Raising Funds and Distinguishing between Program Service Revenue and Unrelated Business Income

Christian Shaeffer Non Profit Exempt Organizations, Uncategorized Leave a Comment

As you consider new and additional ways to fulfill your exempt purpose mission and raise funds for your nonprofit, you may have the opportunity to engage in an activity that is an exchange transaction and generates revenue (think store that sells product or service). If the activity is considered a Program Service, the revenue generated is exempt from income tax. …