Self-Dealing in Nonprofits under Federal Tax Law

Overview: 

This webinar’s focus is on the federal excise taxes on self-dealing:  both on private foundations and public charities.  For private foundations, the elements of a self-dealing are discussed, followed by examples of self-dealing and the different levels of tax, on whom are the taxes assessed and the correction, if possible.  For public charities, the definition of excess benefit transactions and disqualified persons will be discussed, establishing a rebuttable presumption of reasonableness, the amount of the excise taxes and what corrections may be done.

Course Objective: 

• To recognize whether the organization is a private foundation or public charity
• To identify elements of a self-dealing transaction for private foundations               
• To recognize typical self-dealing transactions under federal excise tax laws
• To recognize the different tiers of self-dealing taxes 
• To understand possible corrective actions that can be taken by self-dealer
• To identify the potential liability of self-dealers and the foundation manager tax
• To identify excess benefit transactions 
• To identify disqualified persons and deemed disqualified persons
• To identify the elements needed to establish the rebuttable presumption of reasonableness
• To recognize the possible corrective actions for excess benefit transactions

Target Audience: 

• Legal and Tax Professionals
• Paralegals 
• Law Students

Basic Knowledge:

• Familiarity with basic legal concepts and an understanding of federal income taxation principles would be beneficial but not mandatory.