Instructions For Schedule A (Form 990 Or 990-Ez)

•

Support from a governmental unit.

each year (if the accrual accounting

A trade or business in which

Include on line 1 support received from a

method is used).

substantially all work is performed by

governmental unit. This includes any

volunteers. See section 513(a)(1).

Do not include the names of the

•

amounts received from a governmental

A trade or business carried on by the

grantors because Part IV will be

unit, including donations or contributions

organization primarily for the convenience

made available for public

CAUTION

and amounts received in connection with

of its members, students, patients,

inspection.

a contract entered into with a

officers, or employees. See section

Unusual grants generally are

governmental unit for the performance of

513(a)(2).

•

substantial contributions and bequests

services or in connection with a

A trade or business which is the selling

from disinterested persons and are:

government research grant, unless the

of merchandise, substantially all of which

amounts are received from exercising or

1. Attracted because of the

the organization received as gifts or

performing the organization’s tax-exempt

organization’s publicly supported nature,

contributions. See section 513(a)(3).

purpose or function which should be

•

2. Unusual and unexpected because

“Qualified public entertainment

reported on line 2. An amount received

of the amount, and

activities” or “qualified convention and

from a governmental unit is not treated as

3. Large enough to endanger the

trade show activities” of certain

received from exercising or performing

organization’s status as normally meeting

organizations. See section 513(d).

the organization’s tax-exempt purpose or

•

the 33

% public support test.

Furnishing certain hospital services.

function if the payment is to provide

See section 513(e).

For a list of other factors to be

services, facilities, or products primarily

•

A trade or business consisting of

considered in determining whether a

for the economic benefit of the payee. For

conducting bingo games, but only if the

grant is an unusual grant, see Temporary

example, if a state agency pays an

conduct of such games is lawful. See

Regulations section 1.509(a)-3T(c)(4).

organization to operate an institute to

section 513(f).

train employees from various industries in

An unusual grant is excluded even if

•

Qualified pole rentals by a mutual or

the principles of management and

the organization receives or accrues the

cooperative telephone or electric

administration, the funds received should

funds over a period of years.

company. See section 513(g).

be included on line 2 as support related to

•

Do not report gross investment income

The distribution of certain low cost

the exercise or performance of the

items as unusual grants. Instead, include

articles and exchange and rental of

organization’s tax-exempt purpose. See

all investment income on line 10a.

members lists. See section 513(h).

Regulations section 1.509(a)-3(g).

•

See Rev. Rul. 76-440, 1976-2 C.B. 58;

Soliciting and receiving qualified

Unusual grants. For an organization

Regulations section 1.170A-9(f)(6)(ii); and

sponsorship payments. See section

that received any unusual grants during

Temporary Regulations sections

513(i).

the 5-year period, prepare a list for the

1.509(a)-3T(c)(3) and 1.509(a)-3T(c)(4)

organization’s records to show, for each

Line 4. Enter on this line tax revenue

for details about unusual grants.

year, the name of the contributor, the date

levied for the organization’s benefit by a

Reporting contributions not reported

and amount of the grant, and a brief

governmental unit and either paid to the

as revenue. If the organization reports

description of the grant. If the

organization or expended on its behalf.

any contributions on line 1 of this Part that

organization used the cash method for

Report this amount whether or not the

it does not report as revenue in Part VIII

the applicable year, show only amounts

organization includes this amount as

or assets in Part X of Form 990, explain in

the organization actually received during

revenue on its financial statements or

Part IV the basis for characterizing such

that year. If the organization used the

elsewhere on Form 990 or Form 990-EZ.

transfers as contributions but not as

accrual method for the applicable year,

revenue or assets. For instance, if an

show only amounts the organization

Line 5. Enter on this line the value of

organization is a community foundation

accrued for that year.

services or facilities furnished by a

that receives and holds a cash transfer for

governmental unit to the organization

Do not file this list with the

another tax-exempt organization and

without charge. Do not include the value

organization’s Form 990 or Form

reports contributions of such property on

of services or facilities generally furnished

990-EZ because it may be made

CAUTION

line 1 without reporting it as revenue in

to the public without charge. For example,

available for public inspection. See

Part VIII or assets in Part X, explain the

include the fair rental value of office

example below.

basis for characterizing the property as

space furnished by a governmental unit to

contributions but not as revenue or

the organization without charge, but only

Line 1. Example

assets.

if the governmental unit does not

Line 2. Include on line 2 gross receipts

generally furnish similar office space to

Year

2008

Description

from admissions, merchandise sold,

the public without charge.

services performed, or facilities furnished

Name

Mr.

Undeveloped land

in any activity that is related to the

Line 7a. Enter on this line the amounts

Distinguished Donor

organization’s tax-exempt purpose (such

that are included on lines 1, 2, and 3 that

Date of Grant

as charitable, educational, etc.). To the

the organization received from

January 15, 2008

extent that the membership fees are

disqualified persons. See section 4946.

payments to purchase admissions,

Amount of Grant

merchandise, services, or the use of

For amounts included on lines 1, 2,

$60,000

facilities in a related activity, include the

and 3 that were received from a

membership fees on line 2. See

disqualified person, prepare a list for the

Include in Part IV a schedule showing the

Regulations section 1.509(a)-3(h).

organization’s records to show the name

amount of each unusual grant actually

of, and total amounts received in each

received each year (if the cash

Line 3. Include on this line gross

year from, each disqualified person.

accounting method is used), or accrued

receipts from:

Line 7a. Example

Disqualified Person

(a) 2004

(b) 2005

(d) 2007

(e) 2008

(f) Total

David Smith

$7,000

$6,000

$2,000

$15,000

Anne Parker

$5,000

$7,000

4,000

16,000

Total

$7,000

$6,000

$5,000

$7,000

$6,000

$31,000

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Instructions For Schedule A (Form 990 Or 990-Ez) - 2008 Page 7

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