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Teachers' union challenges tax status of charter operator White Hat

By staff and wire reports

COLUMBUS: The Ohio Federation of Teachers has sent a letter requesting an IRS investigation of charter school operator White Hat Management, contending the private company based in Akron has violated the terms of its tax-free status.

The union alleges that Life Skills Centers and Hope Academies operated by White Hat don't qualify for tax-exempt status because many of them share board members, trademarks and contracts.

Under IRS rules, to keep a tax exemption board members need to be unaffiliated with the management company and have authority over their own budgets and staff.

The teachers union outlined its complaint in a letter Thursday to the IRS.

Officials with White Hat Management could not be immediately reached for comment.

White Hat operates 38 Life Skills schools in Ohio, Colorado, Michigan and Florida. The company operates 12 Hope Academies in Ohio. The Life Skills Centers focus on computer-aided learning for dropouts.

COLUMBUS: The Ohio Federation of Teachers has sent a letter requesting an IRS investigation of charter school operator White Hat Management, contending the private company based in Akron has violated the terms of its tax-free status.

The union alleges that Life Skills Centers and Hope Academies operated by White Hat don't qualify for tax-exempt status because many of them share board members, trademarks and contracts.

Under IRS rules, to keep a tax exemption board members need to be unaffiliated with the management company and have authority over their own budgets and staff.

The teachers union outlined its complaint in a letter Thursday to the IRS.

Officials with White Hat Management could not be immediately reached for comment.

White Hat operates 38 Life Skills schools in Ohio, Colorado, Michigan and Florida. The company operates 12 Hope Academies in Ohio. The Life Skills Centers focus on computer-aided learning for dropouts.



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