Donors Forum's Legislative Update E-Newsletters

Legislative Updates 2008 Issue III

• Annual Board To Do's
• IRS Releases New Draft Instructions for Form 990; Seeks Public Comments
• Senate Finance Committee Unveils Extenders Package; IRA Charitable Rollover Included
• Charities May Gain From Tax Plan
  

Legislative Updates 2008 Issue II

• Private Foundations: Review of the Self-Dealing Rules
• California Passes Foundation Disclosure Requirements
• House Proposes New Farm Bill; Senate Likely to Offer a Counterproposal
• IRS Announces Tax-Exempt Guidelines fpr Fiscal Year

Legislative Updates 2008 Issue I

• The New Form 990
• Senate Looking at Endowments as Tuition Rises
• IRS Tax-Exempt Guidelines for Fiscal Year 2008
• IRS Provides Guidance on Type III Supporting Organization
  

Legislative Articles

IRS Encourages Use of Governance Practices
The IRS has revised its document containing what it views as best governance practices for tax exempt organizations. Topics covered include everything from size and composition of governing bodies to review of financial statements and tax returns to public disclosure of policies on executive compensation, conflicts of interest, investments, fundraising, document retention and more. While the IRS recognizes that tax law does not mandate adoption of the practices, it also says that “a well-governed charity is more likely to obey the tax laws, safeguard charitable assets and serve charitable interests” than one that is poorly governed.

Pension Protection Act Impacts Grantmakers
The U.S. Congress passed HR 4, the Pension Protection Act that includes charity reforms and incentives in 2006. The major incentive included in the bill is a charitable IRA rollover of up to $100,000 to a tax-exempt organization.

Charitable Reform Legislation Passed
Several Provisions in H.R. 4 Effective Immediately Please be aware that several provisions of H.R. 4 take effect immediately upon enactment (the date the President signs the legislation) and a few are retroactive.