Private Foundations

Are you considering starting a private foundation? There are different types of private foundations. Some private foundations are nonprofit organizations or charitable organizations that focus on directly conducting charitable activities. Other foundations focus on making grants to other organizations.

In general, foundations offer a number of benefits, including the ability to have a greater impact on the causes you care about, potential tax advantages, and involving your entire family in your philanthropic efforts.

At Chisholm Law, we’re here to help our clients establish nonprofit organizations, including private operating foundations. We can assist you with everything from drafting your foundation's articles of incorporation and bylaws to obtaining tax-exempt status and complying with ongoing regulatory requirements.

Private Foundations

Scholarships

Are you interested in starting charitable programs that award scholarships? Did you know the IRS requires that private foundations submit your scholarship guidelines for approval in advance? Chisholm Law can help.

A nonprofit scholarship organization can be a powerful way to provide financial assistance to deserving students and help them achieve their academic and career goals. By starting a nonprofit scholarship organization, you can make a meaningful difference in the lives of these students and help promote education and opportunities in your community.

Our law firm has extensive experience assisting clients with the process of starting a nonprofit scholarship organization. We can provide guidance and support every step of the way, from choosing a name and organizing your board of directors to filing the necessary paperwork and obtaining tax-exempt status, and drafting scholarship guidelines that meet IRS criteria.

Our law firm helps you start your nonprofit scholarship organization and ensures that your organization is properly managed and your scholarships are awarded in a fair and transparent manner. This can provide peace of mind and help ensure that your organization has a lasting Impact.

Don't let the complexities of starting a nonprofit scholarship organization hold you back. Contact Chisholm Law today and let us help you turn your charitable giving vision into a reality.

Grants to Individuals

A nonprofit grant-making organization can be a powerful way to provide financial assistance to individuals in need and help them achieve their goals. By starting a nonprofit grant-making organization, you can make a meaningful difference in the lives of these individuals and help promote opportunities in your community.

Chisholm Law has extensive experience assisting clients with the process of starting a nonprofit grant-making organization. We can provide guidance and support every step of the way, from choosing a name and organizing your board of directors to filing the necessary paperwork and obtaining tax-exempt status.

We can help you start your nonprofit grant-making organization and help to ensure that your organization is properly managed and your grants are awarded fairly and transparently. This can provide peace of mind and help ensure that your organization has a lasting impact.

Don’t let the complexities of starting a nonprofit grant-making organization hold you back.

Contact Chisholm Law today and let us help you turn your vision into a reality ➔

Relief Funds

A nonprofit relief fund is a type of charitable fund that is established to provide financial assistance to individuals or organizations in need, such as victims of natural disasters or other catastrophic events. By starting a nonprofit relief fund, you can make a meaningful difference in the lives of those affected by these events and help your community recover and rebuild.

Our law firm has extensive experience assisting clients with the process of starting a nonprofit relief fund. We can provide guidance and support every step of the way, from choosing a name and organizing your board of directors to filing the necessary paperwork and obtaining tax-exempt status.

We can help you start your nonprofit relief fund and help to ensure that your fund is properly managed and that your donations are used in accordance with your organization’s mission and goals. This can provide peace of mind and help ensure that your fund has a lasting impact.

Don’t let the complexities of starting a nonprofit relief fund hold you back. Contact our law firm today and let us help you turn your vision into a reality.

IRS Rules for Private Foundations

Ensuring compliance with IRS regulations and the Internal Revenue Code is crucial for all tax-exempt organizations to maintain their tax-exempt status. According to the official IRS website, organizations qualifying for tax exemption under section 501(c)(3) are classified as private foundations unless falling into specific exclusion categories defined in section 509(a).

Additionally, certain nonexempt charitable trusts are treated as private foundations.

All private foundations, including nonexempt trusts treated as such, must annually file tax returns which are subject to public disclosure.

Private foundations are subject to an excise tax on net investment income, with certain foreign foundations also taxed on gross investment income from U.S. sources. This tax, outlined in IRS instructions, must be reported annually and paid at the time of filing or in quarterly estimated tax payments if the total tax for the year is $500 or more.

Private foundations face various restrictions and requirements, such as limitations on self-dealing with substantial contributors and disqualified persons, mandatory annual income distribution for charitable purposes, restrictions on holdings in private businesses, investment guidelines, and provisions ensuring expenditures align with exempt purposes.

Questions?

For personalized guidance and assistance in navigating the intricate landscape of IRS regulations for private foundations, we encourage you to consult with Chisholm Law.

Our team has extensive experience with supporting private organizations, ensuring compliance with IRS requirements and fostering the success of your philanthropic endeavors.

Contact us to start building your charitable organization today.  ➔

Start Your Private Foundation

Embarking on the journey of establishing and managing a private foundation involves navigating a complex web of rules and regulations. At Chisholm Law, we are committed to simplifying this process for you.

Our dedicated team is ready to provide professional assistance, from the initial setup to ongoing compliance, ensuring the success and lasting impact of your philanthropic initiatives. Don't hesitate to take the next step – call Chisholm Law today and let us guide you through every aspect of your private foundation's journey.

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