Unrelated Business Taxable Income Law and Legal Definition

“Unrelated business taxable income is generally defined as the gross income derived by any organization from any unrelated trade or business regularly carried on by it, less the deductions allowed by the chapter which are directly connected with the carrying on of such trade or business, both computed with the modifications provided in I.R.C. § 512(b).” [Henry E. & Nancy Horton Bartels Trust ex rel. Cornell Univ. v. United States, 2010 U.S. App. LEXIS 18678 (Fed. Cir. Sept. 7, 2010)].