State Tax Treatment of UBTI for Exempt Organizations: Calculations, Conformance and Apportionment
Navigating States' Partial- or Non-Conformance With Federal Treatment; Multi-State Apportionment Rules
Recording of a 110-minute CPE webinar with Q&A
This course will provide nonprofit tax professionals and advisers with a practical guide into various states' rules governing unrelated business income tax (UBIT), which U.S.-based tax-exempt organizations must pay on unrelated business taxable income (UBTI). The webinar will focus on the standards and guidelines for determining whether income is UBTI and thus subject to tax, identify those states that deviate from federal treatment, and list those states whose definitions conform to federal but have different calculation bases.
Outline
- Federal treatment of Unrelated Business Taxable Income (UBTI)
- Identifying UBTI
- UBTI calculations and schedules
- Tax computation
- Allocation of expense deductions
- State treatment of Unrelated Business Taxable Income
- States not conforming with federal exempt org classification
- States that tax UBTI
- Common States adjustments to federal UBTI calculations
- Range of rules for Net Operating Loss carry-backs and carry-forwards
- Apportionment Challenges
Benefits
The panel will discuss these and other important topics:
- What states deviate from federal treatment of UBTI?
- What states generally conform to federal UBTI calculations but with add-backs?
- State deviations in NOL carry-back and carry-forward treatment for UBTI
- Which states require a different formula for apportioning UBTI than the one applicable to for-profit commercial entities
Faculty

Brenda A. Blunt, CPA, CGMA
Tax Partner
Eide Bailly
Ms. Blunt has nearly 30 years of experience providing services to tax-exempt entities, closely-held business and their... | Read More
Ms. Blunt has nearly 30 years of experience providing services to tax-exempt entities, closely-held business and their stakeholders. She provides income tax compliance and planning for individuals, corporations, partnerships and tax-exempt entities and represents clients before the IRS and state taxation authorities. Ms. Blunt has significant experience planning for the tax aspects of unrelated business income for non-profits and retirement plans.
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Dr. Laura Robichaud, DBA, MBA
State and Local Tax Senior Manager
Eide Bailly
Dr. Robichaud is State and Local Tax Senior Manager with the Firm. She has financial and tax experience with extensive... | Read More
Dr. Robichaud is State and Local Tax Senior Manager with the Firm. She has financial and tax experience with extensive knowledge of Arizona Transaction Privilege Tax (TPT) and Use tax, as well as a variety of other state and local tax issues. She previously worked for the Arizona Department of Revenue and the Idaho State Tax Commission. She is proficient in Voluntary Disclosure Agreement (VDAs) programs, Nexus determinations, and amnesty issues. She also has experience in audit support services, state and local litigation issues, appeals, informal petitions, and penalty abatements.
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