31.Entities that are tax-exempt under IRS Section 501(c)(3) with gross receipts less than $500,000 may file Form 990-N (electronic postcard).
32.Entities that are tax-exempt under IRS Section 501(c)(3) with gross receipts less than $ 500,000 and total assets less than $ 2.5 million may file Form 990-EZ
33.Tax-exempt organizations are required to disclose the compensation of its officers, directors, trustees, highest paid employees and independent contractors in the Form 990.
34.Tax-exempt organizations are required to pay tax at the corporate or trust rate on the income generated from any trade or business activities unrelated to the entity’s tax-exempt purposes.
35.Tax-exempt organizations are required to pay tax at the corporate or trust rate on the income generated from any trade or business activities unrelated to the entity’s tax exempt purpose.
36.Entities that are tax-exempt under Section 501(c)(3) of the Internal Revenue Code do not have to pay income taxes, even if some of their activities compete with commercial enterprises.
37.The purpose of the Unrelated Business Income Tax is to eliminate advantages that tax-exempt organizations have over commercial enterprises providing goods or services for sale.
38.Unrelated Business Income Tax is an excise tax, applied to the gross receipts of a business activity. Therefore allocations of expenses incurred in generating the income are irrelevant.
39.If a tax-exempt organization is found by the IRS to have paid unreasonable benefits, the individual must pay a tax penalty of 25% of the excess benefit and the individuals who approved the benefits must pay a 10% penalty.
40.Entities that are tax-exempt under IRS Section 501(c)(3) are prohibited from having surpluses (revenues exceed expenses).