Recent Private Letter Rulings of Interest
Author: Katherine E. David, J.D..
Source: Volume 17, Number 05, July/August 2018 , pp.14-16(3)
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Abstract:
For as long as IRC §4942 has been the law, private foundations have been permitted to meet their minimum distribution requirements through the use of “set-asides” that were approved in advance by the IRS. To obtain such approval, a foundation must establish both that (1) the amount set aside will be paid for a specific project within five years and (2) the project is one that can better be accomplished by the set-aside than by immediate payment of funds. Our regular round up of private letter rulings highlights recent rulings that approved set-asides and provide insight into the types of projects that the IRS considers to meet the requirements. Approved set-asides included construction, conservation, and historic preservation projects. We also look at PLRs approving program-related investments, and rulings approving changes to organizations’ foundation status.Keywords: Set-asides
Affiliations:
1: Clark Hill Strasburger.