Foundations. Everybody needs one!

Coach is Right ^ | 4/24/15 | Ed Wood

[Oldpuppymax]

Have you established your family “foundation” yet? Everybody who is anybody seems to have one these days. There is the Ford Foundation, the Bill and Melinda Gates Foundation, the Mellon Foundation, the Bill, Hillary, and Chelsea Foundation . . . on and on. Why even my grandmother had a “foundation.” I knew she wore one, because every Spring she would wash the thing and hang it out on the clothesline to dry. But I digress.

What is the big deal about establishing a “foundation” that it should attract so many wealthy people? Well, you guessed it. It’s a money-laundering tax scam!

Here are some of its benefits, as provided by Hurwit and Associates, who describe themselves as “legal counsel for philanthropy & the nonprofit sector.”

Effective Philanthropy. The foundation vehicle may facilitate organized, systematic, and targeted giving.” Great idea. Must have made it easier for the Clintons to distribute the 15% of their donations to what they called charitable institutions. The remaining 85% went to pay Foundation “expenses.”

Expanded Giving Opportunities. Individuals may not claim tax deductions for gifts made to other individuals or non-charitable organizations. But, they may claim tax deductions on donations to a family foundation, and then give it away — tax free.

Deductibility Plus Control. Family members may make tax-deductible donations to their own family foundation and still, as foundation trustees, remain in control of the funds. One of the few situations we know of where you can give it away, and still have it.

Sheltered Income Plus Control. Foundation investment income is exempt from taxation...

[hoosiermama]

This thread needs your input IMO

[skeeter]

So this was what the ‘toonster meant when he talked about “investments”.