Publications, Video, & Web Tutorial

 

IRS Counsel memorandum dated Oct. 22, 2008 (released July 2009) titled Income and Tax Consequences and Proper Reporting of Employment -Related Judgements and Settlements. See also the McDemott, Will and Emery summary of the four step process for determining tax treatment of employment related settlement payments, i.e. is it a wage or non-wage payment.  The memorandum also includes a chart that lists for each type of payment whether it is taxable income, should be treated as wages for FICA and income tax withholding, and whether reporting is required and what form to use.

 

Tax Preferences and College Sports: A Congressional Budget Office paper prepared May 2009.

 

A Federal Income Tax Guide for College and University Presdents:
Presented by ACE and NACUBO, updated May 2009. Topics include federal gross income, fringe benefits,

expense reimbursements, deductions, retirement plans, estate taxes and more.

 

IRS Tax Exempt Bonds Work Plan FY 2009
The work plan provides program guidance and direction to all TEB employees

 

CUA Power Point on Political Activity Guidelines for Student Organizations

 

Tax Treatment of Employer Educational Assistance for the Benefit of Employees: CRS Report No RS22911 Dated July 3, 2008

 

Education Law Alert June 2008: Drinker Biddle: IRS Increasing Focus on Compliance of Tax-Exempt Bond Financed Facilities

 

Revenue Ruling 2008-34

Section 108: Income from Discharge of Indebtedness and Student Loans
The terms of a law school's loan repayment assistance program which assists students who engage in public service met the requirements of 26 USC § 108 (f)(1), thus making forgiveness of the loan non-taxable to the student. In the fact situation that was discussed in the revenue ruling, after the student graduates from law school he/she signs a Loan Repayment Assistance Program (LRAP) promissory note and accepts the terms of the law school loan program, which provides the indebtedness will be forgiven if the student works for a minimum period of time in a qualifying related public service position. See 26 USC § 108(f)(2)(D).  Pursuant to the Taxpayer Relief Act of 1997, the term "student loan" was expanded to include loans made by educational organizations if the loans were pursuant to a program of the educational organization which is designed to encourage students to serve in occupations with unmet needs or in areas with unmet needs, and the services are for or under the direction of a governmental unit or an orgainzation described under 501(c)(3) that is exempt from tax under 501(a) of the code. All of the positions listed in the LRAP met these conditions.   

New IRS Publication: 557 (Tax-Exempt Status for Your Organization)
The IRS has issued a new version of Publication 557: Tax-Exempt Status for Your Organziation.  This publication explains the procedures that an institution must follow to obtain an appropriate ruling or determination letter recognizing the organization.  Additionally, Publication 557 contains other information that applies to all exempt organizations such as annual filing requirements and other matters that may affect tax-exempt status (Chapter 2); determination of private foundation status (Chapter 3); separate sections for specific non-profit organizations (Chapter 4); and when excise taxes may be imposed (Chapter 5).

NACUANOTE: Retirement Plans: Compliance with the New 403(b) Regulations

On July 26, 2007, the IRS issued the first comprehensive regulations governing 403(b) plans in over forty-three years. The new 403(b) regulations generally are effective January 1, 2009. Key changes/clarifications include a plan document requirement, non-discrimination rules, post-retirement contributions, in-service withdrawals, transfers and exchanges, timely remittance, plan terminiation, and controlled group rules.

 

Governance and Related Topics-501(c)(3) Organizations
Recommeded policies and practices from the IRS, posted Feb. 4, 2008. Covers mission, organizational documents, governing body, governance and management policies, financial statements and 990 Reporting, and transparency and accountability.

 

 

Compliance Guide for 501(c)(3) Public Charities,  IRS Publication 4221. Includes responsibilities of a 501(c)(3) as well as an overview of activities that might jeopardize the tax exempt status of the organization.

 

NACUANOTE Dec. 2006 on the Pension Protection Act
NACUA members are authorized and encouraged to reproduce and distribute copies of NACUANOTES, in whole or in part, with or without attribution, to faculty, staff and students of their respective institutions. Copyright in each note is retained by the author, however, NACUA members are authorized to copy and redistribute them, in whole or in part, (including by posting to the NACUA member's web page) to faculty and staff of their member institutions.

 

Tax Exempt Organizations: Political Activity Restrictions and Disclosure Requirements, CRS Report updated January 25, 2007.
This report examines the limitations that the Internal Revenue Code places on political activity, including lobbying and campaign intervention, by tax-exempt organizations. It focuses on the above organizations, but also discusses the restrictions on the other types of tax-exempt organizations. The report also looks at the administrative procedures recently unveiled by the IRS that provide for expedited review of possible tax laws violations by IRC § 501(c)(3) organizations that conduct political activities. In addition, the report contains a summary of the information that tax-exempt organizations must report to the Internal Revenue Service about their political activities and whether the information must be made publicly available.

 

Travel, Entertainment, Gift and Car Expenses IRS Publication 463 (For 2006 returns)(includes information on use of Employer Provided Vehicles)

 

Employer's Tax Guide to Fringe Benefits IRS Publication 15-B (For 2006 returns)

 

Political Campaign Related Activities of and at Colleges and Universities 
(ACE September 2006 paper by Hogan and Hartson)

 

GAO Report on Donor Advised Funds and Supporting Organizations
Donor-advised funds, supporting organizations, and private foundations are all tax-exempt charitable-giving vehicles. Donor-advised funds are separate accounts held by a public charity to receive contributions from donors who may recommend, but not control, charitable distributions from the account. Supporting organizations are public charities that are to carry out their tax-exempt purpose by supporting one or more tax-exempt organizations, usually other public charities. Compared with private foundations, donor-advised funds and supporting organizations give donors less control over how their donation will be used but provide donors more favorable tax deductions, lower administration costs, less IRS oversight, and fewer reporting requirements.As requested, GAO is providing information on donor-advised funds and supporting organizations related to (1) federal laws and regulations, compared to private foundations; (2) financial and organizational characteristics; and (3) types of noncompliance and promotion methods and challenges identifying them. July 27, 2006

 

Revisions to IRS Publication 4302, A Charity's Guide to Car Donations

The August 2004 version of the above publication is no longer valid, that is it does not apply to donations commencing January 1, 2005. Use this fact sheet in the interim.

 

Reporting Back Pay

See the newly revised (June 2005)  IRS Publication 957  for information on Reporting Back Pay and Special Wage Payments. Back pay is pay received in a tax year for actual or deemed employment in an earlier tax year.

 

Congressional Research Service Publication: FAQs about Tax Exempt Organizations

Updated March 2003: Covers such issues as how to set up a tax-exempt organization, how to obtain information about a tax-exempt organization, and the limits on lobbying and political activities.

 

IRS Publication 503  Child and Dependent Care Expenses for 2004 Tax Returns. Note that the changes of the Working Families Tax Relief Act are  not effective until the tax year beginning Jan. 1, 2005.

 

IRS Exempt Organization Division 2005 work plan This document published by the IRS summarizes the achievements of the EO division in the past year and sets out their priorities for their work plan for the coming year.    

 

IRS Notice 2004-12 Safe Harbor Proposed Rules on Student FICA exception

 

IRS Compliance Guide: Tax Exempt Bonds for 501(c)(3) Charitable Organizations

This IRS Publication, 4077 provides an overview of the general post issuance rules under the federal tax law that apply to municipal financing arrangements commonly known as qualified 501(c)(3) bonds.

 

IRS Publication 4221: Compliance Guide for 501(c)(3) Tax Exempt Organizations

 

IRS Publication 4220: Applying for 501(c)(3) Tax-Exempt Status

 

 

Publication 593 Tax Highlights for U.S. Citizens and Residents Going Abroad (revised April 2003)

 

A Federal Income Tax Guide for College and University Presidents published by ACE

Updated 2003. Addresses federal income tax issues unique to the institution's Chief Executive Officer.

 

IRS Revenue Ruling 83-104, 1983-2 C.B. 46

CHARITABLE CONTRIBUTIONS; PRIVATE SCHOOL OPERATED BY CHARITABLE ORGANIZATION

This revenue ruling discusses when a taxpayer is entitled to a deduction for a charitable contribution when the taxpayer makes a payment to an organization that might be earmarked as tuition for a particular individual. The general rule is that this in not deductible. For further explanation, see Bert Harding, The Tax Law of Colleges and Universities, 2nd Ed. at page 180.







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