The Wayside Inn

“The Conservation Easement is included in Land on the Balance Sheet.”

“The inn has elected not to capitalize contributed historic and artistic material since they are held for education and cultural purposes in accordance with the inn's exempt purpose. Purchases of antique furnishings are recorded at cost but are not depreciated.”

“The inn's collections consist of historic and/or artistic material and antique furniture from the early colonial period and are displayed for cultural purposes.”

“ACCOUNTING PRINCIPLES GENERALLY ACCEPTED IN THE UNITED STATES OF AMERICA PRESCRIBES THE THRESHOLD A TAX POSITION IS REQUIRED TO MEET BEFORE BEING RECOGNIZED IN THE FINANCIAL STATEMENTS. THE TAX-EXEMPT STATUS OF AN ENTITY AT THE FEDERAL AND STATE LEVEL IS CONSIDERED A TAX POSITION. AN ADDITIONAL LIABILITY FOR UNCERTAIN TAX POSITIONS (UTPS) IS RECOGNIZED AND RECORDED AS A COMPONENT OF CURRENT INCOME TAX EXPENSE FOR DIFFERENCES BETWEEN FINANCIAL AND INCOME TAX REPORTING POSITIONS WHICH DO NOT MEET THE THRESHOLD. ANY INTEREST AND PENALTIES RELATED TO UTPS ARE RECORDED AS A COMPONENT OF INCOME TAX EXPENSE. THE INN HAS NOT TAKEN ANY TAX POSITIONS, INCLUDING TAX POSITIONS THAT WOULD JEOPARDIZE THE TAX EXEMPT STATUS, WHICH WOULD HAVE A MATERIAL EFFECT, INDIVIDUALLY OR IN THE AGGREGATE, ON ITS FINANCIAL STATEMENTS AND THUS HAS NOT RECORDED A LIABILITY AT FEBRUARY 28, 2017 or FEBRUARY 29, 2016. THE INN FILES TAX RETURNS IN FEDERAL AND STATE JURISDICTIONS. THE INN IS NO LONGER SUBJECT TO EXAMINATIONS BY TAX AUTHORITIES FOR YEARS PRIOR TO 2013. CURRENTLY, THERE ARE NO INCOME TAX AUDITS IN PROCESS. Deferred income tax assets and liabilities are recorded for differences between the financial statement and tax basis of assets and liabilities that will result in taxable or deductible amounts in the future based on enacted tax laws and rates applicable to the periods in which the differences are expected to affect taxable income. For the Inn, these differences relate principally to the expected benefits of the net operating losses. Valuation allowances are established when necessary to reduce deferred income tax assets to the amount expected to be realized.”