California FTB Releases 2020 Instructions for Form 109, Exempt Organization Business Income Tax Return

The California Franchise Tax Board May 1 released 2020 instructions for Form 109, Exempt Organization Business Income Tax Return, for corporate income, individual income, sales and use, and trust income taxes. Tax-exempt organizations carrying on a trade or business not substantially related to their exempt purpose may be required to pay tax on their unrelated trade or business income. Such organizations must use Form 109 to figure the tax on the unrelated business income. Filing Form 109 doesn’t replace the requirement to file Form 199, Exempt Organization Annual Information Return, or FTB 199N, California e-Postcard. Form 109 is due on ...