Legal issues arise when a private foundation makes a grant to an Initial Grantee that is not a 501(c)(3) organization or that re-grants the Foundation's funds to a Secondary Grantee that is not a 501(c)(3) organization.
The basics of equivalency determination and expenditure responsibility and when to use either option in global grantmaking.
For international grants, the Pension Protection Act requires donor-advised funds to comply with certain rules imposed on private foundations.
NGOsource, a project of the Council on Foundations and TechSoup Global, helps U.S. grantmakers streamline their international giving through easier equivalency determinations.
Explanation of Proposed Treasury Regulations: Reliance Standards for Making Good Faith Determinations of Equivalency Determinations
Council explanation of the Department of Treasury and the IRS issued proposed regulations applicable to private foundations seeking to make grants to foreign organizations using equivalency determinations.
Council on Foundations & TechSoup Global Comments to Treasury Dept. on Reliance Standards for Equivalency Determinations
Comments on Proposed Amendments to the Regulations Relating to Reliance Standards for Making Good Faith Determinations