What is the purpose of Form 990-T?
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Last modified 12/26/2023 12:47:37 AM EST |
The purpose of Form 990-T is to calculate and report an organization's unrelated business income. If your organization has a gross income of $1000 or more from unrelated business income for the tax year, you must file Form 990-T.
For example, the investment income from debt-financed property unrelated to the organization's charitable purpose and certain rents (and related expenses) is treated as an unrelated trade or business income and should be reported on Form 990-T.
Form 990-T is also used to
- Report proxy tax liability
- Claim a refund of income tax paid by a regulated investment company (RIC) or a real estate investment trust (REIT) on undistributed long-term capital gain
- Request credit for certain federal excise taxes paid or for small employer health insurance premiums paid
- Report unrelated business income tax on reinsurance entities