Third Church operates a gift shop in its parish house.The total income of the church is $800,000.Of this amount,$300,000 comes from offerings and $500,000 comes from the net income of the gift shop.The gift shop operations are conducted by five full-time employees.Which of the following statements is correct?
A) The $800,000 is unrelated business income.
B) The $500,000 of gift shop net income is unrelated business income.
C) The $300,000 is unrelated business income because the gift shop is a feeder organization.
D) None of the $800,000 is unrelated business income.
E) The unrelated business income tax does not apply to churches.
Correct Answer:
Verified
Q57: Which of the following statements is correct?
A)
Q70: Which of the following is not an
Q73: Which of the following taxes that are
Q73: Teal, Inc., is a private foundation which
Q74: Which of the following exempt organizations are
Q76: Swan,Inc. ,a tax-exempt organization,leases a building and
Q77: Which of the following excise taxes are
Q79: Which of the following statements are correct
Q80: Which of the following statements is correct?
A)The
Q95: For purposes of the unrelated business income
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents