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 Form CIFT 401W Unrelated Business Income Worksheet for 2024-2025

2024-2025 Form

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hi steve hoffman the tax translator here today we're going to talk about unrelated business income tax i believe every college or university has some unrelated business income tax these are this is the tax that's reported on Form 990 dashti there's three bright line test that the IRS has to determine if an activity that generates revenue is subject to unrelated business income tax what is that it's regularly carried on and once a year doesn't mean right here to carry on twice a year doesn't mean regular to carry it on you get down the quarterly more than quarterly then it's regularly carried on generally 8-5 monday through friday definitely regularly carried on the other one is if you're heading for a profit if you're in it to make a profit not just to break even and the third bright-line test is called substantially unrelated this is a huge gray area it's unrelated to your mission your purpose in life as a

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