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Each of the following statements regarding private inurement is true except:

The numerator in the public support fraction, for purposes of determining whether a donative publicly supported charity exists under section 509(a)(1), includes income from performing the exempt purpose.

Each of the following is an exempt purpose expressly listed in Code Section 501(c)(3) except:

The organizational test contemplates each of the following except which?

Snow Globe Church (SCG) contends that the entire Earth is really in the snow globe of an all-powerful being who dictates outcomes for every individual.  This powerful being’s representative on Earth is called the “Snowglobe Master.”  Part of being affiliated with the Snow Globe Church is contributing the lesser of $1,000 or 5% of your income to the church on an annual basis.  Snow Globe has developed a fairly large congregation and has weekly meetings at a rented auditorium, but does not have a religious text of its own.  It was recently determined that the person who currently occupies the office of Snowglobe Master has been using the funds to build a mansion in Minnesota.  If the IRS challenges the tax exempt status of the church, what will likely be the grounds for revocation?

Each of the following statements is true except:

Which of the following is not included in the numerator of the support fraction for a Donative Publicly Supported Charity under section 509(a)(1)?

An organization that fails the Organizational Test can cure the defect by operating in a charitable manner.

Henry Holy is a pastor at Heavenly Church.  He recently has become very agitated at the state of government and would like to affirmatively support from the pulpit the candidacy of Grover Egerton, a new political upstart who Henry believes can put the country on the right course.  Henry approaches you before presenting this political sermon and asks your advice.  Which of the following correctly advises Pastor Holy?

Please use the following fact pattern to answer questions 35 – 37. Un Abrazo is a charitable 501(c)(3) organization whose exempt purpose is to help immigrants to the United States find employment and learn English.  Un Abrazo would like to engage in insubstantial lobbying efforts as part of its activities.  It decides to make a section 501(h) election to use the expenditure test to determine its lobbying expenditure allowance. If Un Abrazo’s exempt purpose expenditures are $1,400,000, what is its grassroots limitation?