Imago Dei Middle School

“Financial statements fin 48 (asc 740) footnote: the organization is exempt from income taxes under both federal (internal revenue code section 501(c)(3)) and arizona 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 organization's tax-exempt purpose, however, may be subject to taxation as unrelated business taxable income ("ubti"). Gaap requires management to perform an evaluation of all tax positions taken or expected to be taken in the course of preparing the organization'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. The organization is only subject to income taxes on ubti as applicable. As a result, the organization 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 2012 for federal and 2011 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.”

“The endowment fund (the fund) was established by the organization's board of directors to provide a reliable source of revenue over time to support the operations of imago dei middle school and to manage funds that are designated by donors for specific purposes.”