What is Unrelated Business Income Tax (UBIT)?

Unrelated Business Income Tax (UBIT)  is money earned thru a regularly occurring endeavor that is not related to your stated exempt purpose. If you are raising money thru regular activities that are not explicitly connected to your mission as expressed in your Articles of Incorporation and Mission or Vision Statement, those funds may be subject to UBIT. We recommend you review IRS Pub 598 for official IRS guidance and consult with a tax professional. You are welcome to contact the Office of Church Staff Finance (OCSF), but please note that we do not have specific expertise with UBIT and recommend consulting with a tax professional.