When Computing Unrelated Business Income Tax, Charities Are Permitted to Deduct

question 88

True/False

When computing Unrelated Business Income Tax, charities are permitted to deduct ordinary and necessary business related expenses and the first $1,000 of income is not taxed.

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Definitions:

Cognitive Dissonance

The mental discomfort experienced by a person who holds two or more contradictory beliefs, ideas, or values at the same time.

Festinger & Carlsmith

Researchers known for their 1959 study on cognitive dissonance, which investigated the effects of forced compliance behavior on attitude change.

Primates

A group of mammals that includes humans, apes, monkeys, and prosimians, characterized by a large brain, opposable thumbs, and complex social behaviors.

Simple Tools

Basic implements or devices designed to perform a specific function or task, often with a simple construction and operation.