Biblical History Center Inc.

“In 2013, the center entered into a general loan agreement with the israel antiquities authority (iaa). The agreement provides the center with historical artifacts which will be on public exhibition at the center for a period of ten (10) years. The collections are made up of artifacts of historical significance and art objects that are held for educational and curatorial purposes. The title of the artifacts shall remain in the name of iaa and the center is prohibited of making any other form of representation. Therefore, the artifacts are not included of the statement of financial position. Although, the center is responsible for the costs associated with this loan. These costs include site preparation, packaging, transportation (to the center and back to israel), curators expenses during the shipping and set up and all custom fees. The center has elected not to capitalize these costs over the period of the loan, but rather expense the costs as a decrease in temporary restricted net assets after the change in net assets before collections not capitalized.”

“The center is exempt from income taxes under section 501(c)(3) of the internal revenue code and has also been classified as an entity that is not a private foundation within the meaning of section 509(a) and qualifies for deductible contributions as provided in section 170(b)(1)(a)(vii). The center has implemented the provisions of the fasb accounting standards codification (asc) income tax topic 740-10, accounting for uncertainty in income taxes. Accordingly, an entity shall initially recognize the financial statement effects of a tax position when it is more-likely-than-not, based on the technical merits, that the position will be sustained upon examination. It also provides guidance for derecognition, classification, interest and penalties, accounting in interim periods, disclosure and transition. For a nonprofit entity, potential uncertain tax positions could include 1) its status as a tax-exempt nonprofit entity and 2) whether it has income from certain activities not related to its tax-exempt purpose which would be considered taxable as unrelated business income. The center believes that it has appropriate support for any tax positions taken, and as such, does not have any uncertain tax positions that are material to the financial statements.”

“NET RENTAL INCOME 1,107.”

“Capital grants and contributions 342,108.”

“RENTAL EXPENSES 1,106.”

“Expenses related to collection of artifacts on loan and not capitalized 51,494.”