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the supporting organization, would normally be engaged
in by the publicly supported organizations themselves.
The second alternative (referred to as the “attentiveness
subtest”) is laid out in section 1.509(a)-4(i)(3)(iii), Income
Tax Regs.:
(a) The supporting organization makes payments of
substantially all of its income to or for the use of
one or more publicly supported organizations, and the
amount of support received by one or more of such
publicly supported organizations is sufficient to
insure the attentiveness of such organizations to the
operations of the supporting organization. In
addition, a substantial amount of the total support of
the supporting organization must go to those publicly
supported organizations which meet the attentiveness
requirement of this subdivision with respect to such
supporting organization. Except as provided in (b) of
this subdivision, the amount of support received by a
publicly supported organization must represent a
sufficient part of the organization’s total support so
as to insure such attentiveness. In applying the
preceding sentence, if such supporting organization
makes payments to, or for the use of, a particular
department or school of a university, hospital or
church, the total support of the department or school
shall be substituted for the total support of the
beneficiary organization.
(b) Even where the amount of support received by a
publicly supported beneficiary organization does not
represent a sufficient part of the beneficiary
organization’s total support, the amount of support
received from a supporting organization may be
sufficient to meet the requirements of this subdivision
if it can be demonstrated that in order to avoid the
interruption of the carrying on of a particular
function or activity, the beneficiary organization will
be sufficiently attentive to the operations of the
supporting organization. This may be the case where
either the supporting organization or the beneficiary
organization earmarks the support received from the
supporting organization for a particular program or
activity, even if such program or activity is not the
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