WebSection 4958 (a) (1) imposes a tax equal to 25 percent of the excess benefit on each excess benefit transaction. The section 4958 (a) (1) tax shall be paid by any disqualified person who received an excess benefit from that excess benefit transaction. WebIRC 4958 No set limit – relies on “smell” test for excessive compensation “Compensation” includes value of employer-paid benefits and perquisites Comparability data may include …
The Hidden Danger of Escalating Excise Taxes On Donor Advised …
WebSection 4958 (a) (1) imposes a tax equal to 25 percent of the excess benefit on each excess benefit transaction. The section 4958 (a) (1) tax shall be paid by any disqualified person who received an excess benefit from that excess benefit transaction. WebThe President is liable for the 25% excise tax under IRC 4958(a)(1) and the 200% excise tax under IRC 4958(b). If the President satisfied the requirements under IRC 4961 and IRC 4962, which includes correction of the excess benefit transaction, abatement of some or all of these taxes may occur. gough tanks
IRS EO CPE Text for Fiscal 2004: Automatic Excess Benefit …
WebSection 4958 adds intermediate sanctions as an alternative to revocation of the exempt status of an organization when private persons benefit from transactions with a 501 (c) … Web(1) The compensation arrangement or the terms of the property transfer are approved in advance by an authorized body of the applicable tax-exempt organization (or an entity controlled by the organization within the meaning of § 53.4958-4 (a) (2) (ii) (B)) composed entirely of individuals who do not have a conflict of interest (within the meaning … WebMay 28, 2024 · See IRC § 4958(e)(1). IRC § 4958(a)(1) imposes on each excess benefit transaction an excise tax “equal to 25 percent of the excess benefit” and provides that this … gough tennis