Question: Pigeon, Inc., a 501(c)(3) organization, received support from the following sources. Governmental unit A for services rendered $ 6,300 Governmental unit B for
Pigeon, Inc., a § 501(c)(3) organization, received support from the following sources.
Governmental unit A for services rendered …………………… $ 6,300
Governmental unit B for services rendered …………………… 4,500
Fees from the general public for services rendered
(Each payment was of $100) ………………………………….. 75,000
Gross investment income ……………………………………… 39,000
Contributions from disqualified persons ……………………… 26,000
Contributions from other than disqualified persons
(Each gift was of $50) …………………………………………. 160,000
Total support ………………………………………………….. $310,800
a. Does Pigeon satisfy the test for receiving broad public support? Why or why not?
b. Is Pigeon a private foundation? Be specific in your answer.
c. Arnold Horn, Pigeon’s treasurer, has asked you to advise him on whether Pigeon is a private foundation. Write a letter to him in which you address the issue. His address is 250 Bristol Road, Charlottesville, VA 22903.
Step by Step Solution
3.32 Rating (167 Votes )
There are 3 Steps involved in it
a For an organization to qualify as receiving broad public support both the external support test and the internal support test must be satisfied The ... View full answer
Get step-by-step solutions from verified subject matter experts
Document Format (1 attachment)
527-L-B-L-T-L (586).docx
120 KBs Word File
