University's Tax Status
Sacramento State frequently receives requests for the University's Taxpayer Identification Number (TIN). The University Taxpayer Identification Number is 68-0365325 . Please note that the Internal Revenue Service has assigned each auxiliary at Sacramento State their own unique TIN.
California State University, Sacramento is exempt from Federal income tax as an educational institution under section 115 of the Internal Revenue Code. As a subdivision of the State of California, the University is exempt from filing Internal Revenue Service Form 990 each year. The CSU System does however file a consolidated Form 990-T annually to report Unrelated Business Income Tax.
Sacramento State Auxiliaries (UEI, ASI, University Union, Capitol Public Radio, and University Foundation) are separate legal entities, and are support units of the University. These auxiliaries are exempt organizations under Internal Revenue Code Section 501(c)(3). The auxiliaries are required to file IRS Form 990 annually.
Governmental units are often asked to provide proof of their tax status as part of a grant application. If your organization is applying for a grant from a private foundation, the foundation may request certain information from your organization because of the restrictions imposed by the Code on such foundations. One such restriction imposes a tax on private foundations that make any "taxable expenditures."
Private foundation grants to governmental units for public or charitable purposes are not taxable expenditures under these provisions, regardless of whether the foundation exercises "expenditure responsibility." Under section 53.4945-5(a)(ii) of the Foundation and Similar Excise Tax Regulations, expenditure responsibility is not required for grants for charitable purposes to governmental units (as defined in section 170(c)(1)). In addition, grants to governmental units for public purposes are "qualifying distributions", under section 53.4942(a)-3(a) of the regulations; and, if they are for charitable purposes, will not be taxable expenditures under section 53.4945-6(a). Most grants to governmental units will qualify as being for charitable (as well as public) purposes.
Because of these restrictions, some private foundations require grant applicants to submit a letter from the IRS determining them to be exempt under section 501(c)(3) and classified as a non-private foundation. Such a letter, or an underlying requirement that the recipient be a public charity, is not legally required to be relieved from the restrictions described above, when the prospective grantee is a governmental unit and the grant is for qualifying (public or charitable) purposes.