The Catholic University of America

Summary of District of Columbia Laws

Tax

Income and Franchise Tax Exemption

D.C. Code Ann. § 47-1802.1 et seq.

The Law: Certain organizations are exempt from income and franchise taxation, except that such organizations may have unrelated business income subject to taxation under I.R.C. § 511. These exempt organizations include (but are not limited to) corporations organized and operated exclusively for religious, charitable, scientific, literary, or education purposes. No part of the net earnings may benefit any private individual or shareholder or for carrying on propaganda or influencing legislation (except as provided by I.R.C. § 501(h)) and does not participate or intervene in political campaigning.

Reference: For Income and Franchise Taxes generally, see D.C. Code Ann. §§ 47-1801.01 to 47-1816.03 which contains additional provision for income tax returns, tax for corporations and financial institutions, tax on estates and trust, etc.

updated 2/18/08 AAA
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Page checked August 5th, 2010, FJL.