The board will appoint a new eight-member board to govern Bob Jones Education Group.The transition process began in late 2014 with a study of how to achieve tax exemption.“We are made of one blood.”Bob Jones University lost its tax exemption after a 13-year battle with the IRS over whether the university’s policies against interracial dating precluded it as a non-taxable religious educational institution.
Last May 5, the Board of Trustees approved the final plan for pursuing tax exemption and the administration has been working to implement it since then.At the same time, the university has been seeking regional accreditation through the Southern Association of Colleges and Schools Commission on Colleges.How BJU will be structured On March 1, Bob Jones University, Inc. and will remain the university’s taxable entity and will donate about half its assets to the non-taxable BJU, Inc.The university’s assets will effectively be split between the two organizations. will include the university and most of its facilities, the art museum, elementary school and child development center.The case rose to the Supreme Court, which ruled in 1983 that the IRS could revoke the university’s tax-exempt status because the government’s interest in eradicating racial discrimination from education overrode the university’s First Amendment rights to religious free speech.
The case has been cited many times through the years.Across the table from me was a South Korean guy who had watched videos of me eating KFC during his time serving for his home country's national military.He had told me that watching my videos made him happy and miss America.The change levels the playing field between the university and other sister institutions when applying for grants, he said. Department of Education has targeted for-profit colleges with added oversight in recent years and fined several for-profit networks of colleges under the Obama administration, which resulted in colleges like Corinthian College and ITT Technical Institute closing down.It also moves BJU from a for-profit college to a nonprofit classification with the U. Department of Education, “which is frequently perceived more favorably by the public,” Page said. And though the university operates debt-free and doesn’t plan to take on debt, it could potentially save through lower interest rates if it chose to take on debt, Page said.Donors couldn’t give tax-deductible gifts to the university itself to help with capital campaigns or for university initiatives.