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As part of an estate gift, a donor left our university partial ownership of a local company. We are waiting on the valuation of the company to book that as part of the estate giving. In the meantime we have received (and will continue to receive) quarterly distributions from the company earnings. Can we also book these quarterly distributions from the company? Or do those fall under investment earnings and income to the university, not a charitable gift? If we can book the earnings as a gift, does it go on the company's record? We are divided on the appropriate way to record. Is there a source we could point to that would support recording or not recording the distributions as a gift? Thanks, Amy -- *Amy Reed* | Executive Director of Advancement Services Anderson University | 1100 E. Fifth St, Anderson, IN 46012 765-641-4062 - O | 765-702-6463 - M | www.anderson.edu

No, you cannot book any earning distributions past the date you became part owner in the company. John John Taylor 919.816.5903 johntaylorconsulting@gmail.com Big ideas; small keyboard > On Feb 28, 2019, at 8:50 AM, Amy Reed <amreed@anderson.edu> wrote: > > As part of an estate gift, a donor left our university partial ownership of a local company. We are waiting on the valuation of the company to book that as part of the estate giving. > In the meantime we have received (and will continue to receive) quarterly distributions from the company earnings. Can we also book these quarterly distributions from the company? Or do those fall under investment earnings and income to the university, not a charitable gift? If we can book the earnings as a gift, does it go on the company's record? > We are divided on the appropriate way to record. Is there a source we could point to that would support recording or not recording the distributions as a gift? > > Thanks, > > Amy > -- > > Amy Reed | Executive Director of Advancement Services > Anderson University | 1100 E. Fifth St, Anderson, IN 46012 > 765-641-4062 - O | 765-702-6463 - M | www.anderson.edu

Thank you for confirming. To help us inform our business office and VP, is there something we can point to that explains why that is the case? Does it fall under investment earnings that are not reportable based on CASE Reporting Standards? Thanks, Amy On Thu, Feb 28, 2019 at 9:16 AM John Taylor <johntaylorconsulting@gmail.com> wrote: > No, you cannot book any earning distributions past the date you became > part owner in the company. > > John > > John Taylor > 919.816.5903 > johntaylorconsulting@gmail.com > > Big ideas; small keyboard > > On Feb 28, 2019, at 8:50 AM, Amy Reed <amreed@anderson.edu> wrote: > > As part of an estate gift, a donor left our university partial ownership > of a local company. We are waiting on the valuation of the company to book > that as part of the estate giving. > In the meantime we have received (and will continue to receive) quarterly > distributions from the company earnings. Can we also book these quarterly > distributions from the company? Or do those fall under investment > earnings and income to the university, not a charitable gift? If we can > book the earnings as a gift, does it go on the company's record? > We are divided on the appropriate way to record. Is there a source we > could point to that would support recording or not recording the > distributions as a gift? > > Thanks, > > Amy > -- > > *Amy Reed* | Executive Director of Advancement Services > Anderson University | 1100 E. Fifth St, Anderson, IN 46012 > 765-641-4062 - O | 765-702-6463 - M | www.anderson.edu > > -- *Amy Reed* | Executive Director of Advancement Services Anderson University | 1100 E. Fifth St, Anderson, IN 46012 765-641-4062 - O | 765-702-6463 - M | www.anderson.edu

You cannot make a gift to yourself! You can simply remind them that you cannot count as a gift the earnings from your own endowment. Nor can't you count stock dividends you received that are awarded after the date stock was placed in your name. I am confident your Business Office will understand this. John John H. Taylor Principal, John H. Taylor Consulting 2604 Sevier St. Durham, NC 27705 johntaylorconsulting@gmail.com 919.816.5903 (cell/text) Serving the Advancement Community Since 1987 On Thu, Feb 28, 2019 at 9:23 AM Amy Reed <amreed@anderson.edu> wrote: > Thank you for confirming. > To help us inform our business office and VP, is there something we can > point to that explains why that is the case? Does it fall under investment > earnings that are not reportable based on CASE Reporting Standards? > > Thanks, > > Amy > > On Thu, Feb 28, 2019 at 9:16 AM John Taylor < > johntaylorconsulting@gmail.com> wrote: > >> No, you cannot book any earning distributions past the date you became >> part owner in the company. >> >> John >> >> John Taylor >> 919.816.5903 >> johntaylorconsulting@gmail.com >> >> Big ideas; small keyboard >> >> On Feb 28, 2019, at 8:50 AM, Amy Reed <amreed@anderson.edu> wrote: >> >> As part of an estate gift, a donor left our university partial ownership >> of a local company. We are waiting on the valuation of the company to book >> that as part of the estate giving. >> In the meantime we have received (and will continue to receive) quarterly >> distributions from the company earnings. Can we also book these quarterly >> distributions from the company? Or do those fall under investment >> earnings and income to the university, not a charitable gift? If we can >> book the earnings as a gift, does it go on the company's record? >> We are divided on the appropriate way to record. Is there a source we >> could point to that would support recording or not recording the >> distributions as a gift? >> >> Thanks, >> >> Amy >> -- >> >> *Amy Reed* | Executive Director of Advancement Services >> Anderson University | 1100 E. Fifth St, Anderson, IN 46012 >> 765-641-4062 - O | 765-702-6463 - M | www.anderson.edu >> >> > > -- > > *Amy Reed* | Executive Director of Advancement Services > Anderson University | 1100 E. Fifth St, Anderson, IN 46012 > 765-641-4062 - O | 765-702-6463 - M | www.anderson.edu >