The Internal Revenue Service and the Treasury Department published a Notice of proposed rulemaking on November 13, 2023, which was officially published in the Federal Register on November 14, 2023. The Proposed Regulations provide guidance to sponsoring organizations, which include community foundations and many other types of charities See more +

The Internal Revenue Service and the Treasury Department published a Notice of proposed rulemaking on November 13, 2023, which was officially published in the Federal Register on November 14, 2023. The Proposed Regulations provide guidance to sponsoring organizations, which include community foundations and many other types of charities that maintain one or more DAFs. The Proposed Regulations are also important for persons involved with DAFs, including the donors, the donor advisors, related persons, and certain fund managers.

In the previous EO Radio Show, episode 62, Cynthia Rowland introduced the basic rules that apply to sponsoring organizations and DAFs and a brief summary of the highlights in the Proposed Regulations. This episode looks closely at the defined terms in Proposed Regulations sections 53.4966-1 and -3 and includes a brief summary of the highlights in the Proposed Regulations.

In upcoming episodes, she’ll discuss the exceptions to the definition of a DAF, and the penalties that can apply if a DAF makes taxable distributions.

Episode resources: www.fbm.com/exempt-organizations/publications/new-proposed-regulations-defining-donor-advised-fund-terms/

If you have suggestions for topics you would like us to discuss, please email us at eoradioshow@fbm.com. Additional episodes can be found at EORadioShowByFarella.com.

DISCLAIMER: This podcast is for general informational purposes only. It is not intended to be, nor should it be interpreted as, legal advice or opinion. See less -