Exempt Organizations

003.01 Tax-exempt status; Determination letter; Internal Revenue Service determination letter issued. Any organization transacting business in Nebraska and exempt from federal income tax for which a ruling or determination letter has been issued by the Internal Revenue Service is exempt from Nebraska income tax. 003.02 Tax-exempt status; Internal Revenue Service determination letter not issued. Any organization which is exempt under the regulations of the Internal Revenue Service, for which a ruling or determination letter is not issued, is exempt from Nebraska income tax. 003.03 Filing requirements; income tax returns; revocation of tax-exempt status. No annual income tax information returns will be required from exempt organizations unless a federal return of unrelated business income is required to be filed. If such a federal return is required, the organization shall report those items of unrelated business income which are attributable to income derived from Nebraska sources. Such information shall be filed on Form 1120N. If the tax exempt status is revoked by the Internal Revenue Service, the Nebraska Department of Revenue must be notified within ninety days. (Section 77-2714, R.R.S. 1943. December 4, 1984.)