This article examines several requirements faced by tax-exempt organizations with respect to structuring compensation packages and discusses the new excise tax that will now be imposed on certain tax-exempt organizations as a result of the addition of Section 4960 to the Internal Revenue Code of 1986. It also considers possible steps that organizations may wish to consider in light of these new rules.
This originally appeared in the Summer 2018 edition of Benefits Law Journal.
About the Author(s)
Taxing times for tax-exempt organizations
This article examines several requirements faced by tax-exempt organizations with respect to structuring compensation packages and discusses the new excise tax that will now be imposed on certain tax-exempt organizations as a result of the addition of Section 4960 to the Internal Revenue Code of 1986.