Rev. Proc. 2014-35 - Safe harbors for welfare exclusion as applied to Indian tribal government programs 

June 3: The IRS today released an advance version of Rev. Proc. 2014-35 that provides safe harbors for applying the general welfare exclusion to Indian tribal government programs.

Under the general welfare exclusion, payments or benefits under certain governmental programs for the promotion of the general welfare are not includible in a recipient’s gross income.

Rev. Proc. 2014-35 [PDF 53 KB] provides safe harbors for benefits provided under certain housing, educational, elder and disabled, cultural and religious, and other qualifying assistance programs of Indian tribal governments. Accordingly, the value of benefits under these programs received by tribal members and certain non-members will not be included in income, and certain benefits will not be treated as compensation for services.

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