Notes to ComBiNeD fiNANCiAl stAtemeNts
1. iNcome tAxes/tAx stAtus
NBAA has been granted an exemption by the Internal Revenue Service (IRS) from Federal income taxes under the provisions of Section 501(c)(6) of the Internal Revenue Code, except for any relevant tax on lobbying activities and unrelated business income. NBAA is required to report unrelated business income to the Internal Revenue Service and the District of Columbia. NBAA earns unrelated business income on advertising revenue. NBAA incurred income tax expense in the amount of $6,695 and $1,237 for the years ended June 30, 2009 and 2008, respectively.
NBAA Charities has received a determination letter from the Internal Revenue Service that they are not subject to income tax on their exempt activities under Section 501(c)(3) of the Internal Revenue Code. NBAA Charities had no sources of unrelated busi-ness income during the years ended June 30, 2009 and 2008.
EBACE is a two-member limited liability company and is treat-ed as a partnership pursuant to Treasury Regulation Section 301.7701-3 for federal income tax purposes. Generally, partnerships are not subject to entity-level federal or state in-come taxation and, as such, EBACE is not required to provide for income taxes under Statement of Financial Accounting Standards No. 109, Accounting for Income Taxes.
2. coNceNtrAtioN of creDit risk
Financial instruments that potentially subject the Association to concentrations of credit risk are cash and cash equivalents and investments. The Association places its cash in various financial institutions that are federally insured under the Federal Deposi-tory Insurance Corporation Act (FDICA). At times, these balances may exceed federally insured limits.
3. iNvestmeNts iN mArketABle securities
Investments in marketable securities, at fair value, consist of the following at:
Years ended June 30 2009 2008
money market funds $ 4,606,399 $ 4,599,545
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本文链接地址：2009 NBAA annual report 2009 NBAA 年度报告(19)
