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Research universities are nonprofit, tax-exempt organizations that serve the public good through their education, research, and other public service missions. These multifaceted institutions primarily finance their operations through annual charitable giving, tuition, state funding, endowment income, and federal research grants and contracts.

Research universities require complex management and financial systems to run their operations and to ensure compliance with federal, state, and local laws and regulations. At the same time, federal tax law can have a significant impact on these institutions.

AAU monitors federal issues that affect the ability of universities to perform their missions.

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