Unrelated Business Income Tax (UBIT)

Ohio University is exempt from paying Federal income tax on income related to the University’s exempt purpose. However, the University also engages in other activities that do not directly relate to the exempt purpose. These other activities are subject to income tax under Section 511 of the Internal Revenue Code. This section of the IRC is designed to prevent tax exempt organizations from having an unfair advantage over for-profit business that do pay tax on income generated in the same manner.

For specific questions, please contact the Tax Compliance Manager.