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A charitable organization may exclude rental real property income from unrelated business income unless: a. The income is reasonable related to an exempt purpose b.

A charitable organization may exclude rental real property income from unrelated business income unless:

a. The income is reasonable related to an exempt purpose

b. The rental real property is part of a mixed lease for real and personal property. Five percent of the rents are for the use of personal property

c. The rent is received regularly over a sustained period of time.

d. The rent covers service provided by the organization as well as use of the property.

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