Leases or Sales of Club Property

Form 886-A (Rev. 5-2017)
Page 1
Catalog Number 20810W www.irs.gov
Form 886-A
(May 2017)
Department of the Treasury – Internal Revenue Service
Explanations of Items
Schedule number or exhibit
Name of taxpayer Tax Identification Number (last 4 digits) Year/Period ended
Dec. 31, 20XX &
Dec. 31 20XX

# ISSUE

Whether the (Organization) is tax-exempt under Internal Revenue Code (IRC) Section (Sec.) 501(c)(7), as a social club.

# FACTS

The Organization’s Articles of Incorporation state, the Organization was incorporated on March 16, 19XX, in the State of . The Organization submitted a Form 1025, Exemption Application, on June 10, 19XX, requesting exempt status under IRC Sec. 501(c)(7). The Organization was granted exemption as a social club exempt from Federal income tax under IRC Sec. 501(c)(7) pursuant to a determination in June 19XX.
The Organization’s Articles of Incorporation state its purposes are: “ .”
The Organization operates an indoor shooting range and an outdoor shooting range. The indoor shooting range is used primarily by the Organization’s “ ”. The program is for youth from ages 0 to 0. The provides training in firearm safety and handling procedures and coaching from basic to advanced shooting techniques. The outdoor range is used by members and made available for use to the public (non-members). The Organization hosts shooting matches at the outdoor range and both members and non-members participate in the matches.
The Organization’s general ledger, bank deposits, and receipts, show income received by the Organization includes membership dues & initiation fees, grants, donations, ammunition & target sales, entrance fees from nonmember use of the outdoor shooting range, and member and nonmember fees for participating in club shooting matches.
The Organization’s 20XX Form 990, Return of Organization Exempt From Income Tax, indicate the percent of gross receipts from nonmember use of the Organization’s facilities exceeded 15% beginning with tax year 20XX continuing through 20XX, while investment income was less than 0% for all years. See the table below for the investment income and non-member use income as reported on the Organization’s Form 990, for the tax years 20XX through 20XX: