NPM700 Lecture Notes - Lecture 2: W. Garfield Weston, Tax Avoidance, Fiduciary
Document Summary
Can"t be controlled by related directors/trustees (the majority must be arm"s length (e. g. hospital foundation)) Can"t pay or make available any income for the personal benefit of directors, trustees or members. Can be a corporation or a trust (not an unincorporated association) May be controlled by the family (directors/trustees are not arms length (may be closely held) Established by wealthy families or corporations for philanthropic purposes and tax planning (rbc foundation and the w garfield. They act as grant makers or funders of charitable organizations or. Qualified donees to carry out their charitable purposes. Can only incur debts for current operating expenses, the purchase and sale of investments or the administration of charitable activities. If have assets over ,000, must disburse an amount equal to at least 3. 5% of its assets that are not used directly for activities and admin. Can"t carry on any business (related or not) Non-profit organizations can take four legal forms depending upon.
