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UBI Pitfalls: Don’t Lose Your Tax Exemption
Zachary Kester

As a nonprofit leader, learn how to avoid UBI pitfalls and risk losing your organization’s crucial tax exemption.

Price: $299.00

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This is a virtual event, accessible online and over the phone. Access instructions will be provided after registration.
UBI Pitfalls: Don’t Lose Your Tax Exemption

Forty-nine percent (49%) of revenue for nonprofit organizations is earned revenue—meaning it was paid as fee-for-service. An additional thirty-two percent (32%) is earned from governmental contracts or grants. Only fourteen percent (14%) of revenue comes from donations and foundation grants. It’s no wonder, then, that most nonprofits are expanding programming or business lines to increase revenue.

As long as these business lines are closely “related” to the charitable purposes of the organization, this is not a problem. But when the programming or business lines are not closely related, then they become unrelated business income (UBI), which is subject to UBI taxation (UBIT), and can—if too large—threaten the tax exemption of the organization.

This webinar will help nonprofit leaders avoid UBI pitfalls and risk losing their organization’s crucial tax exemption.

WHAT YOU'LL LEARN

Just a sampling of what this webinar will cover:

  • How to assess “relatedness” and characterize certain business activity as related, and thus non-UBI
  • Common exceptions and modifications to UBI
  • How to identify whether the activity is a “business” or whether it is acceptably passive, and thus non-UBI
  • How to structure programming or business lines to meet the UBI exceptions or modifications
  • The purpose of a “blocker corporation” structure, and how to insert such an intermediary between the business activity and the nonprofit, so as to convert UBI into “passive” income
  • AND MUCH MORE!
Price: $299.00

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PRESENTER

Zachary Kester

WHAT'S INCLUDED

  • Access your training anywhere, with a computer, tablet or smartphone.
  • Engaging and up-to-date training to support your career and your organization.
  • Handouts you can distribute to your board and staff.