Resource Search Results - Exponent Philanthropy


Results for:   Topic: “Tax and Legal”  

Nonprofit Sector 101

Nonprofit sector collectively describes the institutions and organizations in American society that are neither government nor business. Nonprofit is a layperson’s term describing a range of organizations—including private foundations—that contribute to the public good. The nonprofit sector in the United States contains more than 1.5 million nonprofit organizations comprising at least 7% of the U.S.... Read More

10 Ways Self-Dealing Can Creep Into a Foundation’s Work

The general rule is this: Certain insiders known as disqualified persons are prohibited from engaging in a specific list of transactions with a private foundation, unless exists a stated exception exists. If you are a board member, officer, or substantial contributor to a private foundation, you, your family members, and entities controlled by you must... Read More

Is Our Foundation Likely to Experience an IRS Audit?

Less than one-quarter of 1% of all tax returns filed by private foundations are examined by the Internal Revenue Service. Yet, certain states have seen an increase in attorney general inquiries (i.e., audits) into the operations of private foundations and components of the Form 990-PF, which usually accompanies a state filing. Attorney general audits can... Read More

Three Types of Audits

Foundations may undergo three types of audits: independent audits (those elected by your foundation); Internal Revenue Service (IRS) audits; and state-level audits. An independent audit happens when a foundation hires an outside auditor to assess its finances and show that it has internal controls and built-in checks and balances. Independent audits ensure that your foundation’s... Read More

Starting a Private Foundation

Private foundations play an important role in communities across the country—filling the shelves of food pantries, employing directors of youth centers, advocating for human rights, and much more. Opportunities abound for you to make a difference through private foundation giving. How do you determine if a private foundation is right for you? Know the field... Read More

A Foundation Sued by a Potential Grantee

The Northwest Area Foundation (NWAF) of Minnesota was sued in November 2002 by a potential grantee located in the Yakima Valley of Washington State. NWAF, a grantmaking foundation established in 1934, was organized to help communities throughout an eight-state region reduce poverty. It makes grants totaling approximately $18 million per year. Under its Community Ventures... Read More