CPE Self-Study

Unrelated Business Income Tax: Not-for-Profit Tax Compliance

  • $49.00-$59.00
    Unrelated Business Income Tax: Not-for-Profit Tax Compliance Availability : Online Access Product #: 165142
    AICPA Member: $49.00
    Non-Member: $59.00
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    Contact a representative for group pricing. 800.634.6780 (Option 1) | Contact Us Product #: GT-NFP-TAX2

This CPE course is included in the 40-hour Not-for-Profit Certificate Program. It can also be purchased individually or as a part of the Not-for-Profit Tax Compliance track.

A not-for-profit (NFP) may be liable for federal income taxes if it generates certain types of income from business activities that are unrelated to its tax-exempt purpose or mission. Common examples include sales of merchandise, provision of services to unrelated entities, advertising, leasing of facilities, and certain investment income. This CPE course provides an overview of the tax compliance issues related to unrelated business income taxes (UBIT). You will learn about the various types of activities that may result in UBIT and the common statutory exceptions and exclusions available under federal tax law.

Topics Discussed:

  • Meaning of exempt purpose
  • Related vs. unrelated activities
  • Definition of unrelated business income
  • Consequences of excessive unrelated business income
  • Exempt vs. non-exempt income
  • Statutory exemptions and exclusions
  • IRS Filing Requirements

Learning Objectives:

When you complete this course, you will be able to:

  • Differentiate between unrelated business income and other types of income received by NFPs.
  • Recall the three criteria to determine whether income is subject to UBIT.
  • Identify the statutory exceptions to UBIT.
  • Recall the specific requirements and exceptions that apply to investment and debt-financed income.
  • Identify the basic IRS filing requirements related to UBIT.

Who Will Benefit?

  • CPAs, financial professionals and NFP board members who need a basic overview of unrelated business income tax.

Prerequisite: None

Advanced Preparation: None


Not-for-Profit Section Members Receive Additional Savings! 

When you log into this website with your AICPA member user account, the section/credential discount will be automatically applied during checkout. Should you have any questions or encounter any issues, please contact the AICPA Service Center at 888-777-7077 or service@aicpa.org.

Find out more information on the NFP Section.

System Requirements

About the Authors

MTAX and William E. Turco, CPA

McGladrey LLP

About the Publisher

American Institute of CPAs

The American Institute of CPAs (AICPA) is the world’s largest member association representing the CPA profession, with more than 418,000 members in 143 countries, and a history of serving the public interest since 1887. AICPA members represent many areas of practice, including business and industry, public practice, government, education and consulting.

The AICPA sets ethical standards for the profession and U.S. auditing standards for private companies, nonprofit organizations, federal, state and local governments. It develops and grades the Uniform CPA Examination, and offers specialized credentials for qualified professionals who concentrate on personal financial planning; forensic accounting; business valuation; and information management and technology assurance. With The Chartered Institute of Management Accountants (CIMA), it offers the Chartered Global Management Accountant (CGMA) designation, which sets the global benchmark for quality and recognition in management accounting.

The AICPA and CIMA also make up the Association of International Certified Professional Accountants (the Association), which represents public and management accounting globally, advocating on behalf the public interest and advancing the quality, competency and employability of CPAs, CGMAs and other accounting and finance professionals worldwide.

The AICPA maintains offices in New York, Washington, DC, Durham, NC, and Ewing, NJ.