The Private Inurement Prohibition, Excess Compensation, Intermediate Sanctions, and the IRS’s Rebuttable Presumption
July 30, 2009
GuideStar USA
Types : Bylined Articles
The private inurement prohibition requires that a public charity that has been granted tax-exempt status under section 501(c)(3) of the Internal Revenue Code (“charity”) operate so that none of its income or assets unreasonably benefits any of its board members, trustees, officers, or key employees. These types of individuals are commonly referred to as “insiders.”