Instructions For Form 990-Pf - Return Of Private Foundation Or Section 4947(A)(1) Nonexempt Charitable Trust Treated As A Private Foundation - Internal Revenue Service - 2003 Page 19
ADVERTISEMENT
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30agrees with the original document and all
persons who became substantial
well as tax-exempt interest received
its amendments. If copies are not signed,
contributors during the year.
directly.
attach a written declaration signed by an
The term substantial contributor
Part VII-B—Activities for
officer authorized to sign for the
means any person whose contributions or
organization, certifying that they are
bequests during the current tax year and
Which Form 4720 May Be
complete and accurate copies of the
prior tax years total more than $5,000 and
original documents.
Required
are more than 2% of the total
Line 6. For a private foundation to be
contributions and bequests received by
The purpose of these questions is to
exempt from income tax, its governing
the foundation from its creation through
determine if there is any initial excise tax
instrument must include provisions that
the close of its tax year. In the case of a
due under sections 170(f)(10),
require it to act or refrain from acting so
trust, the term “substantial contributor”
4941 – 4945, and section 4955. If the
as not to engage in an act of self-dealing
also means the creator of the trust
answer is “Yes” to question 1b, 1c, 2b,
(section 4941), or subject the foundation
(section 507(d)(2)).
3b, 4a, 4b, 5b, or 6b, complete and file
to the taxes imposed by sections 4942
Form 4720, unless an exception applies.
The term person includes individuals,
(failure to distribute income), 4943
trusts, estates, partnerships, associations,
Line 1 — Self-dealing. The activities
(excess business holdings), 4944
corporations, and other exempt
listed in 1a(1) – (6) are considered
(investments which jeopardize charitable
organizations.
self-dealing under section 4941 unless
purpose), and 4945 (taxable
one of the exceptions applies. See Pub.
Each contribution or bequest must be
expenditures). A private foundation may
578.
valued at fair market value on the date it
satisfy these section 508(e) requirements
was received.
either by express language in its
The terms “disqualified person” and
governing instrument or by application of
Any person who is a substantial
“foundation manager” are defined in
state law that imposes the above
contributor on any date will remain a
General Instruction C.
requirements on the foundation or treats
substantial contributor for all later periods.
Line 1b. If you answered “Yes” to any of
these requirements as being contained in
However, a person will cease to be a
the questions in 1a, you should answer
the governing instrument. If an
substantial contributor with respect to any
“Yes” to 1b unless all of the acts engaged
organization claims it satisfies the
private foundation if:
in were “excepted” acts. Excepted acts
requirements of section 508(e) by
are described in Regulations sections
1. The person, and all related
operation of state law, the provisions of
53.4941(d)-3 and 4 or appear in Notices
persons, made no contributions to the
state law must effectively impose the
published in the Internal Revenue
foundation during the 10-year period
section 508(e) requirements on the
Bulletin, relating to disaster assistance.
ending with the close of the taxable year;
organization. See Rev. Rul. 75-38,
2. The person, or any related person,
Line 2 — Taxes on failure to distribute
1975-1 C.B.161, for a list of states with
was never the foundation’s manager
income. If you answer “No” to question
legislation that satisfies the requirements
during this 10-year period; and
2b, attach a statement explaining:
of section 508(e).
3. The aggregate contributions made
1. All the facts regarding the incorrect
However, if the state law does not
by the person, and related persons, are
valuation of assets and
apply to a governing instrument that
determined by the IRS to be insignificant
2. The actions taken (or planned) to
contains mandatory directions conflicting
compared to the aggregate amount of
comply with section 4942(a)(2)(B), (C),
with any of its requirements and the
contributions to the foundation by any
and (D) and the related regulations.
organization has such mandatory
other person and the appreciated value of
directions in its governing instrument,
contributions held by the foundation.
Line 3a. A private foundation is not
then the organization has not satisfied the
treated as having excess business
The term related person includes any
requirements of section 508(e) by the
holdings in any enterprise if, together with
other person who would be a disqualified
operation of that legislation.
related foundations, it owns 2% or less of
person because of a relationship with the
Line 8a. In the space provided list all
the voting stock and 2% or less in value
substantial contributor (section 4946).
states:
of all outstanding shares of all classes of
When the substantial contributor is a
1. To which the organization reports in
stock. (See “disqualified person” under
corporation, the term also includes any
any way about its organization, assets, or
General Instruction C.) A similar
officer or director of the corporation. The
activities and
exception applies to a beneficial or profits
term “substantial contributor” does not
2. With which the organization has
interest in any business enterprise that is
include public charities (organizations
registered (or which it has otherwise
a trust or partnership.
described in section 509(a)(1), (2), or (3)).
notified in any manner) that it intends to
For more information about excess
Line 11 — Public inspection
be, or is, a charitable organization or that
business holdings, see Pub. 578 and the
requirements and web site address. All
it is, or intends to be, a holder of property
instructions for Form 4720.
domestic private foundations (including
devoted to a charitable purpose.
section 4947(a)(1) nonexempt charitable
Line 4 — Taxes on investments that
Attach a separate list if you need more
trusts treated as private foundations) are
jeopardize charitable purposes. In
space.
subject to the public inspection
general, an investment that jeopardizes
requirements. See General Instruction Q
Line 9. If the organization claims status
any of the charitable purposes of a private
for information on making the foundation’s
foundation is one for which a foundation
as a private operating foundation for 2003
annual returns and exemption application
manager did not exercise ordinary
and, in fact, meets the private operating
available for public inspection.
foundation requirements for that year (as
business care to provide for the long- and
short-term financial needs of the
reflected in Part XIV), any excess
Enter the foundation’s web site
foundation in carrying out its charitable
distributions carryover from 2002 or prior
address if the foundation has a web site.
years may not be carried over to 2003 or
purposes. For more details, see Pub. 578
Otherwise, enter “N/A.”
and the regulations under section 4944.
any year after 2003 in which it does not
Line 13 — Section 4947(a)(1) trusts.
meet the private operating foundation
Section 4947(a)(1) nonexempt charitable
Line 5 — Taxes on taxable
requirements. See the instructions for
trusts that file Form 990-PF instead of
expenditures and political
Part XIII.
Form 1041 must complete this line. The
expenditures. In general, payments
Line 10 — Substantial contributors. If
trust should include exempt-interest
made for the activities described on lines
you answer “Yes,” attach a schedule
dividends received from a mutual fund or
5a(1) – (5) are taxable expenditures. See
listing the names and addresses of all
other regulated investment company as
Pub. 578 for exceptions.
-19-
Form 990-PF Instructions
ADVERTISEMENT
0 votes
Related Articles
Related forms
Instructions For Form 990-pf - Return Of Private Foundation Or Section 4947(a)(1) Nonexempt Charitable Trust Treated As A Private Foundation - Return Of Private Foundation Or Section 4947(a)(1) Nonexempt Charitable Trust Treated As A Private Foundation -
Financial
Instructions For Form 990-pf - Return Of Private Foundation Or Section 4947(a)(1) Nonexempt Charitable Trust Treated As A Private Foundation - Internal Revenue Service - 2010
Financial
Instructions For Form 990-pf - Return Of Private Foundation Or Section 4947(a)(1) Nonexempt Charitable Trust Treated As A Private Foundation - Internal Revenue Service - 2009
Financial
Instructions For Form 990-pf - Return Of Private Foundation Or Section 4947(a)(1) Nonexempt Charitable Trust Treated As A Private Foundation - Internal Revenue Service - 2007
Financial
Instructions For Form 990-pf - Return Of Private Foundation Or Section 4947(a)(1) Nonexempt Charitable Trust Treated As A Private Foundation - Internal Revenue Service - 2008
Financial
Instructions For Form 990-pf - Return Of Private Foundation Or Section 4947(a)(1) Nonexempt Charitable Trust Treated As A Private Foundation - Internal Revenue Service - 2004
Financial
Instructions For Form 990-pf - Return Of Private Foundation Or Section 4947(a)(1) Nonexempt Charitable Trust Treated As A Private Foundation - 2001
Financial
Instructions For Form 990-pf - Return Of Private Foundation Or Section 4947(a)(1) Nonexempt Charitable Trust Treated As A Private Foundation - 2017
Financial
Related Categories
Parent category: Financial