LAW TALK: The New Rules of Sponsorship

It's a good time to take a look at the proposed new rules on corporate sponsorship that the Internal Revenue Service expects to finalize soon. The IRS proposal focuses on the nature of the benefits received by a sponsor in return for its payment. Where a corporation makes a "qualified sponsorship payment," that is, a payment for which there is no expectation that the sponsor will receive a substantial benefit, the income received by the sponsored organization is not subject to tax as