Description

Those charged with management and investments of a private foundation need to understand the definitions of disqualified persons and track who is in this category. Whether the disqualified person is an individual or an entity, there are certain prohibitions on direct and indirect acts of self-dealing as well as investment activities. The Tax Cuts and Jobs Act added another level of complexity by adding IRC section 4960 tax on excess compensation to all applicable exempt organizations and related organizations which on a combined basis pay more than $1M. The legislations left many unanswered questions as to how to apply this legislation to foundations with volunteer officers compensated by related companies. This session will cover practices employed by foundations and their advisors.

Learning Objectives:

• Identify and track disqualified persons
• Employ safeguards to avoid inadvertent acts of self-dealing and excess business holdings
• Utilize updates available on the IRC section 4960 legislations published by Treasury

Speaker(s):

• Jennifer Deger, CPA, MBA, Director of Finance - Global Controller, Bill & Melinda Gates Foundation
• Robert A. Wexler, Partner, Adler & Colvin