What is unrelated business gross income?
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Unrelated business gross income of an exempt organization is the income produced by the organizations through activities unrelated to scientific, educational, charitable, or any other tax-exempt purposes. Organizations with an unrelated business gross income of $1,000 or more must file Form 990-T.

Certain foundations are also liable to pay taxes on their unrelated business income if their estimated tax is $500 or more. This income can be calculated using Form 990-T and must be paid in installments.