Description
Understand how to identify suitable transferee organizations and distribute foundation assets appropriately.
When faced with the task of winding down operations and distributing remaining assets to a public charity, many private foundations often do not know how to navigate the myriad rules and requirements imposed by the tax code. As a result, such private foundations may find themselves with unexpected liabilities in the form of taxes andor penalties at a time when their administrative capacity is at its lowest. This presentation will help the persons managing the winddown of private foundations understand first how to identify suitable transferee organizations and distribute foundation assets appropriately and then how to terminate private foundation status without incurring unexpected taxes or penalties. The live webinar also explains how to determine and minimize any potential liabilities in advance and lessen the administrative burden of termination. Failing to have a proper plan prior to terminating private foundation status is one of the most common errors private foundations make when winding down and can lead to avoidable and often expensive liabilities. This workshop is critical for private foundation advisors and fiduciaries so they can ensure their plan for termination meets IRS requirements.
Date: 2023-10-23 Start Time: 1:00 PM ET End Time: 2:05 PM ET
Learning Objectives
* You will be able to identify appropriate transferee organizations to receive private foundation assets in connection with a termination of status under IRC Section 507(b)(1)(A).
* You will be able to describe the process for a taxfree termination of private foundation status.
* You will be able to review a transfer agreement and determine whether it imposes adverse restrictions that would prevent a taxfree termination of private foundation status under IRC Section 507(b)(1)(A).
* You will be able to recognize the common pitfalls of terminating private foundation status.