Page 94 - Large Business IRS Training Guides

Small Business Exemption

A small business exemption taxpayer is one that:

• Is not a tax shelter (as defined in IRC § 448(d)(3)),

and

• Has average annual gross receipts of $25 million

or less (as adjusted for inflation) for the 3 prior tax

years under the gross receipts test of IRC § 448(c).

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