Remove understanding-unrelated-business-income-in-nonprofits
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Understanding Unrelated Business Income in Nonprofits

The Charity CFO

If you know only one thing about 501(c)(3) nonprofit organizations , you probably know that they don’t pay federal taxes on their income. . However, as detailed in Publication 598 of the Internal Revenue Service, income not directly related to their declared charitable purpose is subject to federal taxation.

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Discovering The Tax Implications of Nonprofits Owning For-Profit Businesses

The Charity CFO

Does your nonprofit have ownership of a for-profit entity? Whether your organization owns a for-profit company outright or has limited ownership, a for-profit subsidiary can have serious tax implications for your nonprofit. The IRS can potentially charge your organization federal income taxes on your unrelated earnings.

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Corporate Partnerships & The Law: Unrelated Business Income Tax (UBIT)

Selfish Giving

Today, our legal expert, Karen Wu of Perlman & Perlman , is answering your questions on unrelated business income tax (UBIT). Today, our legal expert, Karen Wu of Perlman & Perlman , is answering your questions on unrelated business income tax (UBIT). How do we avoid creating taxable income?

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Nonprofit Tax Filing: 7 Steps to Peace of Mind

The Charity CFO

Nonprofit leaders have an especially hard time understanding, preparing and filing their returns. They’re ever busy trying to make a positive difference in their communities, which is why tax filing often comes as an afterthought. Fortunately, filing taxes for a nonprofit doesn’t need to be stressful.

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Legislative Update – March 22

MNA Association

Thanks to all who reached out to committee members and the sponsor about SB507, the bill that would have repealed property tax exemption for any nonprofit with UBIT. Congrats you amazing nonprofit rockstars!! We are leaning toward making it as good as it can be for nonprofits but not ready to commit yet. in Senate Taxation.

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Do Nonprofits Pay taxes? It’s Complicated.

The Charity CFO

Many nonprofit founders think that they won’t have to worry about taxes. It simply means that you don’t have to pay most federal and state income taxes. So if you’re new to nonprofit accounting , you shouldn’t make too many assumptions about which taxes you will (or won’t) have to pay. .

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Newsletter: Do Cause Marketers Go to Jail? ; Coke's 'Peace Tea' Rewards Random Acts of Kindness??; Where the Hell is Geoffrey the Giraffe??

Selfish Giving

It is not actually “illegal” for nonprofits to promote their partnerships – rather, the main potential consequence is that the money the nonprofit receives from those partnerships could be viewed as taxable advertising income, rather than nontaxable contribution or royalty income. Thanks, Karen. You're the best!