Understanding Private Foundations, DAFs and Other Forms of Philanthropy

Are you a donor, a grant-seeker, a philanthropic manager, or a professional adviser to any of them? If so, you need to know the rules that distinguish various philanthropic structures. Knowing what rules apply — and how to apply them — can make the difference between success and failure of your projects.

This webinar will focus on private foundations and their special requirements, but will compare private foundations with donor advised funds, supporting organizations, and other forms of charitable activity. We will discuss when you might want to form a 501(c)(4) social welfare organization as a “foundation” that isn’t a private foundation.

With private foundations, we will focus on the 1.39% excise tax on investment income (why you need to know the tax basis of property given to you), self-dealing (compared to excess benefits at public charities), the minimum distribution requirement (and a currently legal way to avoid it), excess business holdings, jeopardy investments and socially responsible investments, and taxable expenditures, including the limitations on lobbying.

We will explain why many “conversion foundations” formed from the sale of charitable hospitals elected to become community foundations to avoid the limitations on lobbying. We will explain how private foundations can support the lobbying activities of others and provide working capital for economic development. We will explain how the managers of a private foundation can terminate the foundation but continue the fun of grantmaking.

We will discuss the private foundation rules not only from the perspective of private foundation managers seeking to comply, but also from the perspective of grant seekers seeking to fit their projects within the limitations of a private foundation’s program.

From a broader perspective of philanthropy, we will discuss the rise in nonprofit journalism, the Chan-Zuckerberg initiative, use of (c)(4) social welfare organizations as an alternative to charity, and how the Paul Newman Foundation resolved its excess benefit holdings issue in a way that might help other private foundations.

Don Kramer, Esq., Editor of Nonprofit Issues® will present. Melissa Sines, Interim Standards for Excellence Director for the Pennsylvania Association of Nonprofit Organizations (PANO), will serve as moderator. This program is offered in partnership with PANO.

Participants will receive a package of materials from Nonprofit Issues® and PANO.

Participants who rated this program all called it “excellent” or  "exceeded expectations."

Not a current Nonprofit Issues subscriber? Purchase this webinar and receive a three-month introductory subscription for FREE

Not available for the live event on the 10th? Buy today, and we'll send you the recording. 

Need to add others from your organization? You can add up to 5 additional attendees for $45 with your purchase of one full price registration. Add multiple participants by adding this product to your cart.

Pennsylvania CLE & CPE
This program is approved to provide continuing legal and continuing professional education credits for lawyers and accountants in Pennsylvania.