Instructions For Form 5227 - 2016 (Page 8 of 20) in pdf

2. Receivables that are subject to the same terms and

mature in 1 year or more. Debt securities of the U.S.

conditions (including credit limits and rate of interest) as

Government may be reported as a single total rather than

receivables due from the general public and that arose in

itemized. Obligations of state and municipal governments

connection with an activity functionally related to the trust's

may also be reported as a lump-sum total. Don't combine

charitable purposes may be reported as a single total for all

U.S. Government obligations with state and municipal

the officers, directors, etc. Travel advances made in

obligations on the attached statement.

connection with official business of the trust may also be

Line 46. Investments—land, buildings, and equipment.

reported as a single total.

Enter the book value (cost or other basis less accumulated

depreciation) of all land, buildings, and equipment held for

For each outstanding loan or other receivable that must be

investment purposes, such as rental properties. Attach a

reported separately, the attached statement should use a

statement listing these investment fixed assets held at the

columnar format and show the following information:

end of the year and showing, for each item or category listed,

Borrower's name and title,

the cost or other basis, accumulated depreciation, and book

Original amount,

value.

Balance due,

Date of note,

Line 47. Investments—other. Enter the amount of all other

Maturity date,

investment holdings not reported on line 45 or line 46. Attach

Repayment terms,

a statement describing each of these investments held at the

Interest rate,

end of the year. Show the book value for each and indicate

Security provided by the borrower,

whether the investment is listed at cost or end-of-year market

Purpose of the loan, and

value. Don't include program-related investments. See

Description and FMV of the consideration furnished by the

instructions for line 49.

lender.

Line 48. Land, buildings, and equipment. Enter the book

The above detail isn't required for receivables or travel

value (cost or other basis less accumulated depreciation) of

advances that may be reported as a single total (see

all land, buildings, and equipment owned by the trust and not

instruction (2) above). However, report and identify those

held for investment. This includes any equipment owned and

totals separately in the attachment.

used by the trust in conducting its charitable activities. Attach

Line 42. Other notes and loans receivable. Enter the

a statement listing these fixed assets held at the end of the

combined total of notes receivable and net loans receivable.

year and showing for each item or category listed, the cost or

Notes receivable. Enter the amount of all notes

other basis, accumulated depreciation, and book value.

receivable not listed on line 41 and not acquired as

Line 49. Other assets. List and show the book value of

investments. Attach a statement similar to that called for in

each category of assets not reportable on lines 38 through

the line 41 instructions. The statement should also identify

48. Attach a separate statement if more space is needed.

the relationship of the borrower to any officer, director,

One type of asset reportable on line 49 is program-related

trustee, or other disqualified person.

investments made primarily to accomplish a charitable

For a note receivable from any section 501(c)(3)

purpose of the trust rather than to produce income.

organization, list only the name of the borrower and the

Line 50. Total assets. Columns (a) and (b) (and column (c)

balance due on the required statement.

if a unitrust) must always have an entry, even if it is zero.

Loans receivable. Enter the gross amount of loans

receivable, less the allowance for doubtful accounts, arising

Line 51. Accounts payable and accrued expenses.

from the normal activities of the trust. An itemized list of these

Enter the total accounts payable to suppliers and others, and

loans isn't required, but attach a statement indicating the total

accrued expenses such as salaries payable, accrued payroll

amount of each type of loan outstanding. Report loans to

taxes, and interest payable.

officers, directors, trustees, or other disqualified persons on

Line 52. Deferred revenue. Include revenue that the

line 41, and loans to other employees on line 49.

organization has received but not yet earned as of the

Line 43. Inventories for sale or use. Enter the amount of

balance sheet date under its method of accounting.

materials, goods, and supplies purchased or manufactured

Line 53. Loans from officers, directors, trustees, and

by the trust and held for sale or use in some future period.

other disqualified persons. Enter the unpaid balance of

Line 44. Prepaid expenses and deferred charges. Enter

loans received from officers, directors, trustees, and other

the amount of short-term and long-term prepayments of

disqualified persons. For loans outstanding at the end of the

future expenses attributable to one or more future accounting

year, attach a statement that provides (for each loan) the

periods. Examples include prepayments of rent, insurance,

name and title of the lender and the information specified in

and pension costs, and expenses incurred in connection with

the line 41 instructions.

a solicitation campaign to be conducted in a future

Line 54. Mortgages and other notes payable. Enter the

accounting period.

amount of mortgages and other notes payable at the

Lines 45a, b, and c. Investments—U.S. and state gov-

beginning and end of the year. Attach a statement showing,

ernment obligations, corporate stock, and corporate

as of the end of the year, the total amount of all mortgages

bonds. Enter the book value (which may be market value) of

payable and, for each nonmortgage note payable, the name

these investments. Attach a statement that lists each security

of the lender and the other information specified in the line 41

held at the end of the year and shows whether the security is

instructions. The statement should also identify the

listed at cost (including the value recorded at the time of

relationship of the lender to any officer, director, trustee, or

receipt in the case of donated securities) or end-of-year

other disqualified person.

market value. Don't include amounts shown on line 39.

Governmental obligations reported on line 45a are those that

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Instructions for Form 5227

Instructions For Form 5227 - 2016 Page 8

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