"I thought since we were a governmental unit that we didn't have to file with the IRS."
A 990 form outlines an agency's revenue and tells how the money is spent.
Young contacted the IRS as soon as he received the letter on Monday, he said.
Young has turned in 990 forms for 2009, 2010 and 2011, he said. The Nitro Convention and Visitors Bureau first started doing business in 2009, he said.
The agency operates on a budget of about $118,000 a year, he said. About 95 percent comes from the hotel/motel tax, Young said. The rest comes from fundraising.
Young pointed out that the State Auditor's Office audited the town of Nitro and all of its agencies, including the visitors bureau, in 2011 and no financial shenanigans had been found.
"But that doesn't mean I shouldn't have filed the forms," he added, "because I should have."
Casebolt believes the problem will be corrected quickly.