Tax and Legal Archives - Page 4 of 13 - Exponent Philanthropy


Topic: “Tax and Legal”

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

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

Key Private Foundation Laws

Private foundations are subject to several sections within the Internal Revenue Code (IRC). The following list is not comprehensive but addresses eight sections that will guide foundation managers throughout the life of the foundation: Section 4940 imposes an annual excise tax on a private foundation’s net investment income. Foundations will need to pay taxes on... Read More

Comparing Private Foundations and Public Charities

Although all 501(c)(3) organizations are organized and operated exclusively for religious, charitable, or educational purposes, there are two main types of organizations that fall under this classification:  public charities and private foundations. Organizations that qualify as public charities do so by having significant public influence, such as a third or more of their income’s coming... Read More