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        <ExplanationTxt>Placer Valley Tourism is exempt from Federal and State Income taxes under Internal Revenue Code Section 501(c)(6) and California Franchise Tax Board Code Section 23701d. Placer Valley Sports Complex Inc., is exempt from federal and state income taxes under internal revenue code section 501(c)(3) and Franchise Tax Board Section 23701d. Management considers the likelihood of changes by taxing authorities in its filed tax returns and recognizes a liability for or discloses potential significant changes if it believes it is more likely than not for a change to occur. Management believes the Corporations have met the requirements to maintain its tax exempt status and has no income subject to unrelated business income tax; therefore, no provision for income taxes has been provided in these financial statements.</ExplanationTxt>
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