Epidaurus DBA Amity Foundation

“Amounts held for others consist of amounts received and held by the organization on behalf of students participating in their programs. These funds are included in restricted cash and cash equivalents on the statement of financial position.”

“Fin 48 (asc 740) financial statement footnote: amity is exempt from income taxes under both federal (internal revenue code section 501(c)(3)) and california income tax laws, and is classified as other than a private foundation. Accordingly, no provision for federal and state income taxes is made. Income from certain activities not directly related to the entity's tax-exempt purpose, however, may be subject to taxation as unrelated business taxable income (ubti). Asociacion, residences, and veterans are a single-member limited liability company and, as such, are disregarded entities for tax purposes. Arv is taxable as a corporation; however there is curretly no activity in the corporation so no tax provision has been recorded. Gaap requires management to perform an evaluation of all tax positions taken or expected to be taken in the course of preparing the entity's tax returns to determine whether the tax positions meet a "more likely than not" standard of being sustained under examination by the applicable taxing authorities. This evaluation is required to be performed for all open tax years, as defined by the various statutes of limitations, for federal and state purposes. Amity is only subject to income taxes on ubti as applicable. As a result, amity is required to file informational returns for federal and state purposes and, if it has ubti, federal and state income tax returns. With limited exceptions, the organization is no longer subject to tax examination for any years earlier than 2011 for federal and 2010 for state. Management has performed its evaluation of tax positions taken on all open tax returns and has determined that there were no positions taken that do not meet the "more likely than not" standard. From time to time, the organization may be subject to penalties and interest assessed by various taxing authorities, which are classified as general and administrative expenses if they occur.”