Foundations Must Remain Alert to Potential Self-Dealing—Part I
Author: Katherine E. David, J.D..
Source: Volume 17, Number 04, May/June 2018 , pp.3-8(6)
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Abstract:
The prohibition on self-dealing transactions between a private foundation and a “disqualified person” is absolute, and the penalties—in the form of excise taxes and potential loss of private foundation status—are severe. Because the question of whether a self-dealing transaction has occurred often turns on technical definitional issues, it is important that foundation managers and their advisors understand the rules. This article, the first in a series, will examine the definition of “disqualified person.”Keywords: Self-Dealing ; IRC §4941; Disqualified Persons
Affiliations:
1: Clark Hill Strasburger.