Private Foundation Law Made Easy

Now your foundation can be fully informed about the basic legal requirements affecting private foundations and avoid the perils lurking in nonprofit tax law traps. Private Foundation Law Made Easy clearly shows you how, with information on reaping the charitable and tax advantages of your private foundation. Filled with straightforward guidance, author Bruce Hopkins?a leading authority on the laws regulating private foundations?demystifies this topic for you and your board members with practical legal information in easy-to-understand English.

Preface xiii

About the Author xv

Chapter 1 Private Foundations and Public Charities 1

Chapter 2 Disqualified Persons 30

Chapter 3 Tax Law Rules In General 45

Chapter 4 Mandatory Payout Rules 68

Chapter 5 Prohibited Expenditures Rules 96

Chapter 6 Self-Dealing Rules 124

Chapter 7 Investment Rules 152

Chapter 8 Business Holdings Rules 178

Chapter 9 Charitable Giving 202

Chapter 10 Reporting and Disclosure Requirements 221

Chapter 11 Alternatives to Private Foundations 243

Chapter 12 Governance Principles and Trustee Liability 268

Index 296

Bruce R. Hopkins is the country's leading authority on tax-exempt organizations and is a senior partner with the firm Polsinelli Shalton Flanigan Suelthaus PC. He is the author or coauthor of more than twenty books, including The Law of Tax-Exempt Organizations, Ninth Edition; Planning Guide for the Law of Tax-Exempt Organizations; Nonprofit Law Made Easy; Charitable Giving Law Made Easy; The Law of Fundraising, Fourth Edition; Private Foundations: Tax Law and Compliance, Third Edition; The Tax Law of Charitable Giving, Third Edition; The Law of Intermediate Sanctions; and IRS Audits of Tax-Exempt Organizations: Policies, Practices, and Procedures; as well as the newsletter Bruce R. Hopkins' Nonprofit Counsel, all published by Wiley.

The ins and outs of private foundation law—made easy!

Written by renowned author Bruce R. Hopkins, Private Foundation Law Made Easy is a must-read guide for accountants, consultants, investors—anyone needing to know the essentials of the laws involving private foundations.

This authoritative guide presents in-depth discussions on the differences between a private foundation and a public charity, as well as the special foundation rules concerning tax law rules, mandatory payouts, prohibited expenditures, self-dealing, and excess business holdings. It also covers crucial prudent investment standards, unrelated business rules, and charitable giving rules.

Designed to get you quickly up to speed, you will discover:

• How to invest your foundation's endowment
• Invaluable information on assets involved in the calculation of the mandatory payout requirement
• Advice on how to file annual returns with the IRS
• The alternatives to private foundations
• How to creatively use supporting organizations

Packed with practical tips and invaluable advice, Private Foundation Law Made Easy sheds light on complex legal issues concerning private foundations with plain-language explanations of laws and regulations for non-legal professionals.