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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.That existing nonprofit was called Bob Jones Elementary School, Inc. The restructuring came after “consultation with legal counsel and accountants with many years of experience in assisting tax exempt organizations—as well as input from members of the BJU community and our congressional delegation,” Pettit said.The change didn’t require IRS approval because its elementary school was already a nonprofit, though the university had formal correspondence and conversations with the IRS, said Randy Page, BJU spokesman.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.

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“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.

BJU Press writers also will come under the umbrella of BJU, Inc.

The for-profit arm of the university – Bob Jones Education Group, Inc.

In a move that’s been more than two years in the making, Bob Jones University announced Wednesday it would regain its federal tax-exempt status on March 1, more than three decades after the IRS stripped its nonprofit status following a landmark U. The conservative Christian university dropped its interracial dating ban in a nationally televised interview with past president Bob Jones III on CNN’s Larry King Live in 2000.

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.

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