Preface xi Acknowledgments xiii Chapter 1: Introduction: Joint Ventures Involving Exempt Organizations 1 1.4 University Joint Ventures 1 1.5 Low-Income Housing and New Markets Tax Credit Joint Ventures 1 1.6 Conservation Joint Ventures 2 1.8 Rev. Rul. 98-15 and Joint Venture Structure 2 1.10 Ancillary Joint Ventures: Rev.

Rul. 2004-51 2 1.14 The Exempt Organization as a Lender or Ground Lessor 2 1.15 Partnership Taxation 3 1.17 Use of a Subsidiary as a Participant in a Joint Venture 3 1.22 Limitation on Private Foundation''s Activities That Limit Excess Business Holdings 3 1.24 Other Developments (Revised) 4 Chapter 2: Taxation of Charitable Organizations 9 2.1 Introduction 9 2.

2 Categories of Exempt Organizations (Revised) 15 2.3 501(c)(3) Organizations: Statutory Requirements (Revised) 19 2.4 Charitable Organizations: General Requirements 22 2.6 Application for Exemption (Revised) 23 2.7 Governance 31 2.8 Form 990: Reporting and Disclosure Requirements (Revised) 32 2.10 The IRS Audit (Revised) 34 2.11 Charitable Contributions (Revised) 38 Chapter 3: Taxation of Partnerships and Joint Ventures 47 3.

1 Scope of Chapter 47 3.3 Classification as a Partnership 50 3.4 Alternatives to Partnerships 50 3.7 Formation of Partnership 50 3.8 Tax Basis in Partnership Interest 50 3.9 Partnership Operations 51 3.10 Partnership Distributions to Partners (New) 52 3.11 Sale or Other Disposition of Assets or Interests 52 3.

12 Other Tax Issues 53 Chapter 4: Overview: Joint Ventures Involving Exempt Organizations 59 4.1 Introduction 59 4.2 Exempt Organization as General Partner: A Historical Perspective 60 4.6 Revenue Ruling 2004-51 and Ancillary Joint Ventures 62 4.9 Conversions from Exempt to For-Profit and from For-Profit to Exempt Entities 62 4.10 Analysis of a Virtual Joint Venture 62 Chapter 5: Private Benefit, Private Inurement, and Excess Benefit Transactions 65 5.1 What Are Private Inurement and Private Benefit? 65 5.2 Transactions in Which Private Benefit or Inurement May Occur 67 5.

3 Profit-Making Activities as Indicia of Nonexempt Purpose 69 5.4 Intermediate Sanctions (Revised) 69 5.7 State Activity with Respect to Insider Transactions 78 Chapter 6: Engaging in a Joint Venture: The Choices 81 6.1 Introduction 81 6.2 LLCs 82 6.3 Use of a For-Profit Subsidiary as Participant in a Joint Venture (Revised) 83 6.5 Private Foundations and Program-Related Investments 94 6.6 Nonprofits and Bonds 98 6.

7 Exploring Alternative Structures 101 6.8 Other Approaches (Revised) 102 Chapter 7: Exempt Organizations as Accommodating Parties in Tax Shelter Transactions 111 7.2 Prevention of Abusive Tax Shelters 111 7.3 Excise Taxes and Penalties 112 Chapter 8: The Unrelated Business Income Tax 113 8.1 Introduction 113 8.3 General Rule 114 8.4 Statutory Exceptions to UBIT 115 8.5 Modifications to UBIT 116 8.

7 Calculation of UBIT (Revised) 116 Chapter 9: Debt-Financed Income 133 9.1 Introduction 133 9.2 Debt-Financed Property 133 9.6 The Final Regulations 134 Chapter 10: Limitation on Excess Business Holdings 137 10.1 Introduction 137 10.2 Excess Business Holdings: General Rules 137 10.3 Tax Imposed 139 10.4 Exclusions (Revised) 139 Chapter 12: Healthcare Entities in Joint Ventures 145 12.

1 Overview 145 12.2 Classifications of Joint Ventures 146 12.3 Tax Analysis 147 12.4 Other Healthcare Industry Issues 149 12.5 Preserving the 50/50 Joint Venture 150 12.9 Government Scrutiny 150 12.11 The Patient Protection and Affordable Care Act of 2010: 501(R)and Other Statutory Changes Impacting Nonprofit Hospitals 151 12.12 The Patient Protection and Affordable Care Act of 2010: ACOs and Co-Ops: New Joint Venture Healthcare Entities 154 Chapter 13: Low-Income Housing, New Markets, Rehabilitation, and Other Tax Credit Programs 155 13.

2 Nonprofit-Sponsored LIHTC Project 155 13.3 Low-Income Housing Tax Credit (Revised) 156 13.4 Historic Investment Tax Credit 159 13.6 New Markets Tax Credits (Revised) 169 13.10 The Energy Tax Credits 185 13.11 The Opportunity Zone Funds: New Section 1400Z-1 and Section 1400Z-2 (Revised) 186 Appendix 13B 242 Chapter 14: Joint Ventures with Universities 259 14.1 Introduction (Revised) 259 14.3 Colleges and Universities IRS Compliance Initiative 265 14.

5 Faculty Participation in Research Joint Ventures 266 14.6 Nonresearch Joint Venture Arrangements 269 14.7 Modes of Participation by Universities in Joint Ventures 269 Chapter 15: Business Leagues Engaged in Joint Ventures 275 15.1 Overview 275 15.2 The Five-Prong Test 276 15.3 Unrelated Business Income Tax 276 Chapter 16: Conservation Organizations in Joint Ventures 277 16.1 Overview 277 16.2 Conservation and Environmental Protection as a Charitable or Educational Purpose: Public and Private Benefit 277 16.

3 Conservation Gifts and 170(h) Contributions (Revised) 278 16.7 Emerging Issues 302 Chapter 17: International Joint Ventures 303 17.5 General Grantmaking Rules (Revised) 303 17.11 Application of Foreign Tax Treaties 305 Chapter 19: Debt Restructuring and Asset Protection Issues 307 19.1 Introduction 307 19.2 Overview of Bankruptcy 307 19.3 The Estate and the Automatic Stay 308 19.4 Case Administration 309 19.

5 Chapter 11 Plan 310 19.6 Discharge 311 19.7 Special Issues: Consequences of Debt Reduction 311 Index 313.