Knoll View Corporation

“Under the terms of the tenants' lease agreements, each tenant is required to make a security deposit equal to approximately one month's rent. Amounts are retained until the tenant vacates, at which time such deposits are returned to the tenant less deductions for damages.”

“The corporation is a not-for-profit organization that is exempt from federal income taxes on related income pursuant to section 501(c)(3) of the internal revenue code and classified by the internal revenue service as other than a private foundation. The corporation is also exempt under title 15 of the state of new jersey corporations and associations not-for-profit act. Accordingly, no provision for federal or state income tax has been presented in the accompanying financial statements. The corporation follows the provisions of fasb asc, income taxes. The standard prescribes a minimum recognition threshold and measurement methodology that a tax position taken or expected to be taken in a tax return is required to meet before being recognized in the financial statements. It also provides guidance for derecognition, classification, interest and penalties, accounting in interim periods, disclosure, and transition related to those tax positions. The corporation does not expect a significant increase or decrease to the total amounts of unrecognized tax positions during the year ended december 31, 2024. However, the corporation is subject to audit by tax authorities, including a review of its nonprofit status which management believes would be upheld upon examination. The corporation believes that it has appropriate support for the positions taken on its tax returns. Nonetheless, the amounts ultimately paid, if any, upon resolution of the issues raised by the taxing authorities may differ materially from the amounts accrued for each year. The corporation files informational returns with both the federal and new jersey state governments on an annual basis - form 990 with the internal revenue service, and form cri-200 with the state. These returns are subject to examination by these authorities within three years from the latest filing date for federal.”