Services and Compliance

The Tax Compliance and Planning Department furthers the mission of the University and Finance by delivering quality services to our customers.

Our services include:

1. Providing advisory, analytical and advocacy services
2. Developing and promoting tax policies and procedures
3. Filing or reviewing tax forms for the University and its affiliates

Our key functions include:

1. Managing tax compliance matters for the University and related entities.
2. Ensuring timely filing of the University and related entities’ federal and state tax returns, reports and payments.
3. Establishing necessary procedures and reporting systems to support compliance with federal and state tax laws applicable to the University and related entities.
4. Advising on tax consequences of transactions conducted by the University and related entities.
5. Providing tax-planning opportunities for the University and related entities.
6. Tracking legislative tax developments at the federal and state level and advising the University and related entities accordingly.
7. Functioning as the University and related entities’ liaison with federal and state tax authorities as well as with outside consulting firms with respect to tax issues.

In order for the Tax Department to best manage tax risks, it is important for the university community to have a general understanding of some of the risks involved.

 Typical tax risks in a university setting include:

1. Tax filings –The University must file information and other returns to maintain compliance with federal, state, and local requirements, The University is subject to Internal Revenue Service (IRS) review or challenge with respect to its returns and, if the need arises, may need to defend positions taken.
2. Loss of exemption – As an exempt entity, the University must take steps to maintain its status. In this context, certain transactions or activities may be prohibited.

Examples of the types of filings prepared include reporting of (1) activities that derive unrelated business income tax (UBIT) on Form 990-T, (2) employment taxes including fringe benefits on Form W-2, 941, and 1042-S, (3) payments to applicable vendors on Form 1099-Misc, and (4) education tuition credits on Form 1098-T.

Examples of the types of terms commonly used when discussing how to avoid losing tax-exempt status include (1) private benefit or inurement, (2) intermediate sanctions, (3) rebuttable presumption, (4) legislative activities, (5) political activities, and (6) partnership activities.

Managing tax risks

The Tax Department manages tax compliance through (1) communicating tax risks and compliance requirements, (2) holding roundtable meetings with interested parties to identify and resolve current issues, (3) developing close working relationship with high volume tax areas, (4) establishing policies and procedures to standardize a university-wide approach.

Please see the Policies and Procedures web page to familiarize yourself with the standards already in place to address tax risks.

If you have a concern regarding tax risks or one of the University's tax filings, please contact the Tax Department at [email protected].