Entertainment Events

Entertainment events put on by students are treated as related activities, even if a substantial portion of the audience and revenue come from the general public. These activities would not be subject to unrelated business income tax (UBIT). 

Entertainment events involving professional entertainers could generate unrelated business income. These events should be carefully reviewed to determine if there is a related educational purpose. Events conducted in a manner not distinguishable from those of a commercial promoter or arena are typically unrelated and subject to UBIT.