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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.Now donors’ gifts will be tax-deductible, Page said.“It helps when you’re trying to raise money for an organization to have a tax-exempt status,” Page said.“That obviously helps your advancement folks, your development folks and those in the community – companies, individuals, alumni – to make it easier to donate to a nonprofit.”The change wouldn’t affect students’ scholarships or grants and wouldn’t affect employees, he said.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.

The issue in the court case was the university’s refusal to allow interracial dating or marriage among students, staff or faculty of the university, a rule it has since abandoned.The university, which is listed as a candidate for accreditation, notified the commission of its potential changes, which wouldn’t affect its candidacy, Page said.The university presented SACSCOC with its proposal plan for tax exemption and there is no change in governance, said Pamela Cravey, SACSCOC spokeswoman."The action was an IRS matter and did not constitute a substantive change," Cravey said, SACSCOC has considered the university as a not-for-profit, she said.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.

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