Insights

Federal Tax Reform: Impact on Foundations as Employers

Article Excerpt:

While there are limited effects from the enactment of the Tax Cuts and Jobs Act (the Act) for most private foundations, one such consequence applies to foundations and other tax-exempt organizations as employers. For foundations that provide qualified fringe benefits to their employees — such as transportation, parking, and athletic facilities — the value of the benefits provided is now considered unrelated business taxable income (UBTI).