Tax Planning and Compliance for Tax-Exempt Organizations, Fifth Edition 2016 Cumulative Supplement
Buy Rights Online Buy Rights

Rights Contact

No rights contact to display

More About This Title Tax Planning and Compliance for Tax-Exempt Organizations, Fifth Edition 2016 Cumulative Supplement

English

An essential, timesaving guide for accountants, lawyers, nonprofit executives and directors, consultants, and volunteers, the Tax Planning and Compliance for Tax-Exempt Organizations: Rules, Checklists, and Procedures, Fifth Edition is an indispensable guide to navigating the complex maze of nonprofit tax rules and regulations. Along with clear, concise instructions for filing Forms 990 and other important IRS forms and documents, this practical guide covers the significant issues facing nonprofit organizations, including unrelated business income, private inurement, affiliations, and employment taxes. It also provides practical guidance on obtaining the tax exemption; reporting to boards, auditors, and the IRS; testing ongoing tax compliance; and managing lobbying expenditure.

English

Preface ix

PART I QUALIFICATIONS OF TAX-EXEMPT ORGANIZATIONS 1

CHAPTER 2 Qualifying Under IRC § 501(c)(3) 3

*§ 2.2 Operational Test 3

CHAPTER 4 Charitable Organizations 5

§ 4.2 Promotion of Social Welfare 5

§ 4.3 Lessening Burdens of Government 5

§ 4.6 Promotion of Health 6

CHAPTER 5 Educational, Scientific, and Literary Purposes, and Prevention of Cruelty to Children and Animals 17

§ 5.1 Educational Purposes 17

§ 5.4 Testing for Public Safety 18

CHAPTER 6 Civic Leagues and Local Associations of Employees: § 501(c)(4) 19

§ 6.1 Comparison of (c)(3) and (c)(4) Organizations 19

§ 6.2 Qualifying and Nonqualifying Civic Organizations 20

*§ 6.4 Neighborhood and Homeowner’s Associations 21

§ 6.5 Disclosures of Nondeductibility 22

CHAPTER 8 Business Leagues: § 501(c)(6) 23

§ 8.2 Meaning of “Common Business Interest” 23

§ 8.3 Line of Business 23

§ 8.4 Rendering Services for Members 24

CHAPTER 9 Social Clubs: § 501(c)(7) 25

§ 9.4 Revenue Tests 25

CHAPTER 10 Instrumentalities of Government and Title-Holding Organizations 27

*§ 10.2 Governmental Units 27

§ 10.3 Qualifying for § 501(c)(3) Status 27

CHAPTER 11 Public Charities 29

§ 11.1 Distinction between Public and Private Charities 29

§ 11.2 “Inherently Public Activity” and Broad Public Support § 509(a)(1) 29

§ 11.6 Supporting Organizations § 509(a)(3) 31

PART II STANDARDS FOR PRIVATE FOUNDATIONS 43

CHAPTER 12 Private Foundations—General Concepts 45

§ 12.2 Special Rules Pertaining to Private Foundations 45

§ 12.4 Termination of Private Foundation Status 46

CHAPTER 13 Excise Tax Based on Investment Income: IRC § 4940 51

§ 13.2 Capital Gains 51

CHAPTER 14 Self-Dealing: IRC § 4941 53

§ 14.1 Definition of Self-Dealing 53

§ 14.2 Sale, Exchange, or Lease of Property 54

§ 14.3 Loans 56

*§ 14.4 Compensation 57

§ 14.5 Transactions That Benefit Disqualified Persons 58

§ 14.7 Sharing Space, People, and Expenses 58

§ 14.9 Property Held by Fiduciaries 59

§ 14.10 Issues Once Self-Dealing Occurs 59

CHAPTER 15 Minimum Distribution Requirements: IRC § 4942 61

§ 15.1 Assets Used to Calculate Minimum Investment Return 61

§ 15.2 Measuring Fair Market Value 62

§ 15.4 Qualifying Distributions 62

§ 15.6 Satisfying the Distribution Test 70

CHAPTER 16 Excess Business Holdings and Jeopardizing Investments: IRC §§ 4943 and 4944 75

§ 16.1 Excess Business Holdings 75

§ 16.2 Jeopardizing Investments 77

§ 16.3 Program-Related Investments 78

§ 16.4 Penalty Taxes 80

CHAPTER 17 Taxable Expenditures: IRC § 4945 81

*§ 17.1 Lobbying 81

§ 17.3 Grants to Individuals 82

§ 17.4 Grants to Public Charities 85

§ 17.5 Grants to Foreign Organizations 87

*§ 17.8 Excise Tax Payable 88

PART III OBTAINING AND MAINTAINING TAX-EXEMPT STATUS 115

CHAPTER 18 IRS Filings, Procedures, and Policies 117

§ 18.1 Determination Process 117

§ 18.2 Annual Filing of Forms 990 128

§ 18.3 Reporting Organizational Changes to the IRS 134

§ 18.4 Weathering an IRS Examination 134

CHAPTER 19 Maintaining Exempt Status 155

§ 19.1 Checklists 155

CHAPTER 20 Private Inurement and Intermediate Sanctions 161

§ 20.1 Defining Inurement 162

§ 20.2 Salaries and Other Compensation 163

§ 20.8 Services Rendered for Individuals 163

§ 20.10 Intermediate Sanctions 163

CHAPTER 21 Unrelated Business Income 165

§ 21.1 IRS Scrutiny of Unrelated Business Income 165

*§ 21.4 Definition of Trade or Business 166

§ 21.5 What Is Unrelated Business Income? 166

§ 21.7 “Substantially Related” 166

§ 21.8 Unrelated Activities 167

§ 21.10 Income Modifications 170

§ 21.11 Calculating and Minimizing Taxable Income 171

§ 21.12 Debt-Financed Property 172

§ 21.13 Museums 173

§ 21.15 Publishing 173

CHAPTER 23 Electioneering and Lobbying 175

§ 23.1 Election Campaign Involvement 175

§ 23.2 Voter Education versus Candidate Promotion 175

CHAPTER 24 Deductibility and Disclosures 177

*§ 24.1 Overview of Deductibility 177

§ 24.2 Substantiation and Quid Pro Quo Rules 180

CHAPTER 25 Employment Taxes 181

§ 25.2 Ministers 181

Index 185

loading