Form 990-T Update

Draft of 2018 Form 990-T Released

The IRS released a draft of the 2018 Form 990-T, Exempt Organization Business Income Tax Return, on the treatment of Unrelated Business Income Tax (UBIT). The draft, issued on October 12, 2018 is a preview of how tax-exempt organizations will report unrelated trade or business income and deductions for tax year 2018. 

This release comes several months after the 2017 Tax Cuts and Jobs Act added a number of UBIT provisions, including one that requires tax-exempt organizations with more than one unrelated trade or business to calculate UBIT separately for each trade or business. 

Stay tuned as we await instructions for the form—our tax experts will continue to update you as we learn more information.

This publication contains general information only and Sikich is not, by means of this publication, rendering accounting, business, financial, investment, legal, tax, or any other professional advice or services. This publication is not a substitute for such professional advice or services, nor should you use it as a basis for any decision, action or omission that may affect you or your business. Before making any decision, taking any action or omitting an action that may affect you or your business, you should consult a qualified professional advisor. In addition, this publication may contain certain content generated by an artificial intelligence (AI) language model. You acknowledge that Sikich shall not be responsible for any loss sustained by you or any person who relies on this publication.

About the Author