Playhouse Square Foundation

“Playhouse square foundation's ("psf") endowment consists of individual donor-restricted endowment funds established to support the mission of psf. Psf's endowment includes both donor-restricted endowment funds and funds designated by the board to function as endowments.”

“The internal revenue service (irs) has determined the foundation to be exempt from federal income taxes under section 501(c)(3) of the internal revenue code. The foundation adopted the accounting for uncertainty in income taxes topic of the asc, which clarifies the accounting for uncertainty in income taxes recognized in financial statements and prescribes a recognition threshold and measurement attribute for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. The foundation files a form 990 (return of organization exempt from income tax) annually. When the foundation's tax returns are filed, it is highly certain that some positions taken would be sustained upon examination by the taxing authorities, while others are subject to uncertainty about the merits of the position taken or the amount of the position that would ultimately be sustained. Examples of tax positions common to non-profit entities include such matters as the tax exempt status of each entity and the nature, characterization and taxability of various positions relative to potential sources of unrelated business taxable income (ubti). Ubti is reported on form 990t, as appropriate. The benefit of a tax position is recognized in the consolidated financial statements in the period during which, based on all available evidence, management believes that it is more likely than not that the position will be sustained upon examination, including the resolution of appeals or litigation processes, if any. Tax positions are offset or aggregated with other positions. Tax positions that meet the more likely than not recognition threshold are measured as the largest amount of tax benefit that is more than 50 percent likely to be realized on settlement with the applicable taxing authority. The portion of the benefits associated with tax positions taken that exceeds the amount measured as described above would be reflected as a liability for unrecognized tax benefits in the accompanying consolidated statement of financial position along with any associated interest and penalties that would be payable to the taxing authorities upon examination. Tax returns filed by the foundation are subject to examination by the irs up to three years from the filing date of each return. Forms 990 and 990t filed by the foundation are no longer subject to examination for the years 2011 and prior.”