What the Kennedy Center’s Tax Return Reveals

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article-content-body"><header class="ArticleHero_root__3w7kV ArticleHero_articleStandard__2tcdv" data-event-module="hero"><div class=""><div class="ArticleHero_defaultArticleLockup__vb8lz"><div class="ArticleHero_rubric__e4rjD"><div class="ArticleRubric_root__HNhbf" id="rubric" data-flatplan-rubric="true"><a class="ArticleRubric_link__nl9hy" href="https://www.theatlantic.com/culture/" data-event-element="rubric">Culture</a></div></div><div class="ArticleHero_title__PQ4pC"><h1 class="ArticleTitle_root__VrZaG" data-flatplan-title="true">What the Kennedy Center’s Tax Return Reveals</h1></div><div class="ArticleHero_dek__EqdkK" data-flatplan-description="true"><p class="ArticleDek_root__P3leE">A previously unseen filing captures the state of the institution seven months after Donald Trump’s takeover.</p></div><div class="ArticleHero_byline__iFT6A"><div class="ArticleBylines_root__IBR5V"><address id="byline">By <a class="ArticleBylines_link__kNP4C" href="https://www.theatlantic.com/author/janay-kingsberry/" data-event-element="author" data-flatplan-author-link="true">Janay Kingsberry</a></address></div></div></div><div class="ArticleLeadArt_root__nRSLU"><figure class="ArticleLeadFigure_root__Bj81R ArticleLeadFigure_standard__20Izv"><div class="ArticleLeadFigure_media__R1npW" data-flatplan-lead_figure_media="true"><picture><img alt="The exterior of the Kennedy Center" class="Image_root__XxsOp ArticleLeadArt_image__HZS4B" sizes="(min-width: 976px) 976px, 100vw" srcSet="https://cdn.theatlantic.com/thumbor/Hs1rKJICYdy8WaXvk4TCc_ObxzM=/0x0:5236x2945/750x422/media/img/mt/2026/09/2026_09_17_Ken_Center_Finances/original.jpg 750w, https://cdn.theatlantic.com/thumbor/w2fySBPDJjCP96Mhh3IQdgF-KhE=/0x0:5236x2945/828x466/media/img/mt/2026/09/2026_09_17_Ken_Center_Finances/original.jpg 828w, https://cdn.theatlantic.com/thumbor/cE9pZ2BTdBjeN-VGVzYAJIRyzTg=/0x0:5236x2945/960x540/media/img/mt/2026/09/2026_09_17_Ken_Center_Finances/original.jpg 960w, https://cdn.theatlantic.com/thumbor/tQd89Bk0lDFlYvDwscaTEpItXpc=/0x0:5236x2945/976x549/media/img/mt/2026/09/2026_09_17_Ken_Center_Finances/original.jpg 976w, https://cdn.theatlantic.com/thumbor/tkeSbLKre2FHRv5MzEAjQZUjIkk=/0x0:5236x2945/1952x1098/media/img/mt/2026/09/2026_09_17_Ken_Center_Finances/original.jpg 1952w" src="https://cdn.theatlantic.com/thumbor/cE9pZ2BTdBjeN-VGVzYAJIRyzTg=/0x0:5236x2945/960x540/media/img/mt/2026/09/2026_09_17_Ken_Center_Finances/original.jpg" id="article-lead-image" width="960" height="540"/></picture></div><figcaption class="ArticleLeadFigure_caption__Byu7W ArticleLeadFigure_standardCaption__PsDkd" data-flatplan-lead_figure_caption="true">Andrew Harnik / Getty</figcaption></figure></div></div><div class="ArticleHero_articleUtilityBar__JbQFj"><div class="ArticleHero_timestamp__bKhcB"><time class="ArticleTimestamp_root__b3bL6" dateTime="2026-09-18T19:52:00Z" data-flatplan-timestamp="true"><span class="ArticleTimestamp_part__XMEfV">September 18, 2026,</span> <span class="ArticleTimestamp_part__XMEfV">3:52 PM ET</span></time> </div><div class="ArticleHero_articleUtilityBarTools__ZHw8s"><div class="ArticleShare_root__Mq0RB" tabindex="-1"><button class="ArticleShare_shareButton__X0cIe" aria-haspopup="true" aria-controls=":Rp2pllhim:" aria-expanded="false" data-action="click share - expand" data-event-verb="shared" data-event-element="share dropdown"><span class="ArticleShare_text__oQKBy">Share</span><svg width="15" height="15" fill="none" xmlns="http://www.w3.org/2000/svg" class="ArticleShare_buttonIcon__B86vV"><path fill-rule="evenodd" clip-rule="evenodd" d="M7.335.272a.25.25 0 01.337 0l4.623 4.204a.25.25 0 01.017.353l-.336.37a.25.25 0 01-.353.016L8.004 1.926v7.9a.25.25 0 01-.25.25h-.5a.25.25 0 01-.25-.25V1.924l-3.62 3.291a.25.25 0 01-.353-.016l-.336-.37a.25.25 0 01.016-.353L7.335.272zM.5 7.545a.25.25 0 00-.25.25v6.75c0 .138.112.25.25.25h14a.25.25 0 00.25-.25v-6.75a.25.25 0 00-.25-.25H14a.25.25 0 00-.25.25v6H1.25v-6a.25.25 0 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article-injector-ad lead-article-ad ad-injector-article-start" format="injector" sizes-at-0="mobile-wide" targeting-pos="injector-article-start" sizes-at-976="desktop-wide"></gpt-ad></header><div><section class="ArticleBody_root__2gF81" data-event-module="article body" data-flatplan-body="true"><p class="ArticleParagraph_root__4mszW" data-flatplan-paragraph="true">For 19 months, Donald Trump has portrayed himself as the Kennedy Center’s savior. He promised to root out “woke” programming at the arts complex. He claimed that past leaders had neglected dangerous conditions in the building—a structure that he now says might have to be <a data-event-element="inline link" href="https://www.washingtonpost.com/style/2026/09/16/lawmaker-requests-emergency-hearing-kennedy-center-remains-closed/">“ripped down”</a> if he can’t put his name on it. Throughout his tenure, he and his allies have accused former executives of financial mismanagement and even <a data-event-element="inline link" href="https://www.washingtonpost.com/entertainment/2025/05/20/trump-kennedy-center-claims-financial-mismanagement/">“fraud”</a> that left the organization struggling.</p><p class="ArticleParagraph_root__4mszW" data-flatplan-paragraph="true">Now there’s a fuller picture of the finances Trump inherited—and of what happened during his first months in charge. A previously unseen federal tax filing captures an institution in transition: It spans the final months of its previous leadership and roughly seven months under Trump, offering a baseline for understanding a financial crisis that has grown more severe over the year that has followed. (The Kennedy Center provided me with the filing because nonprofits are required to do so within 30 days of a request.)</p><p class="ArticleParagraph_root__4mszW" data-flatplan-paragraph="true">On paper, the Kennedy Center had an extraordinary financial year. It reported more than $516 million in total revenue on its 990 form for the fiscal year that began in October 2024 and ended last September—a nearly $210 million increase from the previous year.</p><p class="ArticleParagraph_root__4mszW" data-flatplan-paragraph="true">But that windfall appears to have been largely driven by a summer infusion of federal renovation money, which Trump had asked Congress to include in its One Big Beautiful Bill Act and is now threatening to <a data-event-element="inline link" href="https://www.theatlantic.com/culture/2026/09/kennedy-center-trump-beatty/688637/">withhold</a>. If you subtract the $257 million in renovation funds from the revenue, the Kennedy Center appears to have spent nearly $47 million more than it took in that fiscal year, a precipitous drop compared with the funds reported on its previous 990. Notably, the new filing includes a $48 million “bad debt expense,” which is essentially a write-down of previously recorded revenue that an organization no longer expects to collect. In the fiscal year ending in 2024, when the center was led by President Deborah Rutter and a bipartisan board of trustees, it brought in about $40 million more than it spent. (The Kennedy Center and the White House did not immediately respond to questions about the return.)</p><p class="ArticleParagraph_root__4mszW" data-flatplan-paragraph="true">Stripping out the renovation money does not necessarily mean the Kennedy Center ran a $47 million deficit last fiscal year. Two experts I spoke with cautioned that the tax return does not provide enough information to make that calculation cleanly.<br/> <br/> One of them, Michael Kaiser, an arts-management consultant and a former Kennedy Center president, told me that 990s combine operating revenue and expenses with capital funding and other sources of income, making it difficult to isolate the institution’s underlying financial performance from top-line figures. “It combines everything into one mush,” he said. The other expert, Cleopatra Charles, a Rutgers University professor whose research focuses on nonprofit organizations and financial management, reached a similar conclusion. Taken at face value, she told me, the filing depicts a “very financially healthy organization.” Total revenue increased by roughly 68 percent, and contributions and grants more than doubled, allowing the center to report that $210 million surplus. But much of that apparent improvement came from a one-off appropriation rather than the Kennedy Center’s own programming or fundraising efforts. The form noted $301.5 million in federal appropriations—a figure that includes both the money from the One Big Beautiful Bill Act and the roughly $45 million in annual funding the center typically receives.</p><p class="ArticleParagraph_root__4mszW" data-flatplan-paragraph="true">The tax filing bolsters what reporting (and rows of empty seats at performances) over the past year and a half has shown. Program-service revenue, a category that includes ticket sales and other income generated by programming, fell from nearly $105 million the previous year to about $89 million. Kaiser cautioned that this figure can fluctuate considerably depending on the mix of productions. A blockbuster musical such as <em>Hamilton</em>, for instance, could bring a significant bump in ticket revenue that disappears the following year.</p><div class="ArticleLegacyHtml_root__WFd2I ArticleLegacyHtml_paragraph__cY6a3 ArticleLegacyHtml_standard__kC_zi"><figure class="c-embedded-video"><div class="embed-wrapper" style="display: block; position:relative; width:100%; height:0; overflow:hidden; padding-bottom:129.41%;"><iframe allow="fullscreen" class="lazyload" data-include="module:theatlantic/js/utils/iframe-resizer" data-src="https://embed.documentcloud.org/documents/28654443-kc-public-disclosure-990/?embed=1" height="11" style="position:absolute; width:100%; height:100%; top:0; left:0; border:0;" title="embedded interactive content" width="8.5"></iframe></div></figure></div><p class="ArticleParagraph_root__4mszW" data-flatplan-paragraph="true">Other figures on the return raise more questions than answers. There was an unusual increase in net income from unrelated business activities, which rose from about $27,000 in 2023–24 to more than $517,000 in the latest year reported. But the filing does not make clear what generated this increase. Charles pointed out a roughly $43 million increase in “other expenses” that lacked a clear explanation of what they were—including nearly $35 million categorized as “other contracted services.” Taken together, she said, the line items lacked sufficient context about the center’s finances—and an independent audit would offer more clarity. But according to the 990 form, the annual audit was not completed by the time of filing. That’s “very unusual,” a former official with knowledge of Kennedy Center governance and financial practices told me, speaking on the condition of anonymity out of fear of professional repercussions. Audits are usually made available to the public by January or February each year.</p><p class="ArticleParagraph_root__4mszW" data-flatplan-paragraph="true">The Kennedy Center that Trump took over was still recovering from the pandemic, during which it shut down entirely; it did not reopen fully until fall 2021. The center posted deficits during the pandemic but had surpluses in the two years before the Trump takeover. It draws revenue from ticket sales, charitable giving, government funding, campus rentals, and other sources. Trump’s putsch disrupted several of those streams: Many artists canceled performances, a segment of the audience began to boycott the center, and some donors pulled back on contributions. That included perhaps the center’s most important benefactor in recent years. To become the Kennedy Center’s chairman, Trump ousted the private-equity billionaire <a data-event-element="inline link" href="https://www.theatlantic.com/politics/2025/12/david-rubenstein-carlyle-kennedy-center-private-equity/684985/">David Rubenstein</a>, who had donated more than $100 million to the organization.</p><p class="ArticleParagraph_root__4mszW" data-flatplan-paragraph="true">By last fall, ticket sales to classical-music and theater performances <a data-event-element="inline link" href="https://www.washingtonpost.com/entertainment/2025/10/31/kennedy-center-sales/">were in free fall</a> and the center had taken on a more political flavor, hosting evangelical-Christian and conservative events as well as the World Cup draw, where Trump received the FIFA Peace Prize. But it’s unclear if the Kennedy Center was able to make up the ground it had lost in ticket sales by attracting more donors. <em>The Washington Post</em> reported last month that ticket sales and donations had plunged even further after last December, when a board largely composed of Trump allies voted to rename the Kennedy Center to honor the current president.</p><p class="ArticleParagraph_root__4mszW" data-flatplan-paragraph="true">The ongoing legal battle over the future of the organization centers on two issues: the appropriateness of that board’s decision this March to shut down for the renovation, and whether Trump’s name can be added to a “living memorial” to a slain president. Center officials recently warned that the organization was <a data-event-element="inline link" href="https://www.nytimes.com/2026/09/13/arts/design/trump-kennedy-center-bankruptcy-closure.html">nearing bankruptcy</a>—confirming many observers’ suspicions. The board wants Trump’s help to raise the necessary funds, and to recognize his efforts by inscribing his name on the building, which a federal judge has rejected several times, saying Congress did not permit such a change when it established the venue.</p><p class="ArticleParagraph_root__4mszW" data-flatplan-paragraph="true">The latest tax document arrives during an extraordinary week at the center. On Tuesday, the judge ruled—again—that the Kennedy Center cannot add Trump’s name. The same day, the board voted—again—for a full closure of the main building, a move that’s still being held up in court. At that meeting, the president upbraided the member of Congress who’s behind the legal fight to halt his efforts, and then went on Truth Social with an ultimatum: He would let a renovation proceed only if federal courts let the board inscribe his name on the building, potentially casting the entire arts complex into operational limbo. Still, even as Trump issued the threat, he also announced he would move $17 million he had raised into a Kennedy Center account to keep the institution afloat. The following day, the center barred the public from entering the building and directed all nonessential personnel to work from home, citing a recent collapse of a portion of the ceiling and other maintenance issues. Trump told reporters that day that in order for the center to be rescued, “I think that the Trump administration should be recognized.” That night, Trump was photographed on Air Force One holding a placard that appeared to read <span class="smallcaps">Kennedy Center DEMOLISHED</span>, fueling speculation that a teardown, once seen as far-fetched, has been on his mind all along. Yesterday, the same federal judge issued another order barring the Kennedy Center’s demolition.</p><p class="ArticleParagraph_root__4mszW" data-flatplan-paragraph="true">The financial consequences of those twists and turns won’t come into full view for a while. The latest tax return captures only seven months of Trump’s takeover. It was signed by the Kennedy Center’s chief financial officer, Donna Arduin Kauranen, one of the officials brought in after the transition. Kauranen had previously served as a budget director for several Republican governors, but like many of the new hires under Trump, she hadn’t worked in nonprofit arts management. Even seasoned arts managers would hardly have been prepared for the operational roller coaster that has been Trump’s run at the Kennedy Center.</p><p class="ArticleParagraph_root__4mszW" data-flatplan-paragraph="true">On Tuesday, the same day that Trump made his latest demand, Kauranen resigned.</p><div class="ArticleBody_divider__GpNxD" id="article-end"></div></section></div><div data-event-module="footer"><div class="ArticleWell_root__fueCa"><div data-event-module="author footer" class="ArticleFooter_authorFooter__5NsdY"><div class="SectionHeading_root__3GnqT"><h3 class="SectionHeading_heading__iNkek">About the Author</h3></div><div class="ArticleBio_root__ua8zj"><address id="article-writer-0" class="ArticleBio_author__6pDyl" data-event-element="author" data-event-position="1"><div class="ArticleBio_content__O0ZVF"><div class="ArticleBio_topContainer__QYRU4"><a class="ArticleBio_headshotContainer__Am2nR" href="https://www.theatlantic.com/author/janay-kingsberry/" data-event-element="image" aria-label="Read more by Janay Kingsberry"><img alt="" loading="lazy" class="Image_root__XxsOp Image_lazy__hYWHV ArticleBio_headshot__6Aykd" src="https://cdn.theatlantic.com/thumbor/zZgHtTp5O8OcI3_zwDAO-wwesCE=/431x0:1574x1143/120x120/media/img/authors/2026/05/Kingsberry_headshot_Square/original.jpg" width="60" height="60"/></a><div><div class="ArticleBio_bioNameMulti__gvg_b"><a href="https://www.theatlantic.com/author/janay-kingsberry/" data-event-element="author name">Janay Kingsberry</a></div></div></div><div class="ArticleBio_bioSection__Hef4P"><div class="ArticleBio_bioSection__Hef4P" data-flatplan-bio="true"><a href="https://www.theatlantic.com/author/janay-kingsberry/" class="author-link" data-label="https://www.theatlantic.com/author/janay-kingsberry/" data-action="click author - name" >Janay Kingsberry</a> is a staff writer at <em>The Atlantic</em>. 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Kingsberry\",\"__typename\":\"Author\",\"id\":\"Author:39386\",\"isFollowable\":false,\"biography\":{\"default\":\"\u003ca href=\\\"https://www.theatlantic.com/author/janay-kingsberry/\\\" class=\\\"author-link\\\" data-label=\\\"https://www.theatlantic.com/author/janay-kingsberry/\\\" data-action=\\\"click author - name\\\" \u003eJanay Kingsberry\u003c/a\u003e is a staff writer at \u003cem\u003eThe Atlantic\u003c/em\u003e. She can be reached on Signal at janaykingsberry.29.\",\"__typename\":\"Biography\"},\"headshot\":{\"width\":120,\"height\":120,\"srcSet\":\"https://cdn.theatlantic.com/thumbor/zZgHtTp5O8OcI3_zwDAO-wwesCE=/431x0:1574x1143/120x120/media/img/authors/2026/05/Kingsberry_headshot_Square/original.jpg, https://cdn.theatlantic.com/thumbor/EqEXq33Ad-lK5JMTXpFpJf_p2WE=/431x0:1574x1143/240x240/media/img/authors/2026/05/Kingsberry_headshot_Square/original.jpg 2x\",\"url\":\"https://cdn.theatlantic.com/thumbor/zZgHtTp5O8OcI3_zwDAO-wwesCE=/431x0:1574x1143/120x120/media/img/authors/2026/05/Kingsberry_headshot_Square/original.jpg\",\"__typename\":\"BasicImage\"},\"river\":{\"edges\":[{\"cursor\":\"MjAyNi0wOS0xOCAxNTo1MjowMHw2ODg2Njk=\",\"node\":{\"id\":\"BlogArticle:688669\",\"title\":\"What the Kennedy Center’s Tax Return Reveals\",\"url\":\"https://www.theatlantic.com/culture/2026/09/kennedy-center-trump-tax-return/688669/\",\"__typename\":\"BlogArticle\"},\"__typename\":\"PromoEdge\"},{\"cursor\":\"MjAyNi0wOS0xNSAyMDo1NDowMHw2ODg2Mzc=\",\"node\":{\"id\":\"BlogArticle:688637\",\"title\":\"A Shouting Match and an Ultimatum at the Kennedy Center\",\"url\":\"https://www.theatlantic.com/culture/2026/09/kennedy-center-trump-beatty/688637/\",\"__typename\":\"BlogArticle\"},\"__typename\":\"PromoEdge\"},{\"cursor\":\"MjAyNi0wOS0wOCAxMTo1NjowMHw2ODg1NDQ=\",\"node\":{\"id\":\"BlogArticle:688544\",\"title\":\"Why Lonnie Bunch Is Leaving the Smithsonian\",\"url\":\"https://www.theatlantic.com/culture/2026/09/lonnie-bunch-will-leave-smithsonian/688544/\",\"__typename\":\"BlogArticle\"},\"__typename\":\"PromoEdge\"}],\"__typename\":\"RiverConnection\"},\"slug\":\"janay-kingsberry\",\"socialMedia\":[]}],\"authorContext\":\"\",\"categories\":[{\"slug\":\"high-converters\",\"__typename\":\"Category\"}],\"content\":[{\"__typename\":\"ArticleParagraphContent\",\"subtype\":null,\"idAttr\":\"\",\"innerHtml\":\"For 19 months, Donald Trump has portrayed himself as the Kennedy Center’s savior. He promised to root out “woke” programming at the arts complex. He claimed that past leaders had neglected dangerous conditions in the building—a structure that he now says might have to be \u003ca data-event-element=\\\"inline link\\\" href=\\\"https://www.washingtonpost.com/style/2026/09/16/lawmaker-requests-emergency-hearing-kennedy-center-remains-closed/\\\"\u003e“ripped down”\u003c/a\u003e if he can’t put his name on it. Throughout his tenure, he and his allies have accused former executives of financial mismanagement and even \u003ca data-event-element=\\\"inline link\\\" href=\\\"https://www.washingtonpost.com/entertainment/2025/05/20/trump-kennedy-center-claims-financial-mismanagement/\\\"\u003e“fraud”\u003c/a\u003e that left the organization struggling.\"},{\"__typename\":\"ArticleParagraphContent\",\"subtype\":null,\"idAttr\":\"\",\"innerHtml\":\"Now there’s a fuller picture of the finances Trump inherited—and of what happened during his first months in charge. A previously unseen federal tax filing captures an institution in transition: It spans the final months of its previous leadership and roughly seven months under Trump, offering a baseline for understanding a financial crisis that has grown more severe over the year that has followed. (The Kennedy Center provided me with the filing because nonprofits are required to do so within 30 days of a request.)\"},{\"__typename\":\"ArticleParagraphContent\",\"subtype\":null,\"idAttr\":\"\",\"innerHtml\":\"On paper, the Kennedy Center had an extraordinary financial year. It reported more than $516 million in total revenue on its 990 form for the fiscal year that began in October 2024 and ended last September—a nearly $210 million increase from the previous year.\"},{\"__typename\":\"ArticleParagraphContent\",\"subtype\":null,\"idAttr\":\"\",\"innerHtml\":\"But that windfall appears to have been largely driven by a summer infusion of federal renovation money, which Trump had asked Congress to include in its One Big Beautiful Bill Act and is now threatening to \u003ca data-event-element=\\\"inline link\\\" href=\\\"https://www.theatlantic.com/culture/2026/09/kennedy-center-trump-beatty/688637/\\\"\u003ewithhold\u003c/a\u003e. If you subtract the $257 million in renovation funds from the revenue, the Kennedy Center appears to have spent nearly $47 million more than it took in that fiscal year, a precipitous drop compared with the funds reported on its previous 990. Notably, the new filing includes a $48 million “bad debt expense,” which is essentially a write-down of previously recorded revenue that an organization no longer expects to collect. In the fiscal year ending in 2024, when the center was led by President Deborah Rutter and a bipartisan board of trustees, it brought in about $40 million more than it spent. (The Kennedy Center and the White House did not immediately respond to questions about the return.)\"},{\"__typename\":\"ArticleParagraphContent\",\"subtype\":null,\"idAttr\":\"\",\"innerHtml\":\"Stripping out the renovation money does not necessarily mean the Kennedy Center ran a $47 million deficit last fiscal year. Two experts I spoke with cautioned that the tax return does not provide enough information to make that calculation cleanly.\u003cbr/\u003e \u003cbr/\u003e One of them, Michael Kaiser, an arts-management consultant and a former Kennedy Center president, told me that 990s combine operating revenue and expenses with capital funding and other sources of income, making it difficult to isolate the institution’s underlying financial performance from top-line figures. “It combines everything into one mush,” he said. The other expert, Cleopatra Charles, a Rutgers University professor whose research focuses on nonprofit organizations and financial management, reached a similar conclusion. Taken at face value, she told me, the filing depicts a “very financially healthy organization.” Total revenue increased by roughly 68 percent, and contributions and grants more than doubled, allowing the center to report that $210 million surplus. But much of that apparent improvement came from a one-off appropriation rather than the Kennedy Center’s own programming or fundraising efforts. The form noted $301.5 million in federal appropriations—a figure that includes both the money from the One Big Beautiful Bill Act and the roughly $45 million in annual funding the center typically receives.\"},{\"__typename\":\"ArticleParagraphContent\",\"subtype\":null,\"idAttr\":\"\",\"innerHtml\":\"The tax filing bolsters what reporting (and rows of empty seats at performances) over the past year and a half has shown. Program-service revenue, a category that includes ticket sales and other income generated by programming, fell from nearly $105 million the previous year to about $89 million. Kaiser cautioned that this figure can fluctuate considerably depending on the mix of productions. A blockbuster musical such as \u003cem\u003eHamilton\u003c/em\u003e, for instance, could bring a significant bump in ticket revenue that disappears the following year.\"},{\"__typename\":\"ArticleLegacyHtml\",\"tagName\":\"P\",\"idAttr\":\"\",\"className\":\"\",\"style\":\"\",\"innerHtml\":\"\u003cfigure class=\\\"c-embedded-video\\\"\u003e\u003cdiv class=\\\"embed-wrapper\\\" style=\\\"display: block; position:relative; width:100%; height:0; overflow:hidden; padding-bottom:129.41%;\\\"\u003e\u003ciframe allow=\\\"fullscreen\\\" class=\\\"lazyload\\\" data-include=\\\"module:theatlantic/js/utils/iframe-resizer\\\" data-src=\\\"https://embed.documentcloud.org/documents/28654443-kc-public-disclosure-990/?embed=1\\\" height=\\\"11\\\" style=\\\"position:absolute; width:100%; height:100%; top:0; left:0; border:0;\\\" title=\\\"embedded interactive content\\\" width=\\\"8.5\\\"\u003e\u003c/iframe\u003e\u003c/div\u003e\u003c/figure\u003e\"},{\"__typename\":\"ArticleParagraphContent\",\"subtype\":null,\"idAttr\":\"\",\"innerHtml\":\"Other figures on the return raise more questions than answers. There was an unusual increase in net income from unrelated business activities, which rose from about $27,000 in 2023–24 to more than $517,000 in the latest year reported. But the filing does not make clear what generated this increase. Charles pointed out a roughly $43 million increase in “other expenses” that lacked a clear explanation of what they were—including nearly $35 million categorized as “other contracted services.” Taken together, she said, the line items lacked sufficient context about the center’s finances—and an independent audit would offer more clarity. But according to the 990 form, the annual audit was not completed by the time of filing. That’s “very unusual,” a former official with knowledge of Kennedy Center governance and financial practices told me, speaking on the condition of anonymity out of fear of professional repercussions. Audits are usually made available to the public by January or February each year.\"},{\"__typename\":\"ArticleParagraphContent\",\"subtype\":null,\"idAttr\":\"\",\"innerHtml\":\"The Kennedy Center that Trump took over was still recovering from the pandemic, during which it shut down entirely; it did not reopen fully until fall 2021. The center posted deficits during the pandemic but had surpluses in the two years before the Trump takeover. It draws revenue from ticket sales, charitable giving, government funding, campus rentals, and other sources. Trump’s putsch disrupted several of those streams: Many artists canceled performances, a segment of the audience began to boycott the center, and some donors pulled back on contributions. That included perhaps the center’s most important benefactor in recent years. To become the Kennedy Center’s chairman, Trump ousted the private-equity billionaire \u003ca data-event-element=\\\"inline link\\\" href=\\\"https://www.theatlantic.com/politics/2025/12/david-rubenstein-carlyle-kennedy-center-private-equity/684985/\\\"\u003eDavid Rubenstein\u003c/a\u003e, who had donated more than $100 million to the organization.\"},{\"__typename\":\"ArticleParagraphContent\",\"subtype\":null,\"idAttr\":\"\",\"innerHtml\":\"By last fall, ticket sales to classical-music and theater performances \u003ca data-event-element=\\\"inline link\\\" href=\\\"https://www.washingtonpost.com/entertainment/2025/10/31/kennedy-center-sales/\\\"\u003ewere in free fall\u003c/a\u003e and the center had taken on a more political flavor, hosting evangelical-Christian and conservative events as well as the World Cup draw, where Trump received the FIFA Peace Prize. But it’s unclear if the Kennedy Center was able to make up the ground it had lost in ticket sales by attracting more donors. \u003cem\u003eThe Washington Post\u003c/em\u003e reported last month that ticket sales and donations had plunged even further after last December, when a board largely composed of Trump allies voted to rename the Kennedy Center to honor the current president.\"},{\"__typename\":\"ArticleParagraphContent\",\"subtype\":null,\"idAttr\":\"\",\"innerHtml\":\"The ongoing legal battle over the future of the organization centers on two issues: the appropriateness of that board’s decision this March to shut down for the renovation, and whether Trump’s name can be added to a “living memorial” to a slain president. Center officials recently warned that the organization was \u003ca data-event-element=\\\"inline link\\\" href=\\\"https://www.nytimes.com/2026/09/13/arts/design/trump-kennedy-center-bankruptcy-closure.html\\\"\u003enearing bankruptcy\u003c/a\u003e—confirming many observers’ suspicions. The board wants Trump’s help to raise the necessary funds, and to recognize his efforts by inscribing his name on the building, which a federal judge has rejected several times, saying Congress did not permit such a change when it established the venue.\"},{\"__typename\":\"ArticleParagraphContent\",\"subtype\":null,\"idAttr\":\"\",\"innerHtml\":\"The latest tax document arrives during an extraordinary week at the center. On Tuesday, the judge ruled—again—that the Kennedy Center cannot add Trump’s name. The same day, the board voted—again—for a full closure of the main building, a move that’s still being held up in court. At that meeting, the president upbraided the member of Congress who’s behind the legal fight to halt his efforts, and then went on Truth Social with an ultimatum: He would let a renovation proceed only if federal courts let the board inscribe his name on the building, potentially casting the entire arts complex into operational limbo. Still, even as Trump issued the threat, he also announced he would move $17 million he had raised into a Kennedy Center account to keep the institution afloat. The following day, the center barred the public from entering the building and directed all nonessential personnel to work from home, citing a recent collapse of a portion of the ceiling and other maintenance issues. Trump told reporters that day that in order for the center to be rescued, “I think that the Trump administration should be recognized.” That night, Trump was photographed on Air Force One holding a placard that appeared to read \u003cspan class=\\\"smallcaps\\\"\u003eKennedy Center DEMOLISHED\u003c/span\u003e, fueling speculation that a teardown, once seen as far-fetched, has been on his mind all along. Yesterday, the same federal judge issued another order barring the Kennedy Center’s demolition.\"},{\"__typename\":\"ArticleParagraphContent\",\"subtype\":null,\"idAttr\":\"\",\"innerHtml\":\"The financial consequences of those twists and turns won’t come into full view for a while. The latest tax return captures only seven months of Trump’s takeover. It was signed by the Kennedy Center’s chief financial officer, Donna Arduin Kauranen, one of the officials brought in after the transition. Kauranen had previously served as a budget director for several Republican governors, but like many of the new hires under Trump, she hadn’t worked in nonprofit arts management. Even seasoned arts managers would hardly have been prepared for the operational roller coaster that has been Trump’s run at the Kennedy Center.\"},{\"__typename\":\"ArticleParagraphContent\",\"subtype\":null,\"idAttr\":\"\",\"innerHtml\":\"On Tuesday, the same day that Trump made his latest demand, Kauranen resigned.\"}],\"editorialProject\":null,\"primaryCategory\":{\"__typename\":\"Channel\",\"displayName\":\"Culture\",\"url\":\"https://www.theatlantic.com/culture/\",\"slug\":\"culture\"},\"primaryChannel\":{\"slug\":\"culture\",\"__typename\":\"Channel\",\"displayName\":\"Culture\"},\"reviews\":[],\"embeds\":[{\"type\":\"iframe\",\"src\":\"https://embed.documentcloud.org/documents/28654443-kc-public-disclosure-990/?embed=1\",\"__typename\":\"Embed\"}],\"preview\":null,\"tags\":[{\"name\":\"Donald Trump\",\"url\":\"https://www.theatlantic.com/tag/person/donald-trump/\",\"__typename\":\"Tag\",\"slug\":\"donald-trump\"},{\"name\":\"John F. Kennedy Center for the Performing Arts\",\"url\":\"https://www.theatlantic.com/tag/location/john-f-kennedy-center-for-the-performing-arts/\",\"__typename\":\"Tag\",\"slug\":\"john-f-kennedy-center-for-the-performing-arts\"},{\"name\":\"government\",\"url\":null,\"__typename\":\"Tag\",\"slug\":\"government\"},{\"name\":\"politics and government\",\"url\":null,\"__typename\":\"Tag\",\"slug\":\"politics-and-government\"},{\"name\":\"revenue\",\"url\":null,\"__typename\":\"Tag\",\"slug\":\"revenue\"},{\"name\":\"tax return\",\"url\":null,\"__typename\":\"Tag\",\"slug\":\"tax-return\"}],\"layout\":\"standard\",\"secondaryByline\":\"\",\"dek\":\"A previously unseen filing captures the state of the institution seven months after Donald Trump’s takeover.\",\"url\":\"https://www.theatlantic.com/culture/2026/09/kennedy-center-trump-tax-return/688669/\",\"shareText\":\"Previously unseen tax filings for the Kennedy Center paint a fuller picture of the finances Trump inherited—and what happened during his first months in charge, Janay Kingsberry reports:\",\"shareTitle\":\"What the Kennedy Center’s Tax Return Reveals\",\"title\":\"What the Kennedy Center’s Tax Return Reveals\",\"datePublished\":\"2026-09-18T19:52:00Z\",\"audio\":null,\"hasAudioRights\":true,\"editorsNote\":null,\"leadArt\":{\"__typename\":\"LeadArtImage\",\"image\":{\"url\":\"https://cdn.theatlantic.com/thumbor/cE9pZ2BTdBjeN-VGVzYAJIRyzTg=/0x0:5236x2945/960x540/media/img/mt/2026/09/2026_09_17_Ken_Center_Finances/original.jpg\",\"width\":960,\"height\":540,\"srcSet\":\"https://cdn.theatlantic.com/thumbor/Hs1rKJICYdy8WaXvk4TCc_ObxzM=/0x0:5236x2945/750x422/media/img/mt/2026/09/2026_09_17_Ken_Center_Finances/original.jpg 750w, https://cdn.theatlantic.com/thumbor/w2fySBPDJjCP96Mhh3IQdgF-KhE=/0x0:5236x2945/828x466/media/img/mt/2026/09/2026_09_17_Ken_Center_Finances/original.jpg 828w, 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