Home / EA Course / SEE 2

Exempt organizations

SEE 2 Chapter 22 · IRS outline 3B1, 3B2, 3B3, 3B4

Joan runs the Riverside Food Pantry from a church basement, on donations and hope. The pantry wants to be official so that grocers can write off gifts. A board member has offered to sell it a van at a 'very good price', and someone suggested a coffee shop in the lobby to raise money. Nadia loves these clients, and warns Theo that they get into trouble for being too kind. Their tax rules aren't about tax rates. They're about staying what they claimed to be.

In this chapter

1. Qualifying for and keeping exempt status
2. Public charity or private foundation
3. Applying for exemption
4. Annual returns: the Form 990 series
5. Unrelated business income
6. Penalties, donors and payroll

This chapter has 6 lessons and 55 practice MCQs with explanations, plus flashcards and a recall sheet.

What this chapter covers

• Section 501(c) status
• public charities and private foundations
• Forms 1023 and 1024
• the Form 990 series
• revocation
• unrelated business income and Form 990-T

Chapter 21: Trusts and estates: Form 1041 · Chapter 23: Retirement plans for businesses