A bill to amend the Internal Revenue Code of 1954 relative to educational activities and advertising income of nonprofit organizations.

Amends the Internal Revenue Code to permit members of tax-exempt organizations to purchase goods and services related to the organization's exempt activities at prices more favorable than are available to nonmembers without jeopardizing the tax-exempt status of the organization.

Limits the amount of advertising income of a tax-exempt organization which is subject to the unrelated business tax to the lesser of the amount of net income derived from advertising or the net amount derived from subscriptions to the organization's periodical and the advertising contained therein.