an exempt function).

If an employee of the organization completes Form
1120-POL, the Paid Preparer Use Only area should remain
blank. In addition, anyone who prepares Form 1120-POL but
doesn’t charge the organization shouldn’t complete that section.
Generally, anyone who is paid to prepare the return must sign it
and fill in the Paid Preparer Use Only area.

TREASURY/IRS AND OMB USE ONLY DRAFT
Paper filing. Where applicable Form 1120-POL can be filed
with the:
Department of the Treasury
Internal Revenue Service Center
Ogden, UT 84201
If the organization’s principal business, office, or agency is
located in a foreign country or a U.S. territory, the address for
mailing their return should be:
Internal Revenue Service Center
P.O. Box 409101
Ogden, UT 84409
Private delivery services. Organizations can use certain
private delivery services (PDSs) designated by the IRS for paper
filing to meet the “timely mailing as timely filing” rule for tax
returns. Go to IRS.gov/PDS for the current list of designated
services.

Extension of Time To File. File Form 7004, Application for
Automatic Extension of Time To File Certain Business Income
Tax, Information, and Other Returns, to request an extension of
time to file.

Other Reports and Returns That May Be
Required

An organization that files Form 1120-POL may also be required
to file the following forms.
1. Form 8871, Political Organization Notice of Section 527
Status.
Generally, to be tax exempt, a political organization must file
this form within 24 hours of the date it is established and within
30 days of any material change in the organization. However,
don’t file this form if the organization is:
• An organization that reasonably expects its annual gross
receipts to always be less than $25,000,
• A political committee required to report under the Federal
Election Campaign Act of 1971 (2 U.S.C. 431 et seq.),
• A political committee of a state or local candidate,
• A state or local committee of a political party, or
• A tax-exempt organization described in section 501(c) that is
treated as having political organization taxable income under
section 527(f)(1).
2. Form 8872, Political Organization Report of Contributions
and Expenditures (periodic reports are required during the
calendar year).
Generally, a political organization that files Form 8871 and
accepts a contribution or makes an expenditure for an exempt
function during the calendar year must file this form. However,
this form isn’t required to be filed by an organization excepted
from filing Form 8871 (see (1) earlier), or a qualified state or local
political organization (QSLPO) (see the Instructions for Form
8871 and Rev. Rul. 2003-49, 2003-20 I.R.B. 903, for the
definition of a QSLPO).
3. Form 990, Return of Organization Exempt From Income
Tax, or Form 990-EZ, Short Form Return of Organization
Exempt From Income Tax.
An exempt political organization must also file one of these
forms if its annual gross receipts are $25,000 or more ($100,000
or more for a QSLPO).
2025 Instructions for Form 1120-POL

Accounting Methods

Figure taxable income using the method of accounting regularly
used in keeping the organization’s books and records. Generally,
permissible methods include:

• Cash,
• Accrual, or
• Any other method authorized by the Internal Revenue Code.

DRAFT

DRAFT

For the IRS mailing address to use if you’re using a PDS, go
to IRS.gov/PDSStreetAddresses. PDSs can’t deliver items to
P.O. boxes. You must use the U.S. Postal Service to mail any
item to an IRS P.O. box address.

The following political organizations aren’t required to file
Form 990 or Form 990-EZ.
• Any political organization excepted from the requirement to
file Form 8871.
• Any caucus or association of state or local officials.
See the instructions for Form 990 or Form 990-EZ.
4. Form 8997, Initial and Annual Statement of Qualified
Opportunity Fund (QOF) Investments.
Use Form 8997 to identify qualified investments held in a
qualified opportunity fund at any time during the year. If the
organization held a qualified investment in a qualified opportunity
fund at any time during the year, the organization must file Form
1120-POL with Form 8997 attached. See the Instructions for
Form 8997.
5. Form 8992, U.S. Shareholder Calculation of Global
Intangible Low-Taxed Income (GILTI).
Use Form 8992 to figure the domestic corporation’s GILTI and
attach it to Form 1120-POL. See section 951A for more
information.

In all cases, the method used must clearly show taxable
income.
Change in accounting method. Generally, the organization
may only change the method of accounting used to report
taxable income (for income as a whole or for any material item)
by getting consent on Form 3115, Application for Change in
Accounting Method. For more information, see Pub. 538,
Accounting Periods and Methods.

Accounting Period

The organization must figure its taxable income on the basis of a
tax year. The tax year is the annual accounting period the
organization uses to keep its records and report its income and
expenses. The tax year can be a calendar year or a fiscal year.
However, an organization that doesn’t keep books or doesn’t
have an annual accounting period must use the calendar year as
its tax year. A new organization adopts its tax year by filing its
first income tax return using that tax year.
Change of tax year. After the organization has adopted a tax
year, it must get the consent of the IRS to change its tax year by
filing Form 1128, Application To Adopt, Change, or Retain a Tax
Year. See Regulations section 1.442-1 and Pub. 538.

Rounding Off to Whole Dollars

The organization may round off cents to whole dollars on the
return and accompanying schedules. If the organization does
round to whole dollars, it must round all amounts. To round, drop
amounts under 50 cents and increase amounts from 50 to 99
cents to the next dollar. For example, $1.39 becomes $1 and
$2.50 becomes $3.
If two or more amounts must be added to figure the amount to
enter on a line, include cents when adding the amounts and
round off only the total.

3

TREASURY/IRS AND OMB USE ONLY DRAFT
Federal Tax Deposits Must Be Made by
Electronic Funds Transfer

Organizations must use electronic funds transfer to make all
federal deposits (such as deposits of estimated tax, employment
tax, and excise tax).
Electronic Federal Tax Payment System (EFTPS). Payment
of the tax due may be submitted electronically through EFTPS.
EFTPS is a free service of the Department of the Treasury. See
IRS.gov/EFTPS and EFTPS.gov for more information.
Same-day wire. Payment of the tax due may be submitted
electronically through same-day wire from the organization’s
financial institution. Contact the organization’s financial
institution for availability, cost, and time frames. See IRS.gov/
SameDayWire for the worksheet and more information.

Caution: If the organization owes tax when it files Form
1120-POL, don’t include the payment with the tax return.
Instead, use EFTPS.

Interest and Penalties
Interest
Interest is charged on taxes paid late even if an extension of time
to file is granted. Interest is also charged on penalties imposed
for failure to file, negligence, fraud, gross valuation
overstatements, and substantial understatement of tax from the
due date (including extensions) to the date of payment. The
interest charge is figured at a rate determined under section
6621.

Penalties
Penalties may be imposed if the organization is required to file
Form 1120-POL and it fails to file the form by the due date. The
following penalties may apply if the organization doesn’t file its
tax return by the due date, including extensions.
Late filing of return. The organization may be charged a
penalty of 5% of the unpaid tax for each month or part of a month
the return is late, up to a maximum of 25% of the unpaid tax. The
minimum penalty for a return that is more than 60 days late is the
smaller of the tax due or $525. If the organization receives a
notice about a penalty after this return is filed, reply to the notice
with an explanation and we will determine if reasonable-cause
criteria is met. Do not include an explanation when filing the
return.
Late payment of tax. An organization that doesn’t pay the tax
when due may generally have to pay a penalty of ½ of 1% of the
unpaid tax for each month or part of a month the tax isn’t paid,
up to a maximum of 25% of the unpaid tax. If the organization
receives a notice about a penalty after this return is filed, reply to
the notice with an explanation and we will determine if
reasonable-cause criteria is met. Do not include an explanation
when filing the return.
Other penalties. Other penalties can be imposed for
negligence, substantial understatement of tax, and fraud. See
sections 6662 and 6663.
4

Attach Form 4136, Credit for Federal Tax Paid on Fuels, after
page 2 of Form 1120-POL. Attach schedules in alphabetical
order and other forms in numerical order after Form 4136.
Complete every applicable entry space on Form 1120-POL.
Do not write “See attached” instead of completing the entry
spaces. If more space is needed on the forms or schedules,
attach separate sheets using the same size and format as on the
printed forms. Show the totals on the printed forms. Attach these
separate sheets after all the schedules and forms. Be sure to put
the organization’s name and EIN on each sheet.

Specific Instructions
Period covered. File the 2025 return for calendar year 2025
and fiscal years that begin in 2025 and end in 2026. For a fiscal
year, fill in the tax year space at the top of the form.
Note: The 2025 Form 1120-POL may also be used if:
• The organization has a tax year of less than 12 months that
begins and ends in 2026, and
• The 2026 Form 1120-POL isn’t available at the time the
organization is required to file its return. The organization must
show its 2026 tax year on the 2025 Form 1120-POL and take
into account any tax law changes that are effective for tax years
beginning after 2025.
Address. Include the suite, room, or other unit number after the
street address. If the post office doesn’t deliver mail to the street
address and the organization has a P.O. box, show the box
number instead of the street address.
Final return, name change, address change, or amended
return. If the organization ceases to exist, check the “Final
return” box.
If the organization has changed its name since it last filed a
return, check the “Name change” box.
If the organization has changed its address since it last filed a
return, check the “Address change” box.
Note: If a change in address occurs after the return is filed, the
organization should use Form 8822-B, Change of Address or
Responsible Party—Business, to notify the IRS of the new
address.
Amended return. If the organization is filing an amended Form
1120-POL:
• Check the “Amended return” box,
• Complete the entire return,
• Correct the appropriate lines with the new information, and
• Refigure the tax liability.
Attach a sheet that explains the reason for the amendments
and identifies the lines and amounts being changed on the
amended return. Generally, the amended return must be filed
within 3 years after the date the original return was due or 3
years after the date the organization filed it, whichever is later.
Employer identification number (EIN). Enter the nine-digit
EIN assigned to the organization. If the organization doesn’t
have an EIN, it must apply for one. An EIN can be applied for
online by going to IRS.gov/EIN. The organization may also apply
for an EIN by faxing or mailing Form SS-4 to the IRS. Customers
outside the United States or U.S. territories may also apply for an
EIN by calling 267-941-1099 (toll call).
The online application process isn’t yet available for
organizations with addresses in foreign countries.
If the organization hasn’t received its EIN by the time the
return is due, write “Applied for” in the space provided for the
EIN. See Pub. 583, Starting a Business and Keeping Records,
for details.
2025 Instructions for Form 1120-POL

DRAFT

DRAFT

Deposits on business days only. If a deposit is required to be
made on a day that isn’t a business day, the deposit is
considered timely if it is made by the close of the next business
day. A business day is any day other than a Saturday, Sunday, or
legal holiday. For example, if a deposit is required to be made on
a Friday and Friday is a legal holiday, the deposit will be
considered timely if it is made by the following Monday (if that
Monday is a business day). The term “legal holiday” means any
legal holiday in the District of Columbia.

Assembling the Return

TREASURY/IRS AND OMB USE ONLY DRAFT

Line 7. Other income and nonexempt function expenditures. Enter the income from other sources, such as the
following.
• Exempt function income that wasn’t properly segregated for
exempt functions.
• Income received in the ordinary course of a trade or business.
• Ordinary income from the trade or business activities of a
partnership (from Schedule K-1 (Form 1065), Partner’s Share of
Income, Deductions, Credits, etc., Part III, box 1).
• Exempt function income (minus any deductions directly
connected with the production of that income) taxable under
section 527(i)(4) for failure to timely file Form 8871. Include
amounts whether or not segregated for use for an exempt
function.
Also include on this line:

• Expenditures that were made from exempt function income

that weren’t for an exempt function and resulted in direct or
indirect financial benefit to the political organization (see
Regulations section 1.527-5 for examples), and
• Illegal expenditures.
Attach a schedule listing all income and expenditures
included on line 7.

Line 17. Taxable income before specific deduction of $100.
Political organizations, newsletter funds, and separate
segregated funds figure their tax by subtracting line 16 from
line 8 and entering the result on line 17c.
Exempt organizations (section 501(c)) that aren’t
political organizations. Complete lines 17a and 17b if the
organization made exempt function expenditures that weren’t
from a separate segregated fund. Enter on line 17c the smaller
of line 17a or 17b. See Exempt organization that isn’t a political
organization, earlier, for an explanation of the amounts to enter
on these lines.
Line 19. Taxable income. If the taxable income on line 19 is
zero or less, the Form 1120-POL isn’t required to be filed, but it
may be filed to start the statute of limitations period.
Line 20. Income tax. The tax rate for Form 1120-POL filers is
21%. Figure the tax by multiplying line 19 by 21% (0.21) and
enter the result on line 20.
Note: Estimated tax and alternative minimum tax don’t apply to
political organizations.
If Form 8978, Partner’s Additional Reporting Year Tax, was
filed, attach it to Form 1120-POL. Do not enter any amount from
Form 8978, line 14, on line 20.
Line 21. Tax credits. The organization may qualify for the
following credits.
• 21a, Foreign tax credit. See Form 1118, Foreign Tax
Credit—Corporations.
• 21b, Other credits. These credits can include the employer
credit for paid family and medical leave (see Form 8994,
employer credit for paid family and medical leave), and qualified
2025 Instructions for Form 1120-POL

electric vehicle credit (carryforward ONLY) (see Form 8834,
Qualified Electric Vehicle Credit).
• 21c, General business credit (excluding the small employer
health insurance premium credit, the work opportunity credit, the
empowerment zone employment credit, and the credit for
employer differential wage payments). See Form 3800, General
Business Credit.
Enter the total amount of qualified credits on line 21d and
attach the applicable credit forms.
If Form 8978 was filed, attach it to Form 1120-POL. Do not
enter any amount from Form 8978, line 14, on line 21.
Line 22. Total tax. If the political organization must recapture
any of the qualified electric vehicle credit, include the amount of
the recapture in the total for line 22. On the dotted line next to the
entry space, write “QEV recapture” and the amount. See
Regulations section 1.30-1 for details on how to figure the
recapture.
Line 23. Payments. The organization may have the following
payment types.
• Line 23a. Tax deposited with Form 7004.
• Line 23b. Credit for tax paid on undistributed capital gains.
Attach Form 2439.
• Line 23c. Credit for federal tax on fuels. Attach Form 4136.
• Line 23d. Elective payment election amount from Form 3800
(section 527 organization only). Enter on line 23d the total net
elective payment election amount from Form 3800, Part III,
line 6, column (j). See the Instructions for Form 3800.
Enter the total amount of payments on line 23e and attach the
applicable forms.
Line 24. Tax Due. If the amount on line 22 is more than the
amount on line 23e, subtract line 23e from line 22. This is the
amount owed.
Payments made to the federal government must be
processed electronically. Go to IRS.gov/Payments for more
information on how to make a payment and also see Federal Tax
Deposits Must Be Made by Electronic Funds Transfer, earlier.
What if I Can’t Pay Now? Apply for an online payment
agreement (IRS.gov/OPA) to meet the tax obligation in monthly
installments if the organization can’t pay in full today. Once the
online process is complete, the organization will receive
immediate notification of whether the agreement has been
approved.
Line 25. Overpayment. If the organization has access to U.S.
banking services, the organization should use direct deposit for
any refunds whenever possible. See IRS.gov/DirectDeposit for
more information.
Direct deposit is available for this form. If there is an
overpayment when filing the return, complete and attach Form
8050 to input the organization's direct deposit information. For
details, see Form 8050 for instructions.

Additional Information
Line 26. Foreign financial accounts. Check the “Yes” box if
either (1) or (2) applies to the organization. Otherwise, check the
“No” box.
1. At any time during the 2025 calendar year, the
organization had a financial interest in or signature or other
authority over a bank, securities, or other types of financial
accounts in a foreign country; and
• The combined value of the accounts was more than $10,000
at any time during the calendar year; and
• The accounts weren’t with a U.S. military banking facility
operated by a U.S. financial institution.
2. The organization owns more than 50% of the stock in any
corporation that would answer “Yes” to item (1) above.
5

DRAFT

DRAFT

Income and deductions. Campaign contributions and other
exempt function income are generally not includible in income;
likewise, campaign expenditures and other exempt function
expenditures aren’t deductible. To be deductible in figuring
political organization taxable income, expenses must be directly
connected with the production of political organization taxable
income. In those cases where expenses are attributable to the
production of both exempt function income and political
organization taxable income, the expenses should be allocated
on a reasonable and consistent basis. Only the portion allocable
to the production of political organization taxable income may be
deducted. No deduction is allowed for general administrative or
indirect expenses.

TREASURY/IRS AND OMB USE ONLY DRAFT
See FinCEN Form 114, Report of Foreign Bank and Financial
Accounts (FBAR), to find out if the organization is considered to
have an interest in or signature or other authority over a financial
account in a foreign country.
If “Yes” is checked for this question, file FinCEN Form 114
electronically with the Department of the Treasury using
FinCEN’s BSA E-Filing System. Because FinCEN Form 114 isn’t
a tax form, don’t file it with Form 1120-POL.
See FINCEN.gov for more information.
Also, if “Yes” is checked for this question, enter the name of
the foreign country or countries. Attach a separate sheet if more
space is needed.

You aren’t required to provide the information requested on a
form that is subject to the Paperwork Reduction Act unless the
form displays a valid OMB control number. Books or records
relating to a form or its instructions must be retained as long as
their contents may become material in the administration of any
Internal Revenue law. Generally, tax returns and return
information are confidential, as required by section 6103.

Line 27. If checked “Yes” to line 27, the organization may be
required to file Form 3520, Annual Return To Report
Transactions With Foreign Trusts and Receipt of Certain Foreign
Gifts. For details, see the Instructions for Form 3520.

If you have comments concerning the accuracy of these time
estimates or suggestions for making this form simpler, we would
be happy to hear from you. You can send us comments from
IRS.gov/FormComments. Or you can write to:

Line 28. In the space provided, show any tax-exempt interest
income received or accrued. Include any exempt-interest
dividends received as a shareholder in a mutual fund or other
regulated investment company.
Paperwork Reduction Act Notice. We ask for the information
on this form to carry out the Internal Revenue laws of the United
States. You are required to give us the information. We need it to
ensure that you are complying with these laws and to allow us to
figure and collect the right amount of tax.

6

Internal Revenue Service
Tax Forms and Publications
1111 Constitution Ave. NW, IR-6526
Washington, DC 20224
Although we can’t respond individually to each comment
received, we do appreciate your feedback and will consider your
comments as we revise our tax products.
Do not send the form to this office. See When and Where To
File, earlier.

2025 Instructions for Form 1120-POL

DRAFT

DRAFT

Note: An owner of a foreign trust must ensure that the trust files
an annual information return on Form 3520-A, Annual
Information Return of Foreign Trust With a U.S. Owner. For
details, see the Instructions for Form 3520-A.

The time needed to complete and file this form will vary
depending on individual circumstances. The estimated burden
for business taxpayers filing this form is approved under OMB
control number 1545-0123 and 1545-0047 and is included in the
estimates shown in the Instructions for Form 1120.

TREASURY/IRS AND OMB USE ONLY DRAFT
Index

A
Accounting Methods 3
Accounting Period 3
Amended return 4

E
Employer identification number 4
Exempt Function and Exempt
Function Income 2
Exempt organizations (section
501(c)) that aren’t political
organizations 5
Federal Tax Deposits Must Be Made
by Electronic Funds Transfer 4
Foreign financial accounts 5
Form 8871 3
Form 8872 3
Form 8992 3
Form 8997 3

G
General Instructions:
Purpose of Form 1
Who Must File 1

Period covered 4
Political Organizations 1

S
Specific Instructions 4
Specified Taxable Income 2

I

T

Income and deductions 5
Income tax 5
Interest and Penalties 4

Tax credits 5
Taxable income 5
Taxable Income 1
Taxable income before specific
deduction of $100 5
Total tax 5

O
Other income and nonexempt
function expenditures 5
Other Reports and Returns That May
Be Required 3

P
Paid Preparer Authorization 2
Payments 5

W
What’s New 1
When and Where To File 2
Who Must Sign 2

DRAFT

DRAFT

F

Form 990 3

7