Author Description

" ... describes and analyzes basic principles of [section] 511 through [section] 513 pertaining to the tax on unrelated business taxable income of charities and other exempt organizations. The purpose of the tax is to alleviate unfair competition by exempt organizations with taxable enterprises engaged in similar business endeavors. While most exempt organizations are subject to the tax, not all business income is taxed. Thus, in providing tax representation to an exempt organization, the key determinations are whether the organization derived income subject to the tax and, if so, whether any exceptions or exclusions apply under which the income may escape taxation. From a planning perspective, the tax practitioner should consider whether an organization's business activities can be structured either so that gross income from the activity is not subject to the tax or so that an exception or exclusion applies"--Portfolio description (Page iii)