Nonprofit Earned Income Fundamentals

• Overview

Learn how to maintain your clients' tax exemptions and avoid the many pitfalls in this area of tax law.Many advisers to nonprofit organizations in the U.S. may be uncertain of what income earning activities are permitted, what activities may jeopardize such organizations' tax exemptions and how to manage such activities in such a way as to reduce applicable risks. With the many exceptions and exceptions to exceptions in this area of tax law, many professionals need a map of the issues.

Authors

Agenda

Basics of Nonprofit Earned Income - Consequences

• Unrelated Business Income Tax - Introduction

• Sanctions/Penalties

• Impact on Exemption

Unrelated Business Income Tax

• Detailed Rules of Operation

• Exception for Exempt Functions

• Passive Activity Exception

• Unrelated Debt-Financed Income

Reporting

• Federal Tax Returns

• Special Rules Regarding Separate Trades or Businesses