IRS PLR: Artistic Expression Set-Aside Approved (IRC §4942)

The IRS has issued a private letter ruling on Section 4942(g)(2), granting taxpayer’s request for approval of a set-aside. Taxpayer must document the approved set-aside in their records as pledges or obligations and pay the set-aside amounts within 60 months after the date of the first set-aside. The set-aside will be used for start-up expenses across four phases: pre-launch, set-up, marketing and outreach, and opening, allowing for a measured approach to building community ties, testing programming, and ensuring financial sustainability.

This story was produced by Bloomberg Tax Automation, and edited by Bloomberg Tax staff.