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I am currently dealing with this very issue with IL Department of Revenue. I suspect that they are targeting the reasonable compensation deduction. I am afraid this is the first of more to come. But, I am preparing to argue for the deduction to stay. ...
Thank you. ------------------------------ Michele Croswell Certified Public Accountant Senior Vice President - Finance & Administration Employment & Employer Services, Inc Chicago IL (312) 442-1127 ------------------------------
Sounds like when this new org filed its Form 1023-EZ, it answered the question "are you a private foundation?" as yes instead of no. I've seen this happen before, and yes, they way to correct it is to file Form 8940 and pay the required user fee (I believe ...
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