Rocky Mountain Mutual Housing

PART X, LINE 2:

“Rmc and its consolidated nonprofit corporations are exempt from federal and state income taxes under section 501(c)(3) of the internal revenue code and comparable state statutes. Rmc did not have any unrelated business income for the years ended december 31, 2024 and 2023. All nonprofit corporations are required to file tax returns with the irs and other taxing authorities.accordingly, these consolidated financial statements do not reflect a provision for income taxes and there are no other tax positions which must be considered for disclosure. Certain subsidiaries of the organization are disregarded entities for income tax purposes and do not file an income tax return. Taxable income or loss passes through to the sole member to be reported on its tax return. These subsidiaries do not take any tax positions which must be considered for disclosure. Accordingly, these consolidated financial statements do not reflect a provision for income taxes. The limited partnerships and limited liability companies in which the organization has an ownership interest have elected to be treated as pass-through entities for income tax purposes and, as such, are not subject to income taxes. Rather, all items of taxable income, deductions and tax credits are passed through to and are reported by its owners on their respective income tax returns. The partnerships' federal tax statuses are based on their legal status as a partnership. Accordingly, the partnerships are not required to take any tax positions in order to qualify as a pass-through entity. The partnerships are required to file and do file tax returns with the internal revenue service and other taxing authorities. Accordingly, these consolidated financial statements do not reflect a provision for income taxes and the partnerships have no other tax positions which must be considered for disclosure. Management has analyzed the tax positions taken by the organization and has concluded that, as of december 31, 2024 and 2023, there are no uncertain tax positions that would require recognition of a liability (or asset) or disclosure in the consolidated financial statements. Income tax returns filed by the entities are subject to examination by the internal revenue service for a period of three years. While no income tax returns are currently being examined by the internal revenue service, tax years since 2021 remain open.”