Instructions For Schedule C (Form 990 Or 990-Ez) 2008 (Page 3 of 8) in pdf

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The controlling organization is charged

Line 4. Provide a detailed description in

Specific Instructions

Part IV of the steps the organization has

with its own lobbying expenditures and

taken to correct the activity which

the national legislation expenditures of

subjected the organization to the section

the affiliated organizations,

Part I-A. Political Activity

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4955 tax. Correction of a political

The controlling organization is not

of Exempt Organizations

expenditure means recovering the

charged with other lobbying expenditures

expenditure to the extent possible and

(or other exempt-purpose expenditures)

Note. Section 501(c) organizations other

establishing safeguards to prevent future

of the affiliated organizations, and

than those exempt under section

political expenditures. Recovery of the

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Each local organization is treated as

501(c)(3) may establish section 527(f)(3)

expenditure means recovering part or all

though it were not a member of an

separate segregated funds to engage in

of the expenditure to the extent possible,

affiliated group. For example, the local

political activity. Separate segregated

and, where full recovery cannot be

funds are subject to their own filing

organization should account for its own

accomplished, by any additional

requirements. A section 501(c)

expenditures only and not any of the

corrective action that is necessary. (The

organization that engages a separate

national legislation expenditures deemed

organization that made the political

segregated fund to conduct political

as incurred by the controlling

expenditure is not under any obligation to

activity should report transfers to the fund

organization.

attempt to recover the expenditure by

in Parts I-A and I-C. The separate

legal action if the action would in all

segregated fund should report specific

Definitions (Part III)

probability not result in the satisfaction of

activities on its own Form 990 if the fund

Definitions in this section are applicable

execution on a judgment.)

is required to file.

only to Part III.

Line 1. Section 501(c) organizations

Part I-C. Section 527

Lobbying and political

should provide a detailed description of

Exempt Function Activity

expenditures. For purposes of this

their direct and indirect political

section only, lobbying and political

campaign activities. If the section 501(c)

of Section 501(c)

expenditures do not include direct

organization collects political contributions

Organizations Other Than

lobbying expenditures made to influence

or member dues earmarked for a

local legislation. Nor does it include any

separate segregated fund, and promptly

Section 501(c)(3)

political campaign expenditures for which

and directly transfers them to that fund as

Note. Section 501(c) organizations that

the tax under section 527(f) was paid (see

prescribed in Regulations section

collect political contributions or member

Part I-C). They do include any

1.527-6(e), do not report them here. Such

dues earmarked for a separate

expenditures for communications with a

amounts should be reported in Part I-C,

segregated fund, and promptly and

covered executive branch official in an

line 5e.

directly transfer them to that fund as

attempt to influence the official actions or

Section 527 organizations should

prescribed in Regulations section

positions of that official.

provide a detailed description of their

1.527-6(e), should not report them on

exempt function activities in Part IV.

Covered executive branch official.

lines 1 or 2. Such amounts should be

The President, Vice-President, White

reported on line 5e.

Line 2. Enter the total amount that the

House Office of the Executive Office of

filing organization has spent conducting

Line 1. Enter the amount of the

the President officers and employees, the

the activities described on line 1.

organization’s funds that it expended for

two senior level officers of each of the

Line 3. If the organization used

section 527 exempt function activities.

other agencies in the Executive Office,

volunteer labor in the conduct of its

individuals in level I positions of the

Line 2. Enter the amount of the

political campaign activities or section

Executive Schedule and their immediate

organization’s funds that it transferred to

527 exempt function activities, provide the

deputies, and individuals designated as

other organizations, including a separate

total number of hours. Any reasonable

having Cabinet level status and their

segregated section 527(f)(3) fund created

method may be used to estimate this

immediate deputies.

by the organization, for section 527

amount.

exempt function activity.

Direct contact lobbying. This is a:

Part I-B. Section 501(c)(3)

Line 3. Total exempt function

1. Meeting,

expenditures. Add lines 1 and 2 and enter

Organizations: Disclosure

2. Telephone conversation,

on line 3 and on Form 1120-POL, line

3. Letter, or

17b.

of Excise Taxes Imposed

4. Similar means of communication

Line 4. If the filing organization reported

Under Section 4955

that is with a:

taxable political expenditures on Form

a. Legislator (other than a local

Section 501(c)(3) organizations must

1120-POL for this year, answer “Yes.”

legislator), or

disclose any excise tax incurred during

Line 5. State the name, address and

the year under section 4955 (political

b. Covered executive branch official

employer identification number (EIN) of

expenditures), unless abated. See

and that otherwise qualifies as a lobbying

each section 527 political organization to

sections 4962 and 6033(b).

activity.

which payments were made. Enter the

Line 1. Enter the amount of taxes

amount paid and indicate if the amount

In-house expenditures include:

incurred by the organization itself under

was paid from the filing organization’s

section 4955, unless abated. If no tax was

1. Salaries, and

funds or were political contributions

incurred, enter -0-.

received and promptly and directly

2. Other expenses of the

delivered to a separate political

organization’s officials and staff (including

Line 2. Enter the amount of taxes

organization, such as a separate

amounts paid or incurred for the planning

incurred by the organization managers

segregated fund or a political action

of legislative activities).

under section 4955, unless abated. If no

committee (PAC). If additional space is

tax was incurred, enter -0-.

needed, provide information in Part IV.

In-house expenditures do not

Line 3. If the filing organization reported

include: Any payments to other

a section 4955 tax on a Form 4720,

Part II-A. Lobbying Activity

taxpayers engaged in lobbying or political

Return of Certain Excise Taxes Under

activities as a trade or business or any

Chapters 41 and 42 of the Internal

Only section 501(c)(3) organizations that

dues paid to another organization that are

Revenue Code, for this year, answer

have filed Form 5768 (election under

allocable to lobbying or political activities.

“Yes.”

section 501(h)) complete this section.

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Instructions For Schedule C (Form 990 Or 990-Ez) 2008 Page 3

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