Tax-exempt entities, notional principal contracts, and the unrelated business income tax
Article Abstract:
Receipts from notional principal contracts (NPCs) entered into by tax-exempt organizations for investment or liability-management purposes should not be treated as unrelated business taxable income (UBTI). NPCs include swaps such as interest rate swaps and equity index swaps, receipts from which may be considered 'passive income' excluded from UBTI; in addition, they do not represent unfair competition, the reason for taxing unrelated business income. Proposed Treasury regulations issued in 1991 would exclude income from interest rate swaps from UBTI; the exclusion should be extended to all NPCs.
Publication Name: Harvard Law Review
Subject: Law
ISSN: 0017-811X
Year: 1992
User Contributions:
Comment about this article or add new information about this topic:
Developments in the law - nonprofit corporations
Article Abstract:
Organizations may select nonprofit corporation status for public or private purposes. Judges have often been given too much discretion in classifying nonprofits. Internal Revenue Code 501(c)(3) or 501(c)(4) could be used as a standard for determining when a nonprofit corporation serves a public function. Fiduciary duties, qualifications for tax exemption, charitable fundraising limitations, political activity of nonprofits and tort law are discussed.
Publication Name: Harvard Law Review
Subject: Law
ISSN: 0017-811X
Year: 1992
User Contributions:
Comment about this article or add new information about this topic:
Civil procedure - class actions - Third Circuit holds that the filing of a class action tolls the statute of limitations for a subsequent class action when the initial denial of class certification is unrelated to the appropriateness of the underlying claims for class treatment
Article Abstract:
In the case of McKowan Lowe & Co. v. Jasmine, Ltd., the US Court of Appeals for the 3rd Circuit held that the statute of limitations does not run for a subsequent class action ?claim during the time when a request for class certification for an initial claim is decided if the initial request was denied for reasons other than inappropriateness of the claim.
Publication Name: Harvard Law Review
Subject: Law
ISSN: 0017-811X
Year: 2003
User Contributions:
Comment about this article or add new information about this topic:
- Abstracts: Constitutional migration and the bounds of comparative analysis. Charitable choice and the critics
- Abstracts: The use of open terms in contract. The great transformation of regulated industries law
- Abstracts: The decline of corporate-owned life insurance for the closely-held business owner
- Abstracts: Permanent life insurance benefit in connection with s. 403(b) contract considered incidental. IRS issues private letter rulings on secular trusts
- Abstracts: Tax-exempt affiliated health care entities treated as one employer for purposes of 401(k) grandfather rules. Separate coverage election lowers cost of group-term life benefits for employees; reinstatement of retired executives in insured s. 79 plan does not affect 1984 TRA grandfather