NCU & Title IV

Beats me. I have asked this question too but no one seems to have a clear answer.

forprofits are taxpaying. Notprofits are tax exempt.
If a notprofit charges $18,000 a year, it gets to keep all $18,000 to it itself! Since they do not have to pay taxes, one would think that they could come up with more affordable tuition for their students.
So far, forprofit NCU is the only pure distance education institution that seems to take this into consideration. What a paradox to see a forprofit charging reasonable tuition and the other notprofit distance schools charging their students an arm and a leg.

 

ONe would think...

One would think if Title IV is good Title V would be even better....

 

Confusion....

Not for profit does not necessarily mean tax exempt....

 

Re: Confusion....

Hmm. Under what circumstances would a non-profit not be tax-exempt? And what would be the incentive to declare onesself a non-profit if one wasn't tax-exempt?

 

Re: Re: Confusion....

A non-profit must apply to become tax exempt here are some sites explaining such:

http://en.wikipedia.org/wiki/Non_profit

http://www.irs.gov/charities/charitable/article/0,,id=96099,00.html

http://smallbusiness.findlaw.com/business-structures/non-profit/non-profit-becoming-tax-exempt.html