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Another Question is Answered in the Who's the Employer Q&A Column
S. Derrin Watson, on BenefitsLink Link to more items from this source
July 12, 2006
A nonprofit organization-- specifically, a cemetary that is tax-exempt under section 501(c)(13) of the Internal Revenue Code-- has a 6-person board of directors. Under its bylaws, the board elects next year's board by majority vote. Four of the 6 on the current board are 'representatives of' a for-profit funeral home (a corporation), within the meaning of Prop. Treas. Reg. 1.414(c)-5(b).... Does the for-profit corporation 'control' the non-profit organization?

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