Legal Question in Tax Law in California

I have a rental property I would like to lease to a non-profit organization (501 c3) at a very low rate. They will be able to sub lease and manage the rental at current or reduced rental value to disabled persons. Basically, what are the tax consequences for the non-profit and myself in doing such an agreement? Is there any tax advantages for myself. Would the non-profit be required to pay tax on the income they receive less what they pay me? Let's say the current rental value is $1000 per month but I only rent to the non-profit for $500 per month. They are able to rent the property to a disabled person for 950 per month with a net profit to them of $450 per month. I appreciate any guidance someone can give me on this.

Asked on 10/14/09, 11:04 am

OCEAN BEACH ASSOCIATES OCEAN BEACH ASSOCIATES

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Answered on 10/14/09, 12:39 pm

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