MASSACHUSETTS CREDIT UNION SHARE INSURANCE CORPORATION AND SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEARS ENDED SEPTEMBER 30, 2023 AND 2022
N OTE 2 - S UMMARY OF S IGNIFICANT A CCOUNTING P OLICIES (C ONTINUED ) M ORTGAGE F ULFILLMENT S ERVICES MSIC Partners, LLC provides mortgage fulfillment services to several credit unions. The LLC recognizes revenue as services are performed for the credit unions. R ECOVERIES Recoveries of previously charged-off assets and capital assistance are recorded as revenue on the cash basis, or when the amount is quantifiable and collectability is assured. I NCOME T AXES The Corporation is exempt from federal and Massachusetts state and local income taxes under Internal Revenue Code Section 501(c)(6) and Massachusetts General Laws, except on net income derived from unrelated business activities. The Corporation derives income from the sale of Custom Performance Reports and investment income generated by borrowed funds, which are considered unrelated business activities; however, no significant taxable income has been generated during the years ended September 30, 2023 and 2022. The Corporation measures its unrecognized tax positions and assesses the likelihood, based on their technical merit, that tax positions will be sustained upon examination based on the facts, circumstances and information available at the end of each period. The measurement of unrecognized tax positions is adjusted when new information is available, or when an event occurs that requires a change. Interest and penalties associated with unrecognized tax positions, if any, would be classified as interest expense and additional income taxes, respectively, in the consolidated statements of operations. The Corporation did not identify any uncertain tax positions at September 30, 2023 and 2022. The Corporation is subject to routine audits by taxing jurisdictions; however, there are currently no audits for any periods in progress. C OMPREHENSIVE I NCOME (L OSS ) Accounting principles generally accepted in the United States of America require that recognized revenue, expenses, gains and losses be included in net income. Although certain changes in assets and liabilities are reported as a separate component of the equity section of the consolidated balance sheets, such items, along with net income, are components of comprehensive income (loss).
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88 INTERNATIONAL COLLABORATION
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