The IRS recently completed a multiyear compliance project focusing on the college and university sector. (See the article on page 3 entitled “IRS Final Report on Colleges and Universities”.) As part of the project, the IRS examined the treatment of losses used to offset unrelated business income (UBI). The IRS found that numerous institutions had incorrectly classified expenses related to UBI on their Form-990-T, resulting in reversals of reported losses.
Based on the findings of the project, it...Read More »