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  • 1.  Family foundation paying for table at an event

    Posted 2 days ago

    We have a family foundation who wants to pay for their table at our annual gala, which consists of ten guests. What are the legal implications of this? Is it up to my nonprofit to determine if they are using their tickets in IRS-compliant ways? They are planning on filling the table on their own, not donating tickets back to us.



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    Katrina Cypress
    St. David's Center for Child & Family Development
    kcypress@stdavidscenter.org
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  • 2.  RE: Family foundation paying for table at an event

    Posted 2 days ago
      |   view attached
    They cannot receive any benefits from their payments. It's called self-dealing in IRS lingo. The attached is a useful resource.

    John

    John H. Taylor, Principal
    John H. Taylor Consulting, LLC
    2604 Sevier Street
    Durham, NC     27705

    919.816.5903 (cell/text)

    Serving the Advancement Community Since 1987




    Attachment(s)

    pdf
    Self-Dealing.pdf   268 KB 1 version
    Original Message


  • 3.  RE: Family foundation paying for table at an event

    Posted 2 days ago
    It is not up to you to ensure that the family foundation is complying with IRS rules and regulations, so you could simply sell them the table.

    Foundation Source has a nice guide, addressed to foundations, that you can send them as guidance, if you'd like to be more stewarship-focused. https://foundationsource.com/resources/articles/how-private-foundations-can-avoid-the-compliance-pitfalls-of-fundraisers-and-galas/

    Thank you,
    Isaac Shalev
    Data Strategy Expert
    Sage70, Inc.
    (917) 859-0151
    isaac@sage70.com

    Schedule a 30-minute consultation now:




    Original Message


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