Contact UsI have a few questions about Unrelated Business Taxable Income. Is there a legal setup wherein a 501c3 charity can receive the majority of it's income from UBTI? Are there any examples of these that exist to your knowledge? How might that work?
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John Stancil
A 501C3 can lose its tax exempt status if it has an excess of UBTI.. There are no hard and fast rules, but one organization lost its tax exempt status when between 29 and 35 percent of all revenues for consecutive years. www.rcfp.org/nonprofit-news-guide/taxation-unrelated-business-taxable-income/losing-tax-exempt-status-because-too
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346 weeks ago