To address these issues, LarsonAllen has developed a comprehensive unrelated business income tax analyzer (UBIT). The purpose of this analyzer is to examine the organization's current activities to assess whether there are issues related to compliance in the area of unrelated business income. The product is well designed to uncover issues the finance or accounting department may not even be aware of. We utilized the Internal Revenue Service Exempt Organization 2001 Work Plan, IRS audit experience of our own clients, our experience with over 500 nonprofit audit clients, and discussions with IRS officials to build a product to uncover those issues needing to be addressed.

During the analysis phase of this assessment, a member or members of the LarsonAllen nonprofit tax department will conduct interviews of a variety of staff (non-accounting personnel included), on-site tours, interviews of audit team members and other methods to gain insight into the organization's operations. The product of the analysis phase is a presentation of the findings of the assessment with the appropriate personnel of your organization. We will walk through the issues found and the possible avenues the organization can follow. If the organization decides to pursue one of the options we will certainly be available for guidance, if necessary.

We have found management and board members want to follow the federal and state laws and regulations but have not had the resources or knowledge to find all of those issues that may affect them. The results help the organization correct past ills and gives information on how the organization can structure certain activities to avoid any potential unrelated business income tax issues.