In the context of scientific organizations, the IRS states that unrelated business income tax (UBIT) issues generally occur in two situations: (1) a scientific research organization (SRO) engaging in various projects or (2) a tax-exempt non-SRO engaging in research. “Scientific purpose” and “scientific research” are commonly seen phrases in the governing documents for 501(c)(3) tax-exempt […]
501(c)(3)
Citizens United Ruling
On January 21, 2010, the United States Supreme Court ruled in Citizens United v. Federal Election Commission that corporations (including nonprofit corporations and unions) may make direct expenditures on political advertising in support of or in opposition to a candidate for public office. While nonprofit leaders and commentators are still analyzing what this means for […]
Amateur Athletic Organizations
To qualify for 501(c)(3) tax exempt status, an amateur athletic organization must fall under one of three rationales endorsed by the IRS: An organization is educational by either teaching sports to youth or being affiliated with an educational organization. Such organizations may also provide facilities and equipment. An organization that “develops, promotes, and regulates a […]