Which of the following is not true of Tax Exempt Entities?
A) Even though they are tax exempt entities they must still file a tax return
B) They have to report income that is unrelated to the organization
C) They have Retained Earnings in the equity section of financial statements
D) Tax exempt entities get an automatic $1,000 deduction in Unrelated Business Income

Question

Quizplus · Accepted Answer

Tax exempt entities typically do not have Retained Earnings; instead, they have Net Assets in the equity section of their financial statements.

Which of the Following Is Not True of Tax Exempt