Tax990 Knowledge Base

Can a nonexempt charitable trust be treated as a private foundation?

Yes! A nonexempt charitable trust treated as a private foundation doesn't qualify for tax exemption under section 501(a). All of its interests are dedicated to religious, charitable, or other purposes specified in section 170(c)(2)(B), which is eligible for a charitable deduction under a code section listed in section 4947(a)(1).