Cal. Code Regs. Tit. 18, § 23771 - Unrelated Business Income Returns-Exempt Organizations

(a) Every organization or trust which is otherwise exempt under Section 23701, except quasi-governmental organizations which are controlled by the state, shall make a return on Form 109 for each taxable year if it has gross income, including in computing unrelated business taxable income for such taxable year, of $1,000 or more. The filing of a return of unrelated business income does not relieve the organization of the duty of filing other required returns.

(b) For calendar years prior to 1971 subdivision (a) is only applicable to organizations described in Sections 23701 a, 23701d, 23701e, 23701n and 23701h (where income is payable to an organization which is subject to the tax or to a church or to a convention or association of churches).

(c) Subdivision (a) is applicable to churches only for calendar year 1970, and subsequent years.

(d) Deferred compensation plans exempt under Section 17631 which have unrelated business income of $1,000 or more are required to file Form 109 for accounting periods ending December 1971, and subsequent.

Notes

Cal. Code Regs. Tit. 18, § 23771

1. New Article 3 (Regs. 23771 and 23772.5) filed 12-14-64; effective thirtieth day thereafter (Register 64, No. 25).
2. Repealer of Article 3 (Regs. 23771 and 23772.5) and new Article 3 (Regs. 23771, 23772-23774, 23775-23778) filed 7-13-73; effective thirtieth day thereafter (Register 73, No. 28).

Note: Authority cited: Section 26422, Revenue and Taxation Code. Reference: Sections 23701, 23701a, 23732- 23734, 23734a, 23735, 23771, 23772, 23774- 23778, Revenue and Taxation Code.

1. New Article 3 (Regs. 23771 and 23772.5) filed 12-14-64; effective thirtieth day thereafter (Register 64, No. 25).
2. Repealer of Article 3 (Regs. 23771 and 23772.5) and new Article 3 (Regs. 23771, 23772-23774, 23775-23778) filed 7-13-73; effective thirtieth day thereafter (Register 73, No. 28).