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                                                                                                                    Department of the Treasury
                                                                                                                    Internal Revenue Service
2023

Instructions for Form 990-PF

Return of Private Foundation or Section 4947(a)(1) Nonexempt Charitable Trust 
Treated as a Private Foundation

Section references are to the Internal Revenue Code unless                  Contents                                                                  Page
otherwise noted.                                                            Part VI-B. Statements Regarding Activities for 
Contents                                                               Page           Which Form 4720 May Be Required . . . . . . . .                   28
General Instructions   . . . . . . . . . . . . . . . . . . . . . . . . . 2  Part VII. Information About Officers, Directors, 
A. Who Must File         . . . . . . . . . . . . . . . . . . . . . . . . 2            Trustees, Foundation Managers, Highly 
                                                                                      Paid Employees, and Contractors               . . . . . . . . .   29
B. Which Parts To Complete               . . . . . . . . . . . . . . . . 2
                                                                            Part VIII-A. Summary of Direct Charitable 
C. Definitions     . . . . . . . . . . . . . . . . . . . . . . . . . . . 4
                                                                                      Activities . . . . . . . . . . . . . . . . . . . . . . . . . . .  30
D. Other Forms You May Need To File                    . . . . . . . . . 4
                                                                            Part VIII-B. Summary of Program-Related 
E. Useful Publications . . . . . . . . . . . . . . . . . . . . .         6            Investments . . . . . . . . . . . . . . . . . . . . . . . . .     31
F. Use of Form 990-PF To Satisfy State                                      Part IX. Minimum Investment Return                    . . . . . . . . . .   31
Reporting Requirements . . . . . . . . . . . . . . . . .                 7
                                                                            Part X. Distributable Amount                . . . . . . . . . . . . . . .   33
G. Furnishing Copies of Form 990-PF to State 
                                                                            Part XI. Qualifying Distributions               . . . . . . . . . . . . .   33
Officials . . . . . . . . . . . . . . . . . . . . . . . . . . . . .      7
                                                                            Part XII. Undistributed Income . . . . . . . . . . . . . .                  33
H. Accounting Period           . . . . . . . . . . . . . . . . . . . . . 7
                                                                            Part XIII. Private Operating Foundations . . . . . . .                      35
I. Accounting Methods            . . . . . . . . . . . . . . . . . . . . 8
                                                                            Part XIV. Supplementary Information                     . . . . . . . . .   36
J. When and How To File . . . . . . . . . . . . . . . . . . .            8
                                                                            Part XV-A. Analysis of Income-Producing 
K. Extension of Time To File             . . . . . . . . . . . . . . . . 8
                                                                                      Activities . . . . . . . . . . . . . . . . . . . . . . . . . . .  36
L. Amended Return          . . . . . . . . . . . . . . . . . . . . . . . 8
                                                                            Part XV-B. Relationship of Activities to the 
M. Penalty for Failure To File Timely,                                                Accomplishment of Exempt Purposes                   . . . . . .   37
Completely, or Correctly               . . . . . . . . . . . . . . . . . 8
                                                                            Part XVI. Information Regarding Transfers to 
N. Penalties for Not Paying Tax on Time                  . . . . . . . . 9            and Transactions and Relationships With 
O. Figuring and Paying Estimated Tax                   . . . . . . . . . 9            Noncharitable Exempt Organizations . . . . . . .                  37
P. Tax Payment Methods for Domestic Private                                 Signature . . . . . . . . . . . . . . . . . . . . . . . . . . . . .         38
Foundations . . . . . . . . . . . . . . . . . . . . . . . . . .          9  Paid Preparer . . . . . . . . . . . . . . . . . . . . . . . . . .           38
Q. Public Inspection Requirements                  . . . . . . . . . .   10 Paid Preparer Authorization . . . . . . . . . . . . . . . . . . .           39
R. Disclosures Regarding Certain Information                                How To Get Forms and Publications . . . . . . . . . . . . .                 39
and Services Furnished               . . . . . . . . . . . . . . . . .   12
                                                                            Index . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 42
S. Organizations Organized or Created in a 
Foreign Country            . . . . . . . . . . . . . . . . . . . . . .   12 Future Developments
T. Liquidation, Dissolution, Termination, or                                For the latest information about developments related to Form 
Substantial Contraction . . . . . . . . . . . . . . . . .                12 990-PF and its instructions, such as legislation enacted after 
U. Section 507(b)(1)(B) Termination—Notice                                  they were published, go to IRS.gov/Form990PF.
and Filing Requirements                . . . . . . . . . . . . . . . .   13
                                                                            Reminders
V. Payment of Section 4940 Tax During 
Section 507(b)(1)(B) Termination . . . . . . . . . .                     13 Announcement (Ann.) 2021-18, 2021-52 I.R.B. 910.                      Ann. 
W. Rounding, Currency, and Attachments . . . . . .                       14 2021-18, 2021-52 I.R.B. 910, revoked Ann. 2001-33, 2001-17 
                                                                            I.R.B. 1137, which provided tax-exempt organizations with 
Specific Instructions  . . . . . . . . . . . . . . . . . . . . . . . .   14 reasonable cause for purposes of relief from the penalty 
Heading . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .      14 imposed under section 6652(c)(1)(A)(ii) of the Internal Revenue 
Part I. Analysis of Revenue and Expenses                     . . . . .   15 Code if they reported compensation on their annual information 
                                                                            returns in the manner described in Ann. 2001-33 instead of in 
Part II. Balance Sheets          . . . . . . . . . . . . . . . . . . .   20 accordance with certain form instructions. Ann. 2021-18 revoked 
Part III. Analysis of Changes in Net Assets or                              Ann. 2001-33 and instructs affected tax-exempt organizations to 
Fund Balances . . . . . . . . . . . . . . . . . . . . . . .              22 follow the specific instructions to the Form 990, Form 990-EZ, 
Part IV. Capital Gains and Losses for Tax on                                and Form 990-PF, effective for annual information returns 
Investment Income . . . . . . . . . . . . . . . . . . . .                22 required for taxable years beginning on or after January 1, 2022.
Part V. Excise Tax Based on Investment                                      Reduced tax on net investment income repealed.                      The 
Income (Section 4940(a), 4940(b), or                                        Taxpayer Certainty and Disaster Tax Relief Act reduced the 2% 
4948)        . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23 section 4940(a) excise tax on net investment income of private 
Part VI-A. Statements Regarding Activities                   . . . . .   24 foundations to 1.39%. The legislation also repealed section 
                                                                            4940(e), Reduced Tax on Net Investment Income.

Dec 14, 2023                                                           Cat. No. 11290Y

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Required electronic filing by exempt organizations.         For tax  IRS e-Services Makes Taxes Easier
years beginning on or after July 2, 2019, the Taxpayer First Act,    Now more than ever before, businesses can enjoy the benefits of 
section 3101 of P. L. 116-25, requires that returns by exempt        filing and paying their federal taxes electronically. Whether you 
organizations be filed electronically. Accordingly, you must file    rely on a tax professional or handle your own taxes, the IRS 
the return electronically for tax years beginning in 2021. See       offers you convenient programs to make taxes easier.
Electronic Filing, later, for more information.                        You can e-file your Form 990-PF, Form 940 and 941 
                                                                     •
Reporting standard for net assets updated.       Part II of Form     employment tax returns, and Forms 1099 and other information 
990-PF was updated to reflect the Financial Accounting               returns. Visit IRS.gov/Charities-Non-Profits/Annual-Reporting-
Standard Board’s (FASB’s) reclassification of net assets into two    and-Filing for details.
classes, net assets without donor restrictions and net assets with   • You can pay taxes online or by phone using the free Electronic 
donor restrictions. For more information, see Part II. Balance       Federal Tax Payment System (EFTPS). To get more information 
Sheets, Lines 24 Through 30. Net Assets or Fund Balances,            about EFTPS or to enroll in EFTPS, visit EFTPS.gov or call 
later.                                                               800-555-4477. To contact EFTPS using the Telecommunications 
                                                                     Relay Services (TRS), for people who are deaf, hard of hearing, 
Pub. 15-T. Pub. 15-T, Federal Income Tax Withholding Methods, 
                                                                     or have a speech disability, dial 711 and provide the TRS 
contains the federal income tax withholding tables that were 
                                                                     assistant the 800-555-4477 number above or 800-733-4829.
previously provided in Pubs. 15 and 15-A and explains how to 
use the tables.                                                      • Electronic Funds Withdrawal (EFW) from a checking or 
                                                                     savings account is also available to those who file electronically.
Exception from the excise tax on excess business hold-
ings.  Section 4943(g) provides an exception from the excise tax 
on excess business holdings for certain independently operated       General Instructions
enterprises whose voting stock is wholly owned by a private          Purpose of form. Form 990-PF is used:
foundation. For more details, see Part VI-B, Line 3a, later.         • To figure the tax based on investment income, and
Tax on excess executive compensation.           Section 4960         • To report charitable distributions and activities.
imposes an excise tax on a foundation that pays to any covered         Also, Form 990-PF serves as a substitute for the section 
employee more than $1 million in remuneration or pays an             4947(a)(1) nonexempt charitable trust's income tax return, Form 
excess parachute payment. See section 4960 and Form 4720,            1041, U.S. Income Tax Return for Estates and Trusts, when the 
Return of Certain Excise Taxes Under Chapters 41 and 42 of the       trust has no taxable income.
Internal Revenue Code, for more information.
Initial Form 990-PF by former public charity.    If you are filing   A. Who Must File
Form 990-PF because you no longer meet a public support test         Form 990-PF is an annual information return that must be filed by 
under section 509(a)(1) and you haven't previously filed Form        the following.
990-PF, check Initial return of a former public charity in Item G of • Exempt private foundations (section 6033(a), (b), and (c)).
the Heading section on page 1 of your return. Before filing Form     • Taxable private foundations (section 6033(d)).
990-PF for the first time, you may want to go to IRS.gov/EO for      • Organizations that agree to private foundation status and 
the latest information and filing tips to confirm you are no longer  whose applications for exempt status are pending on the due 
a publicly supported organization.                                   date for filing Form 990-PF.
                                                                     • Organizations that claim private foundation status, haven't yet 
Automatic revocation. Most tax-exempt organizations are              applied for exempt status, and whose application isn't yet 
required to file an annual Form 990, 990-EZ, or 990-PF with the      untimely under section 508(a) for retroactive recognition of 
IRS, or to submit a Form 990-N e-Postcard to the IRS. For            exemption.
information on the exception requirement, visit IRS.gov/Annual       • Organizations that made an election under section 41(e)(6)
Exempt Organizations: Who Must File. If a tax-exempt private         (D)(iv).
foundation fails to file an annual return as required for 3          • Private foundations that are making a section 507(b) 
consecutive years, it will automatically lose its tax-exempt status  termination.
and will become a taxable private foundation. See M. Penalty for     • Section 4947(a)(1) nonexempt charitable trusts treated as 
Failure To File Timely, Completely, or Correctly, later.             private foundations (section 6033(d)).
Don’t include social security numbers on publicly dis-                       Include on the foundation's return the financial and other 
closed forms.    Because the IRS is required to publicly disclose    TIP     information of any disregarded entity owned by the 
the organization's annual information returns, social security               foundation. See Regulations sections 301.7701-1 
numbers shouldn't be included on this form. Documents subject        through 3 for information on the classification of certain business 
to disclosure include schedules and attachments filed with the       organizations, including an eligible entity that is disregarded as 
form.                                                                an entity separate from its owner (disregarded entity).
                                                                     Other section 4947(a)(1) nonexempt charitable trusts. 
Photographs of Missing Children
                                                                     Section 4947(a)(1) nonexempt charitable trusts not treated as 
The IRS is a proud partner with the National Center for Missing &    private foundations don't file Form 990-PF. However, they may 
Exploited Children® (NCMEC). Photographs of missing children         need to file Form 990, Return of Organization Exempt From 
selected by the Center may appear in instructions on pages that      Income Tax, or Form 990-EZ, Short Form Return of Organization 
would otherwise be blank. You can help bring these children          Exempt From Income Tax. With either of these forms, the trust 
home by looking at the photographs and calling                       must also file Schedule A (Form 990 or 990-EZ), Public Charity 
1-800-THE-LOST (1-800-843-5678) if you recognize a child.            Status and Public Support, and other required schedules. See 
                                                                     the Form 990 and Form 990-EZ instructions.
Phone Help
If you have questions and/or need help completing this form,         B. Which Parts To Complete
please call 877-829-5500. This toll-free telephone service is        See the chart showing which parts of the form must be 
available Monday through Friday.                                     completed, later.

2                                                                                           Instructions for Form 990-PF (2023)

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B. Which Parts To Complete
Some parts of the form listed below don't apply to some filers. See How to avoid filing an incomplete return, earlier, for 
information on what to do if a part or an item doesn't apply.

                              Part of Form 990-PF                                       Foundations Which Must Complete This Part
Heading                                                                         All
Part I (analysis of revenues and expenses), columns (a) (revenue and expenses   All
per books) and (d) (disbursements for charitable purposes)
Part I (analysis of revenues and expenses), column (b) (net investment income)  All except (1) foreign taxable foundations, and (2) foreign nonexempt charitable 
                                                                                trusts; foreign 501(c)(3) foundations need not complete line 7 (capital gain net 
                                                                                income) or expense lines
Part I (analysis of revenues and expenses), column (c) (adjusted net income)    Only foundations claiming operating foundation status, foundations (not 
                                                                                described in section 4948(b)) that derive income from a charitable activity and 
                                                                                claim a qualifying distribution for net losses from the activity, and domestic 501(c)
                                                                                (3) foundations that maintain a common fund as described in section 170(b)(1)(F)
                                                                                (iii)
Part II (balance sheets), columns (a) and (b) (beginning and end-of-year book   All
value)
Part II (balance sheets), column (c) (end-of-year fair market value)            All foundations with at least $5,000 in assets per books at some time during tax 
                                                                                year; other foundations complete only line 16
Part III (analysis of changes in net assets or fund balances)                   All
Part IV (capital gains and losses for tax on investment income)                 All except foreign foundations; line 3 must be completed only by foundations that 
                                                                                must complete Part I, column (c)
Part V (excise tax based on investment income)                                  All except (1) organizations electing private foundation status under section 41(e)
                                                                                (6)(D), (2) foreign taxable foundations, and (3) foreign nonexempt charitable trusts
Part VI-A (statements regarding activities)                                     All; foreign foundations described in section 4948(b) need not complete lines 6 
                                                                                and 8, and in line 10, foreign foundations don't list persons who aren't U.S. 
                                                                                citizens
Part VI-B (statements regarding activities for which Form 4720 may be required) All; foreign foundations described in section 4948(b) need not complete line 2 
Part VII (information about officers, directors, trustees, foundation managers, All
highly paid employees, and contractors)
Part VIII-A (summary of direct charitable activities)                           All
Part VIII-B (summary of program-related investments)                            All
Part IX (minimum investment return)                                             All except foreign foundations described in section 4948(b) that aren't claiming 
                                                                                operating foundation status
Part X (distributable amount)                                                   All except (1) foreign foundations described in section 4948(b), and (2) 
                                                                                foundations claiming operating foundation status
Part XI (qualifying distributions)                                              All except foreign foundations described in section 4948(b) that aren't claiming 
                                                                                operating foundation status
Part XII (undistributed income)                                                 All except foreign foundations described in section 4948(b); if the foundation 
                                                                                claims operating foundation status for any of the years shown in Part XII, it 
                                                                                doesn't complete those portions of Part XII that apply to those years
Part XIII (private operating foundations)                                       Only foundations claiming operating foundation status
Part XIV (supplementary information)                                            All except (1) foundations with less than $5,000 of assets per books at all times 
                                                                                during tax year, and (2) foreign foundations described in section 4948(b)
Part XV-A (analysis of income-producing activities)                             All
Part XV-B (relationship of activities to the accomplishment of exempt purposes) All
Part XVI (information regarding transfers to and transactions and relationships All
with noncharitable exempt organizations)
Signature block                                                                 All

Instructions for Form 990-PF (2023)                                                                                                                                  3

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How to avoid filing an incomplete return.                                a. A substantial contributor (see the instructions for Part 
• Complete all applicable line items.                                  VI-A, line 10, later).
• Answer “Yes,” “No,” or “N/A” (not applicable) to each question         b. A foundation manager.
on the return.                                                           c. A person who owns more than 20% of a corporation, 
• Make an entry (including a zero when appropriate) on all total       partnership, trust, or unincorporated enterprise that is itself a 
lines.                                                                 substantial contributor.
• Enter “None” or “N/A” if an entire part doesn't apply.
                                                                         d. A family member of an individual described in (a), (b), or 
Sequencing Chart To Complete the Form                                  (c) above.
You may find the following chart helpful. It limits jumping from         e. A corporation, partnership, trust, or estate in which 
one part of the form to another to figure an amount needed to          persons described in (a), (b), (c), or (d) above own a total 
complete an earlier part. If you complete the parts in the listed      beneficial interest of more than 35%.
order below, any information you may need from another part will         f.  For purposes of section 4941 (self-dealing), a disqualified 
already be entered.                                                    person also includes certain government officials. (See section 
                                                                       4946(c) and the related regulations.)
Step                  Part        Step                 Part              g. For purposes of section 4943 (excess business holdings), 
1. . . . . . . . . .  IV           8. . . . . . . . .  XI, lines 1–4   a disqualified person also includes:
2. . . . . . . . . .  I & II       9. . . . . . . . . V
3 . . . . . . . . . . Heading     10. . . . . . . .    XI, lines 5–6     i.  A private foundation effectively controlled (directly or 
4. . . . . . . . . .  III         11. . . . . . . . X                  indirectly) by the same persons who control the private 
5 . . . . . . . . . . VI-A        12. . . . . . . .    XII             foundation in question; or
6. . . . . . . . . .  VII         13. . . . . . . .    VI-B
7. . . . . . . . . .  VIII-A – X  14. . . . . . . .    XIII – XVI        ii. A private foundation to which substantially all 
                                                                       contributions were made (directly or indirectly) by one or more of 
                                                                       the persons described in (a), (b), and (c) above, or members of 
                                                                       their families, within the meaning of section 4946(d).
C. Definitions
                                                                         8. An organization is controlled by a foundation or by one or 
  1. A private foundation is a domestic or foreign organization        more disqualified persons with respect to the foundation if any of 
exempt from income tax under section 501(a), described in              these persons may, by combining their votes or positions of 
section 501(c)(3), and is other than an organization described in      authority, require the organization to make an expenditure or 
sections 509(a)(1) through (4).                                        prevent the organization from making an expenditure, regardless 
  Churches, hospitals, schools, broadly publicly supported             of the method of control. “Control” is determined regardless of 
organizations, supporting organizations, and organizations that        how the foundation requires the contribution to be used.
test for public safety are excluded from private foundation status 
by sections 509(a)(1) through (4). These organizations may be          D. Other Forms You May Need To File
required to file Form 990, Form 990-EZ, or Form 990-N                  • Form W-2, Wage and Tax Statement.
(“e-Postcard”) instead of Form 990-PF.                                 • Form W-3, Transmittal of Wage and Tax Statements.
  2. A nonexempt charitable trust treated as a private                 • Form 940, Employer's Annual Federal Unemployment (FUTA) 
foundation is a trust that isn't exempt from tax under section         Tax Return (section 4947(a)(1) trusts and taxable private 
501(a) and all of the unexpired interests of which are devoted to      foundations may need to file).
religious, charitable, or other purposes described in section          • Form 941, Employer's QUARTERLY Federal Tax Return.
170(c)(2)(B), and for which a charitable deduction was allowed 
under a section of the Code listed in section 4947(a)(1).                These forms are used to report social security, Medicare, and 
                                                                       income taxes withheld by an employer and social security and 
  3. A taxable private foundation is an organization that              Medicare taxes paid by an employer.
previously was recognized as being exempt under section 
501(a) as an organization described in section 501(c)(3), but has        If income, social security, and Medicare taxes that must be 
lost that recognition. Though it may operate as a taxable entity, it   withheld aren't withheld or aren't paid to the IRS, a trust fund 
will continue to be treated as a private foundation until that status  recovery penalty may apply. The penalty is 100% of such unpaid 
is terminated under section 507.                                       taxes.
  4. A private operating foundation is an organization that is           This penalty may be imposed on all persons (including 
described under section 4942(j)(3) or (5). It means any private        volunteers (see below)) whom the IRS determines to be 
foundation that spends at least 85% of the smaller of its adjusted     responsible for collecting, accounting for, and paying over these 
net income (figured in Part I) or its minimum investment return        taxes, and who willfully didn't do so.
(figured in Part IX) directly for the active conduct of the exempt 
purpose or functions for which it is organized and operated and          This penalty doesn't apply to any volunteer, unpaid member 
that also meets the assets test, the endowment test, or the            of any board of trustees or directors of a tax-exempt organization 
support test (discussed in Part XIII). Also, certain elderly care      if this member:
facilities created before 1970 are treated as private operating        • Is solely serving in an honorary capacity;
foundations.                                                           • Doesn’t participate in the day-to-day or financial activities of 
  5. A nonoperating private foundation is a private foundation         the organization; and
that isn't a private operating foundation. These often are referred    • Doesn’t have actual knowledge of the failure to collect, 
to as “grant-making foundations.”                                      account for, and pay over these taxes.
                                                                       However, this exception doesn't apply if it results in no person 
  6. A foundation manager is an officer, director, or trustee of a     being liable for the penalty.
foundation, or an individual who has powers similar to those of 
officers, directors, or trustees. In the case of any act or failure to Form 720, Quarterly Federal Excise Tax Return.        In addition 
act, the term “foundation manager” may also include employees          to various federal excise taxes that are paid with the filing of this 
of the foundation who have the authority to act.                       form, the Patient-Centered Outcomes Research Institute fee that 
  7. A disqualified person is any of the following.                    is imposed on health insurers and employers who maintain 
                                                                       self-insured health plans is payable annually and reported on the 

4                                                                                                Instructions for Form 990-PF (2023)

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Form 720 that is filed for the second quarter of each year, which IRAs, insurance contracts, etc.; and proceeds from real estate
is due no later than July 31 of each calendar year. transactions. Also, use certain of these returns to report amounts
that were received as a nominee on behalf of another person.
Form 926, Return by a U.S. Transferor of Property to a For-
eign Corporation. U.S. persons (including domestic Form 1120, U.S. Corporation Income Tax Return. Filed by
corporations and trusts) must file Form 926 to report certain nonexempt taxable private foundations that have taxable income
transfers of tangible or intangible property to a foreign under the income tax provisions (subtitle A of the Code). Form
corporation, as required by section 6038B. 990-PF is also filed by these taxable foundations.
Form 990-T, Exempt Organization Business Income Tax Re- Form 1120-POL, U.S. Income Tax Return for Certain Politi-
turn. Every organization exempt from income tax under section cal Organizations. Section 501(c) organizations must file Form
501(a) with total gross income of $1,000 or more from all trades 1120-POL if they are treated as having political organization
or businesses unrelated to the organization's exempt purpose taxable income under section 527(f)(1).
must file Form 990-T. The form is also used by tax-exempt
Form 1128, Application To Adopt, Change, or Retain a Tax
organizations to report other additional taxes, including the
Year. Form 1128 is used to request approval from the IRS to
additional tax figured in Part IV of Form 8621, Return by a
change a tax year or to adopt or retain a certain tax year.
Shareholder of a Passive Foreign Investment Company or
Qualified Electing Fund. Form 2220, Underpayment of Estimated Tax by Corpora-
tions. Form 2220 is used by corporations and trusts filing Form
Form 990-W, Estimated Tax on Unrelated Business Taxable
990-PF to see if the foundation owes a penalty and to figure the
Income for Tax-Exempt Organizations. Use of this form is
amount of the penalty. Generally, the foundation isn't required to
optional. It is provided only to aid you in determining your tax
file this form because the IRS can figure the amount of any
liability. You must use electronic funds transfer to make all
penalty and bill the foundation for it. However, complete and
depository tax deposits. See P. Tax Payment Methods for
attach Form 2220 even if the foundation doesn't owe the penalty
Domestic Private Foundations, later, for information about
if:
electronic deposits. The annualized income or the adjusted seasonal installment
•
Form 1023, Application for Recognition of Exemption Un- method is used; or
der Section 501(c)(3) of the Internal Revenue Code. This • The foundation is a “large organization,” (see O. Figuring and
form for recognition of exemption from federal income tax under Paying Estimated Tax, later) figuring its first required installment
section 501(c)(3) must be used by private foundations that don't based on the prior year's tax.
qualify to use Form 1023-EZ or that are also requesting advance If Form 2220 is attached, check the box on Form 990-PF, Part V,
approval of individual grant procedures or recognition as an line 8, and enter the amount of any penalty on this line.
operating foundation. Form 8940 may also be used for
Form 2848, Power of Attorney and Declaration of Repre-
requesting advance approval of individual grant procedures or
sentative. Used to authorize an individual to represent you in
recognition as an operating foundation.
matters before the IRS, such as the filing of Form 1023.
Form 1023-EZ, Streamlined Application for Recognition of
Form 3115, Application for Change in Accounting Method.
Exemption Under Section 501(c)(3) of the Internal Revenue
Used to request a change in either an overall method of
Code. Certain small private foundations may apply for
accounting or the accounting treatment of any item, in situations
recognition of exemption under section 501(c)(3) using this form
not covered by Rev. Proc. 85-58, 1985-18 I.R.B. 5.
instead of Form 1023.
Form 3520, Annual Return To Report Transactions With
Form 1041, U.S. Income Tax Return for Estates and Trusts.
Foreign Trusts and Receipt of Certain Foreign Gifts. Used
Required of section 4947(a)(1) nonexempt charitable trusts that
by U.S. persons to report certain transactions with foreign trusts,
also file Form 990-PF. However, if the trust doesn't have any
ownership of foreign trusts under the grantor trust rules of
taxable income under the income tax provisions (subtitle A of the
sections 671–679, and receipt of certain large gifts or bequests
Code), it may use the filing of Form 990-PF to satisfy its Form from certain foreign persons.
1041 filing requirement under section 6012. If this condition is
met, check the box on line 15, Part VI-A, of Form 990-PF and Form 4506, Request for Copy of Tax Return. Used by the
don't file Form 1041. organization or designated third party to get a complete copy of
the organization's return.
Form 1041-ES, Estimated Income Tax for Estates and
Trusts. Used to make estimated tax payments. Form 4506-A, Request for Public Inspection or Copy of Ex-
empt or Political Organization IRS Form. Used to inspect or
Form 1096, Annual Summary and Transmittal of U.S. Infor- request a copy of an exempt or political organization's return,
mation Returns. Used to transmit Forms 1097, 1098, 1099, report, notice, or exemption application by the public or the
3921, 3922, 5498, and W-2G to the IRS. Don’t use it to transmit organization.
electronically.
Form 4720, Return of Certain Excise Taxes Under Chapters
Form 1098 series. Information returns to report mortgage 41 and 42 of the Internal Revenue Code. Is primarily used to
interest, student loan interest, qualified tuition and related
determine the excise taxes imposed on:
expenses, and a contribution of a qualified vehicle that has a Acts of self-dealing between private foundations and
claimed value of more than $500. •
disqualified persons,
Form 1099 series. Information returns to report acquisitions or • Failure to distribute income,
abandonments of secured property; proceeds from broker and • Excess business holdings,
barter exchange transactions; cancellation of debt; dividends • Investments that jeopardize a foundation's charitable
and distributions; certain government and state qualified tuition purposes,
program payments; taxable distributions from cooperatives; • Making political or other noncharitable expenditures,
interest payments; payments of long-term care and accelerated • Prohibited tax shelter transactions, and
death benefits; miscellaneous income payments; nonemployee • Excess executive compensation.
compensation; distributions from an HSA, Archer MSA or
Form 5471, Information Return of U.S. Persons for Certain
Medicare Advantage MSA; original issue discount; distributions
Foreign Corporations. Used by certain U.S. persons that are
from pensions, annuities, retirement or profit-sharing plans,

Instructions for Form 990-PF (2023) 5

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shareholders in certain foreign corporations, in compliance with Form 8868, Application for Extension of Time To File an Ex-
sections 6038 and 6046. empt Organization Return or Excise Taxes Related to Em-
Form 5500, Annual Return/Report of Employee Benefit ployee Benefit Plans. Used by an exempt organization to
Plan. Used to report information concerning employee benefit request an automatic 6-month extension of time to file its return
plans and Direct Filing Entities. or, by a Form 5330 filer to request an extension of up to 6 months
to file a return for excise taxes related to employee benefit plans.
Form 7004, Application for Automatic Extension of Time To
File Certain Business Income Tax, Information, and Other Form 8870, Information Return for Transfers Associated
Returns. Used by nonexempt charitable trusts and taxable With Certain Personal Benefit Contracts. Used to identify
foundations to request extension of time to file income tax those personal benefit contracts for which funds were transferred
returns. to the organization, directly or indirectly, as well as the
transferors and beneficiaries of those contracts.
Form 8282, Donee Information Return. Required of the
donee of “charitable deduction property” that sells, exchanges, Form 8886, Reportable Transaction Disclosure Statement.
or otherwise disposes of the property within 3 years after the Used to disclose information for each reportable transaction in
date it received the property. Also required of any successor which the organization participated, including but not limited to a
donee that disposes of charitable deduction property within 3 prohibited tax shelter transaction. Exempt organizations may
years after the date the donor gave the property to the original also be required to file Form 8886-T in such case.
donee. It doesn't matter who gave the property to the successor Form 8886-T, Disclosure by Tax-Exempt Entity Regarding
donee. It may have been the original donee or another Prohibited Tax Shelter Transaction. Used by an exempt
successor donee. organization to disclose that it was a party to a prohibited tax
Form 8283, Noncash Charitable Contributions. Donors must shelter transaction.
file Form 8283 to report information about certain noncash Form 8899, Notice of Income From Donated Intellectual
charitable contributions in order to substantiate a charitable Property. Used to report income from qualified intellectual
deduction under section 170. The donor may need to obtain an property.
acknowledgement by the donee foundation in Part IV of Form
8283. Form 8940, Request for Miscellaneous Determination.
Used by private foundations, government entities requesting
Form 8275, Disclosure Statement. Taxpayers and tax return voluntary termination of exempt status under section 501(c)(3),
preparers should attach this form to Form 990-PF to disclose and nonexempt charitable trusts to obtain certain determinations
items or positions (except those contrary to a regulation—see including advance approval of individual grant procedures
Form 8275-R below) that aren't otherwise adequately disclosed (section 4945(g)), advance approval of certain set-asides
on the tax return. The disclosure is made to avoid parts of the (section 4942(g)(2)), advance approval of voter registration
accuracy-related penalty imposed for substantial activities (section 4945(f)), and termination of private foundation
understatement of tax or disregard of rules or regulations status (section 507(b)(1)(B)). Nonexempt charitable trusts also
language in 1.6662-3(b)(2) and 1.6662-3(c)(2). See also IRM file this form to request an initial determination under section
20.1.5.8.2.1. Form 8275 is also used for disclosures relating to 509(a)(3). Canadian registered charities file this form to be listed
preparer penalties for understatements due to unrealistic as an organization described in section 501(c)(3) on IRS.gov or
positions or for willful or reckless conduct. request classification as a public charity rather than a private
Form 8275-R, Regulation Disclosure Statement. Use this foundation.
form to disclose any item on a tax return for which a position has FinCEN Form 114, Report of Foreign Bank and Financial
been taken that is contrary to Treasury regulations. Accounts. Used by organizations formed or organized in or
Form 8300, Report of Cash Payments Over $10,000 Re- under the laws of the United States to report a financial interest
ceived in a Trade or Business. Used to report cash amounts in or signature authority over a foreign financial account if the
in excess of $10,000 received in a single transaction (or in two or aggregate value exceeds $10,000 at any time during the
more related transactions) in the course of a trade or business calendar year.
(as defined in section 162).
E. Useful Publications
Form 8621, Information Return by a Shareholder of a Pas- The following publications may be helpful in preparing Form
sive Foreign Investment Company or Qualified Electing 990-PF or for other tax compliance purposes.
Fund. A U.S. person that is a direct or indirect shareholder of a Pub. 15 (Circular E), Employer’s Tax Guide.
passive foreign investment company (PFIC) may need to file. But •
see Regulations section 1.1291–1(e) with respect to tax-exempt • Pub. 15-A, Employer’s Supplemental Tax Guide (Fringe
Benefits).
foundations. Pub. 15-T, Federal Income Tax Withholding Methods.
•
Form 8821, Tax Information Authorization. Used to authorize • Pub. 525, Taxable and Nontaxable Income.
an individual or organization to inspect and/or receive your • Pub. 526, Charitable Contributions.
confidential tax information on designated matters. • Pub. 538, Accounting Periods and Methods.
Form 8822-B, Change of Address or Responsible Par- • Pub. 557, Tax-Exempt Status for Your Organization.
ty—Business. Used by taxpayers to notify the IRS of changes • Pub. 561, Determining the Value of Donated Property.
in business mailing address, business location, or responsible • Pub. 583, Starting a Business and Keeping Records.
party. • Pub. 598, Tax on Unrelated Business Income of Exempt
Organizations.
Form 8865, Return of U.S. Persons With Respect to Certain • Pub. 892, How To Appeal an IRS Determination on
Foreign Partnerships. Used by U.S. persons to report Tax-Exempt Status.
information required under section 6038 (controlled foreign • Pub. 946, How To Depreciate Property.
partnerships), section 6038B (transfers to foreign partnerships), • Pub. 966, Electronic Federal Tax Payment System: A Guide to
or section 6046A (acquisitions, dispositions, and changes in Getting Started.
foreign partnership interests). • Pub. 1771, Charitable Contributions—Substantiation and
Disclosure Requirements.

6 Instructions for Form 990-PF (2023)

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• Pub. 3079, Tax-Exempt Organizations and Gaming.                 Method of accounting.   Many states require that all amounts 
• Pub. 3833, Disaster Relief, Providing Assistance Through        be reported based on the accrual method of accounting.
Charitable Organizations.
• Pub. 4220, Applying for 501(c)(3) Tax-Exempt Status.            Time for filing may differ. The time for filing Form 990-PF with 
• Pub. 4221-PF, Compliance Guide for 501(c)(3) Private            the IRS may differ from the time for filing state reports.
Foundations.
• Pub. 4302, A Charity’s Guide to Vehicle Donations.              G. Furnishing Copies of Form 990-PF 
• Pub. 4303, A Donor’s Guide to Vehicle Donations.                to State Officials
• Pub. 4386, Compliance Checks—Examination, Audit, or 
Compliance Check?                                                 The foundation managers must furnish a copy of Form 990-PF 
• Pub. 4630, Exempt Organizations Products and Services           and Form 4720 (if applicable) to the Attorney General of:
Catalog.                                                          • Each state required to be listed in Part VI-A, line 8a;
                                                                  • The state in which the foundation's principal office is located; 
Publications and forms are available at no charge on the IRS      and
website at IRS.gov/FormsPubs.                                     • The state in which the foundation was incorporated or 
                                                                  created.
F. Use of Form 990-PF To Satisfy State                              A copy of the annual return must be sent to the Attorney 
Reporting Requirements                                            General at the same time the annual return is filed with the IRS.
Some states and local government units will accept a copy of      Other requirements.  If the Attorney General or other 
Form 990-PF and required attachments instead of all or part of    appropriate state official of any state requests a copy of the 
their own financial report forms.                                 annual return, the foundation managers must comply with the 
                                                                  request.
  If the organization plans to use Form 990-PF to satisfy state 
or local filing requirements, such as those from state charitable Exceptions. These rules don't apply to any foreign foundation 
solicitation acts, note the following.                            that, from the date of its creation, has received at least 85% of its 
                                                                  support (excluding gross investment income) from sources 
Determine state filing requirements.   Consult the appropriate 
                                                                  outside the United States. See S. Organizations Organized or 
officials of all states and other jurisdictions in which the 
                                                                  Created in a Foreign Country, later, for other exceptions that 
organization does business to determine their specific filing 
                                                                  affect this type of organization.
requirements. “Doing business” in a jurisdiction may include any 
of the following.                                                 Coordination with state reporting requirements.        If the 
• Soliciting contributions or grants by mail or otherwise from    foundation managers submit a copy of Form 990-PF and Form 
individuals, businesses, or other charitable organizations.       4720 (if applicable) to a state Attorney General to satisfy a state 
• Conducting programs.                                            reporting requirement, they don't have to furnish a second copy 
• Having employees within that jurisdiction.                      to that Attorney General to comply with the Internal Revenue 
• Maintaining a checking account or owning or renting property    Code requirements discussed in this section.
there.                                                              If there is a state reporting requirement to file a copy of Form 
Monetary tests may differ. Some or all of the dollar limitations  990-PF with a state official other than the Attorney General (for 
that apply to Form 990-PF when filed with the IRS may not apply   instance, the Secretary of State), then the foundation managers 
when using Form 990-PF instead of state or local report forms.    must also send a copy of the Form 990-PF and Form 4720 (if 
IRS dollar limitations that may not meet some state requirements  applicable) to the Attorney General of that state.
are the $5,000 total assets minimum that requires completion of 
Part II, column (c), and Part XIV; and the $50,000 minimum for    H. Accounting Period
listing the highest paid employees and for listing professional   Calendar or fiscal year. File the 2023 return for the calendar 
fees in Part VII.                                                 year 2023 or fiscal year beginning in 2023. If the return is for a 
Additional information may be required. State and local filing    fiscal year, fill in the beginning and ending dates of the tax year 
requirements may require attaching to Form 990-PF one or more     in the spaces at the top of the return.
of the following.                                                   The return must be filed on the basis of the established 
• Additional financial statements, such as a complete analysis    annual accounting period of the organization. If the organization 
of functional expenses or a statement of changes in net assets.   has no established accounting period, the return should be on 
• Notes to financial statements.                                  the calendar-year basis.
• Additional financial schedules.                                 Short period. For an initial or final return or for a short tax year 
• A report on the financial statements by an independent          resulting from a change in accounting period, the 2023 form may 
accountant.                                                       also be used as the return for a short period (less than 12 
• Answers to additional questions and other information.          months) ending November 30, 2023, or earlier. The 2023 form 
  Each jurisdiction may require the additional material to be     may also be used for a short period beginning after November 
presented on forms they provide. The additional material doesn't  30, 2023, and ending before December 31, 2024 (not on or after 
have to be submitted with the Form 990-PF filed with the IRS.     December 31, 2024). Note on the short period return the change 
  If required information isn't provided to a state, the          of accounting period.
organization may be asked by the state to provide it or to submit Accounting period change.        In general, to change its 
an amended return even if the Form 990-PF is accepted by the      accounting period, the organization must file Form 990-PF by the 
IRS as complete.                                                  due date for the short period resulting from the change. At the 
Amended returns.  If the organization submits supplemental        top of this short period return, write “Change of Accounting 
information or files an amended Form 990-PF with the IRS, it      Period.”
must also submit a copy of the information or amended return to     If the organization has previously changed its accounting 
any state with which it filed a copy of Form 990-PF.              period within the 10-calendar-year period that includes the 
                                                                  beginning of the short period resulting from the current change in 
                                                                  accounting period, and it had a Form 990-PF filing requirement 
Instructions for Form 990-PF (2023)                                                                                                   7

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at any time during that 10-year period, it must also file Form      Alternatively, if a taxpayer, including a tax-exempt entity, has 
1128, Application to Adopt, Change, or Retain a Tax Year, with      not yet adopted an accounting method for an item of income or 
the short-period return. See Rev. Proc. 85-58, 1985-2 C.B. 740,     deduction, a change in how the entity reports the item is not a 
1985-18 I.R.B. 5.                                                   change in accounting method. In this case, the procedures 
                                                                    applicable to requests for accounting method changes (for 
I. Accounting Methods                                               example, the requirement to file a Form 3115) are not applicable.
An “accounting method,” for federal income tax purposes, is a       Thus, a tax-exempt entity that has never taken into account 
practice a taxpayer follows to determine the taxable year in        an item of income or deduction in determining taxable income 
which to report revenue and expenses for federal income tax         does not have to request consent to change its method of 
purposes. An accounting method includes not only the overall        reporting that item on Form 990-PF. Additionally, a tax-exempt 
plan of accounting for gross income or deductions (for example,     entity that has never been subject to federal income tax on an 
an accrual method or the cash receipts and disbursement             item of income or deduction but that is required to file a Form 
method), but also the treatment of any item that involves the       990-T solely due to owing a section 6033(e)(2) proxy tax does 
proper time for the inclusion of an item in income or the taking of not have to request consent to change its method for reporting 
an item as a deduction, or both. However, a practice that does      the item.
not affect the timing for reporting an item of income or deduction 
for purposes of determining taxable income is not an accounting     Exception. Complete Part I, column (d), on the cash receipts 
method. A taxpayer, including a tax-exempt entity, generally        and disbursements method of accounting.
adopts any permissible accounting method in the first year in 
which it uses the method in determining its taxable income. See     J. When and How To File
Rev. Proc. 2015-13, 2015-5 I.R.B. 419.
                                                                    This return must be filed by the 15th day of the 5th month 
        An exempt organization may adopt an accounting              following the close of the foundation's tax year. If the regular due 
  !     method not only for purposes of calculating taxable         date falls on a Saturday, Sunday, or legal holiday, file by the next 
CAUTION income, but also for purposes of determining whether 
                                                                    business day. If the return is filed late, see M. Penalty for Failure 
taxable income will be subject to federal income tax. For           To File Timely, Completely, or Correctly, later.
example, a tax-exempt entity may adopt an accounting method 
for an item of income from an unrelated trade or business activity  In the case of a complete liquidation, dissolution, or 
even if the gross income from such activity is less than $1,000     termination, file the return by the 15th day of the 5th month 
and is therefore not taxed for federal income tax purposes          following complete liquidation, dissolution, or termination.
pursuant to Regulations section 1.6012-2(e).                        Required electronic filing. If you are filing a 2023 Form 
                                                                    990-PF, you are required to file electronically.
  An accounting method for an item of income or deduction 
may generally be adopted separately for each of the taxpayer’s      For additional information on the electronic filing requirement 
trades or businesses. However, in order to be permissible, an       and e-file providers, visit IRS.gov/EOefile.
accounting method must clearly reflect the taxpayer’s income. 
Unless instructed otherwise, the organization should generally      K. Extension of Time To File
use the same accounting method on the return (including the         A foundation generally uses Form 8868 to request an automatic 
Form 990-PF and all schedules) to report revenue and expenses       extension of time to file its return.
that it regularly uses to keep its books and records.               An automatic extension will be granted if you properly 
Accounting method change.   Once a taxpayer, including a            complete this form, file it, and pay any balance due by the due 
tax-exempt entity, adopts an accounting method for federal          date for Form 990-PF.
income tax purposes, the taxpayer must generally request the 
IRS’s consent before it can change its accounting method (even      L. Amended Return
if the year in which the taxpayer seeks to make the change is a     To change the organization's return for any year, file an amended 
year in which it generates only tax-exempt income or is             return, including attachments, with the correct information. The 
otherwise not taxed on its taxable income). In most cases, a        amended return must provide all the information required by the 
taxpayer requests consent to change an accounting method by         form and instructions, not just the new or corrected information. 
filing a Form 3115, Application for Change in Accounting            Check “Amended return” in Item G at the top of page 1 of the 
Method. See Rev. Proc. 2015-13, or any successor, for general       form. See Line 9. Tax due, later.
procedures for obtaining consent to change an accounting 
method.                                                             If the organization files an amended return to claim a refund of 
                                                                    tax paid under section 4940 or 4948, it must file the amended 
        Depending upon the specific accounting method change        return within 3 years after the date the original return was filed, or 
  !     being requested, the taxpayer may be able to request        within 2 years from the date the tax was paid, whichever date is 
CAUTION “automatic” consent. This means that as long as the         later.
taxpayer follows the applicable procedures, the taxpayer does 
not have to wait for formal approval by the IRS before applying     State reporting requirements.        See Amended returns, earlier.
the new accounting method. See Rev. Proc. 2019-43, 2019-48          Need a copy of an old return or form?       Use Form 4506 to 
I.R.B. 1107, as modified by Rev. Proc. 2021-34, 2021-35 I.R.B.      obtain a copy of a previously filed return. You can download 
337, or its successor, for a list of accounting method changes      items from the IRS website at IRS.gov/FormsPubs.
that generally qualify for automatic consent.
                                                                    M. Penalty for Failure To File Timely, 
  For example, a tax-exempt entity that has adopted an 
accounting method for an item of income from an unrelated trade     Completely, or Correctly
or business must generally request consent before it can change     To avoid filing an incomplete return or having to respond to 
its method of accounting for that item in any subsequent year.      requests for missing information, see B. Which Parts To 
This is true regardless of whether gross income from the            Complete, earlier.
unrelated trade or business is greater than or equal to $1,000 in 
such subsequent year.                                               Against the organization.   If an organization doesn't file timely 
                                                                    and completely, or doesn't furnish the correct information, it must 

8                                                                                               Instructions for Form 990-PF (2023)

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pay $20 for each day the failure continues ($120 a day if it is a    sections 11 and 12 of Pub. 15 (Circular E), Employer’s Tax 
large organization), unless it can show that the failure was due to  Guide, for details.
reasonable cause. The maximum penalty for each return won't 
exceed the smaller of $12,000 ($60,000 for a large organization)     O. Figuring and Paying Estimated Tax
or 5% of the gross receipts of the organization for the year.        A domestic exempt private foundation, a domestic taxable 
Large organization.  A large organization is one that has            private foundation, or a nonexempt charitable trust treated as a 
gross receipts exceeding $1,208,500 for the tax year.                private foundation must make estimated tax payments for the 
Gross receipts.  Gross receipts means the gross amount               excise tax based on investment income if it can expect its 
received during the foundation's annual accounting period from       estimated tax (section 4940 tax minus allowable credits) to be 
all sources without reduction for any costs or expenses.             $500 or more. The number of installment payments it must make 
To calculate the foundation's gross receipts, figure the             under the depository method is determined at the time during 
following.                                                           the year that it first meets this requirement. For calendar-year 
                                                                     taxpayers, the first deposit of estimated taxes for a year should 
1. Part I, line 12, column (a).                                      generally be made by May 15 of the year.
2. Add lines 6b and 10b.
3. Subtract line 6a.                                                 Although Form 990-W is used primarily to figure the 
                                                                     installment payments of unrelated business income tax, it is also 
Against the responsible person. The IRS will make written            used to determine the timing and amounts of installment 
demand that the delinquent return be filed or the information        payments of the section 4940 tax based on investment income. 
furnished within a reasonable time after the mailing of the notice   Figure separately any required deposits of excise tax based on 
of the demand. The person failing to comply with the demand on       investment income and unrelated business income tax.
or before the date specified will have to pay $10 for each day the 
failure continues, unless there is reasonable cause. The             To figure the estimated tax for the excise tax based on 
maximum penalty imposed on all persons for any one return is         investment income, see Part V. Enter the tax you figured on 
$6,000. If more than one person is liable for any failures, all such line 10a of Form 990-W.
persons are jointly and severally liable for such failures. See 
section 6652(c) for further information.                             The Form 990-W line items and instructions for large 
                                                                     organizations also apply to private foundations. For purposes of 
Other penalties. Because this return also satisfies the filing       paying the estimated tax on net investment income, a “large 
requirements of a tax return under section 6011 for the tax on       organization” is one that had net investment income of $1 million 
investment income imposed by section 4940 (or 4948 if an             or more for any of the 3 tax years immediately preceding the tax 
exempt foreign organization), the penalties imposed by section       year involved.
6651 for not filing a return (without reasonable cause) also apply.
                                                                     Penalty. A foundation that doesn't pay the proper estimated tax 
There are also criminal penalties for willful failure to file and    when due may be subject to the estimated tax penalty for the 
for filing fraudulent returns and statements. See sections 7203,     period of the underpayment. See sections 6655(b) and (d) and 
7206, and 7207.                                                      the Form 2220 instructions for further information.
Most tax-exempt organizations, other than churches, are              With regard to figuring and paying employment taxes, see 
required to file an annual Form 990, 990-EZ, 990-PF, or 990-N        Pub. 15 (Circular E).
e-Postcard with the IRS. If an organization fails to file an annual 
return or notice for 3 consecutive years, it will automatically lose Special Rules
its tax-exempt status. A private foundation that loses its 
exemption must file income tax returns and pay income taxes          Section 4947(a)(1) nonexempt charitable trusts.       Form 
and must file Form 990-PF as a taxable private foundation. For       1041-ES should be used to pay any estimated tax on income 
details, go to IRS.gov/EO.                                           subject to tax under section 1. Form 1041-ES also contains the 
                                                                     estimated tax rules for paying the tax on that income.
N. Penalties for Not Paying Tax on                                   Taxable private foundations. Form 1120-W, Estimated Tax for 
Time                                                                 Corporations, should be used to figure any estimated tax on 
                                                                     income subject to tax under section 11. Form 1120-W contains 
There is a penalty for not paying tax when due (section 6651).       the estimated tax rules for paying the tax on that income.
The penalty is generally  /  of 1% of the unpaid tax for each 1 2
month or part of a month the tax remains unpaid, not to exceed       P. Tax Payment Methods for Domestic 
25% of the unpaid tax. If there was reasonable cause for not 
paying the tax on time, the penalty can be waived. However,          Private Foundations
interest is charged on any tax not paid on time, at the rate         The foundation must deposit all depository taxes (such as 
provided by section 6621.                                            employment tax, excise tax, and unrelated business income tax) 
Estimated tax penalty.   The section 6655 penalty for failure to     electronically using electronic funds transfer. Generally, such 
pay estimated tax applies to the tax on net investment income of     transfers are made using the Electronic Federal Tax Payment 
domestic private foundations and section 4947(a)(1) nonexempt        System (EFTPS). To get more information about EFTPS or to 
charitable trusts. The penalty also applies to any tax on            enroll in EFTPS, visit EFTPS.gov, or call 800-555-4477. To 
unrelated business income of a private foundation. Generally, if a   contact EFTPS using the Telecommunications Relay Services 
private foundation's tax liability is $500 or more and it didn't     (TRS), for people who are deaf, hard of hearing, or have a 
make the required payments on time, then it is subject to the        speech disability, dial 711 and provide the TRS assistant the 
penalty.                                                             800-555-4477 number above or 800-733-4829. Additional 
For more details, see the discussion of Form 2220,                   information about EFTPS is also available in Pub. 966, Electronic 
                                                                     Federal Tax Payment System: A Guide to Getting Started. See 
Underpayment of Estimated Tax by Corporations, in D. Other 
Forms You May Need To File, earlier.                                 below for an exception to this rule for small foundations.
A private foundation is also subject to the section 6656             Depositing on time.    For deposits made by EFTPS to be on 
penalty for failure to deposit employment taxes when due. See        time, the foundation must generally submit the transaction at 
                                                                     least 1 business day before the date the deposit is due. See Pub. 

Instructions for Form 990-PF (2023)                                                                                                    9

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15 (Circular E) for information on a same-day payment option       • Must allow an individual to make photocopies of documents at 
under some circumstances.                                          no charge but only if the individual brings photocopying 
                                                                   equipment to the place of inspection.
Q. Public Inspection Requirements
                                                                   Determining if a site is a regional or district office.     A 
A private foundation must make its annual returns and exemption    regional or district office is any office of a private foundation, 
application available for public inspection.                       other than its principal office, that has paid employees whose 
                                                                   total number of paid hours a week are normally 120 hours or 
Definitions                                                        more. Include the hours worked by part-time (as well as full-time) 
Annual returns. Annual returns include an exact copy of the        employees in making that determination.
following documents as filed with the IRS.                           What sites aren't considered a regional or district office? 
• Form 990-PF, including all schedules, attachments, and           A site isn't considered a regional or district office if:
supporting documents, and any amended return that is 3 or            1. The only services provided at the site further the 
fewer years old from:                                              foundation's exempt purposes (for example, day care, health 
  1. The date the original return was filed or required to be      care, or scientific or medical research); and
filed, or                                                            2. The site doesn't serve as an office for management staff, 
  2. The date the return was required to be filed.                 other than managers who are involved only in managing the 
• Form 990-T, if it was used to report any tax on unrelated        exempt function activities at the site.
business income.
                                                                   What if the private foundation doesn't maintain a perma-
Exemption application.  An application for tax exemption           nent office? If the private foundation doesn't maintain a 
includes (except as described later):                              permanent office, it will comply with the public inspection by 
• Any prescribed application form (such as Form 1023 or Form       office visitation requirement by making the annual returns and 
1024),                                                             exemption application available at a reasonable location of its 
• Any letter application where a form isn't required,              choice. It must permit public inspection:
• All documents and statements the IRS requires an applicant       • Within a reasonable amount of time after receiving a request 
to file with the form or letter application,                       for inspection (normally, not more than 2 weeks), and
• Any statement or other supporting document submitted in          • At a reasonable time of day.
support of the application, and                                      Optional method of complying.        If a private foundation that 
• Any letter or other document issued by the IRS concerning the    doesn't have a permanent office wishes not to allow an 
application.                                                       inspection by office visitation, it may mail a copy of the requested 
  An application for tax exemption doesn't include:                documents instead of allowing an inspection. However, it must 
• Any application for tax exemption filed before July 15, 1987,    mail the documents within 2 weeks of receiving the request and 
unless the private foundation filing the application had a copy of may charge for copying and postage only if the requester 
the application on July 15, 1987; or                               consents to the charge.
• Any material that isn't available for public inspection under      Private foundations with a permanent office but limited 
section 6104.                                                      or no hours. Even if a private foundation has a permanent 
                                                                   office but no office hours or very limited hours during certain 
Who Must Make the Annual Returns and                               times of the year, it must still meet the office visitation 
Exemption Application Available for Public                         requirement. To meet this requirement during those periods 
Inspection?                                                        when office hours are limited or not available, follow the rules 
                                                                   above under What if the private foundation doesn't maintain a 
The foundation's Form 990-PF, Form 990-T, and exemption            permanent office, earlier.
application must be made available to the public by the 
foundation and the IRS.
                                                                   Public Inspection—Providing Copies
How Does a Private Foundation Make Its Annual 
                                                                   A private foundation must provide copies of its annual returns or 
Returns and Exemption Application Available                        exemption application to any individual who makes a request for 
for Public Inspection?                                             a copy in person or in writing unless it makes these documents 
A private foundation must make its annual returns and exemption    widely available.
application available in three ways.                               In-person requests for document copies.      A private 
• By office visitation.                                            foundation must provide copies to any individual who makes a 
• By providing copies.                                             request in person at the private foundation's principal, regional, 
• By Internet posting.                                             or district offices during regular business hours on the same day 
                                                                   that the individual makes the request.
Public Inspection by Office Visitation                               Accepted delay in fulfilling an in-person request.        If 
                                                                   unusual circumstances exist and fulfilling a request on the same 
A private foundation must make its annual returns and exemption    day places an unreasonable burden on the private foundation, it 
application available for public inspection without charge at its  must provide copies by the earlier of:
principal, regional, and district offices during regular business  • The next business day following the day that the unusual 
hours.                                                             circumstances end, or
Conditions that may be set for public inspection at the of-        • The fifth business day after the date of the request.
fice. A private foundation:                                          Examples of unusual circumstances include:
• May have an employee present,                                    • Receipt of a volume of requests (for document copies) that 
• Must allow the individual conducting the inspection to take      exceeds the private foundation's daily capacity to make copies,
notes freely during the inspection, and                            • Requests received shortly before the end of regular business 
                                                                   hours that require an extensive amount of copying, or

10                                                                                           Instructions for Form 990-PF (2023)

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• Requests received on a day when the organization's                 Example.    The ABC Foundation retained an agent to provide 
managerial staff capable of fulfilling the request is conducting     copies for all written requests for documents. However, ABC 
official duties (for instance, student registration or attending an  Foundation received a request for document copies before the 
off-site meeting or convention) instead of its regular               agent did.
administrative duties.                                               The deadline for providing a response is referenced by the 
  Use of local agents for providing copies.  A private               date the ABC Foundation received the request and not when the 
foundation may use a local agent to handle in-person requests        agent received it. If the agent received the request first, then a 
for document copies. If a private foundation uses a local agent, it  response would be referenced to the date the agent received it.
must immediately provide the local agent's name, address, and 
telephone number to the requester.                                   Can a fee be charged for providing copies?   A private 
                                                                     foundation may charge a reasonable fee for providing copies. 
  The local agent must:                                              Also, it can require the fee to be paid before providing a copy of 
• Be located within reasonable proximity to the principal,           the requested document.
regional, or district office where the individual makes the request; 
                                                                     What is a reasonable fee?       A fee is reasonable only if it is no 
and
                                                                     more than the per-page copying fee charged by the IRS for 
• Provide document copies within the same time frames as the 
                                                                     providing copies, plus no more than the actual postage costs 
private foundation.
                                                                     incurred to provide the copies.
Written requests for document copies. If a private foundation        What forms of payment must the private foundation 
receives a written request for a copy of its annual returns or       accept? The form of payment depends on whether the request 
exemption application (or parts of these documents), it must give    for copies is made in person or in writing.
a copy to the requester. However, this rule only applies if the      Cash and money orders must be accepted for in-person 
request:                                                             requests for document copies. The private foundation, if it 
• Is addressed to a private foundation's principal, regional, or     wishes, may accept additional forms of payment.
district office;
• Is delivered to that address by mail, electronic mail (email),     A certified check, money order, and either a personal check 
facsimile (fax), or a private delivery service approved by the IRS   or credit card must be accepted for written requests for 
(go to IRS.gov/PDS for the current list of approved services); and   document copies. The private foundation, if it wishes, may 
• Gives the address to which the document copies should be           accept additional forms of payment.
sent.                                                                Other fee information. If a private foundation provides a 
  How and when a written request is fulfilled.    Requested          requester with notice of a fee and the requester doesn't pay the 
document copies must be mailed within 30 days from the date          fee within 30 days, the private foundation may ignore the 
the private foundation receives the request.                         request.
  Unless other evidence exists, a mailed request or payment is       If a requester's check doesn't clear on deposit, the private 
considered to be received by the private foundation 7 days after     foundation may ignore the request.
the postmark date.                                                   If a private foundation doesn't require prepayment and the 
  If an advance payment is required, copies must be provided         requester doesn't prepay, the private foundation must receive 
within 30 days from the date payment is received.                    consent from the requester if the copying and postage charge 
                                                                     exceeds $20.
  If the private foundation requires payment in advance and it 
receives a request without payment or with insufficient payment,     Private foundations subject to a harassment campaign.           If 
it must notify the requester of the prepayment policy and the        the IRS determines that a private foundation is being harassed, it 
amount due within 7 days from the date it receives the request.      isn't required to comply with any request for copies that it 
  A request that is transmitted to the private foundation by email   reasonably believes is part of the harassment campaign.
or fax is considered received the day the request is transmitted     A group of requests for a private foundation's annual returns 
successfully.                                                        or exemption application is indicative of a harassment campaign 
  Requested documents can be emailed instead of the                  if the requests are part of a single coordinated effort to disrupt 
traditional method of mailing if the requester consents to this      the operations of the private foundation rather than to collect 
method.                                                              information about it.
  A document copy is considered as provided on the:                  See Regulations section 301.6104(d)-3 for more information.
• Postmark date,                                                     Requests that may be disregarded without IRS approval.             A 
• Private delivery date,                                             private foundation may disregard any request for copies of all or 
• Registration date for certified or registered mail,                part of any document beyond the first two received within any 
• Postmark date on the sender's receipt for certified or             30-day period or the first four received within any 1-year period 
registered mail, or                                                  from the same individual or the same address.
• Day the email is successfully transmitted (if the requester 
agreed to this method).                                              Making the Annual Returns and Exemption 
  Requests for parts of a document copy.     A person can 
request all or any specific part or schedule of the annual returns   Application Widely Available
or exemption application, and the private foundation must fulfill 
the person's request for a copy.                                     A private foundation doesn't have to provide copies of its annual 
                                                                     returns and/or its exemption application if it makes these 
  Can an agent be used to provide copies?    A private 
                                                                     documents widely available. However, it must still allow public 
foundation can use an agent to provide document copies for the 
                                                                     inspection by office visitation.
written requests it receives. However, the agent must provide the 
document copies under the same conditions imposed on the             How does a private foundation make its annual returns and 
private foundation itself. Also, if an agent fails to provide the    exemption application widely available?    A private 
documents as required, the private foundation will continue to be    foundation's annual returns and/or exemption application is 
subject to penalties.                                                widely available if it meets all four of the following requirements.
                                                                     1. Internet posting requirement—This is met if:

Instructions for Form 990-PF (2023)                                                                                                     11

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• The document is posted on the foundation's website, or               could be obtained by the individual from a federal government 
• The document is posted as part of a database of like                 agency free or for a nominal charge must disclose that fact 
documents of other tax-exempt organizations on a website               conspicuously when making such offer or solicitation.
established and maintained by another entity.                            Any organization that intentionally disregards this requirement 
  2. Additional posting information requirement—This is met if:        will be subject to a penalty for each day the offers or solicitations 
• The website through which the document is available clearly          are made. The penalty is the greater of $1,000 or 50% of the 
informs readers that the document is available and provides            total cost of the offers and solicitations made on that day.
instructions for downloading the document;
• After it is downloaded and viewed, the web document exactly          S. Organizations Organized or 
reproduces the image of the annual returns or exemption 
application as it was originally filed with the IRS, except for any    Created in a Foreign Country
information permitted by statute to be withheld from public            If the organization applies any provision of any U.S. tax treaty to 
disclosure; and                                                        figure the foundation's taxable income, tax liability, or tax credits 
• Any individual with access to the Internet can access,               in a manner different from these instructions, attach an 
download, view, and print the document without special                 explanation.
computer hardware or software required for that format (except           Section 4948(a) imposes a 4% tax on the gross investment 
software that is readily available to members of the public            income (but not capital gain net income) of an exempt foreign 
without payment of any fee) and without payment of a fee to the        private foundation from U.S. sources, such as dividends; 
private foundation or to another entity maintaining the web page.      interest; rents; payments received on securities loans, as defined 
  3. Reliability and accuracy requirements—To meet this, the           in section 512(a)(5); and royalties. Amounts taken into income 
entity maintaining the website must:                                   on Form 990-T are excepted. The section 4948(a) tax replaces 
• Have procedures for ensuring the reliability and accuracy of         the section 4940 tax on the net investment income of a domestic 
the document that it posts on the page;                                private foundation. A foreign foundation doesn't complete Form 
• Take reasonable precautions to prevent alteration,                   990-PF, Part IV.
destruction, or accidental loss of the document when posted on 
its page; and                                                            Under section 4948(b), sections 507 and 508 and chapter 42 
• Correct or replace the document if a posted document is              (other than section 4948) don't apply to a foreign organization 
altered, destroyed, or lost.                                           that from the date of its creation has received at least 85% of its 
                                                                       support (as defined in section 509(d), excluding gross 
  4. Notice requirement—To meet this, a private foundation             investment income) from sources outside the United States. The 
must notify any individual requesting copies of its annual returns     foreign foundation's section 501(c)(3) status can be revoked, 
and/or exemption application where the documents are available         however, if it commits a violation of chapter 42 (other than 
(including the Internet address). If the request is made in person,    section 4942) after receiving a warning of a violation from the 
the private foundation must notify the individual immediately. If      IRS, or if it commits a willful and flagrant violation. A foreign 
the request is in writing, it must notify the individual within 7 days foundation described in section 4948(b) doesn't complete Form 
of receiving the request.                                              990-PF, Parts IX (unless claiming status as an operating 
                                                                       foundation), X, XII, and XIV; isn't required to send a copy of its 
Penalties                                                              annual return to a state official; and isn't required to comply with 
                                                                       the public inspection requirements for annual returns (see G. 
A penalty may be imposed on any person who doesn't make the            Furnishing Copies of Form 990-PF to State Officials and Q. 
annual returns (including all required attachments to each return)     Public Inspection Requirements, earlier). The foundation must 
or the exemption application available for public inspection           attach a computation of the 85% test to the return.
according to the section 6104(d) rules discussed above. If more          Taxable foreign private foundations and foreign section 
than one person fails to comply, each person is jointly and            4947(a)(1) nonexempt charitable trusts aren't subject to excise 
severally liable for the full amount of the penalty. The penalty       tax under section 4948(a) or 4940, but are subject to income tax 
amount is $20 for each day during which a failure occurs. The          under subtitle A of the Code.
maximum penalty that may be imposed on all persons for any 
one annual return is $12,000. There is no maximum penalty                For these purposes, U.S. territories are considered part of the 
amount for failure to make the exemption application available for     United States, and thus territories' organizations aren't 
public inspection.                                                     considered foreign organizations.

                                                                       T. Liquidation, Dissolution, 
  Any person who willfully fails to comply with the section 
6104(d) public inspection requirements is subject to an                Termination, or Substantial 
additional penalty of $5,000.
                                                                       Contraction
Requirements Placed on the IRS                                         If there is a liquidation, dissolution, termination, or substantial 
The IRS makes available a private foundation's Form 990-PF,            contraction (defined below) of the organization, attach the 
Form 990-T, and approved exemption application. You may view           following to the return.
exempt organization forms free of charge on Tax Exempt                 • A statement to the return that describes the transaction.
Organization Search (TEOS) at IRS.gov/TEOS. You may contact            • A certified copy of the liquidation plan, resolution, etc. (if any) 
the IRS to obtain a copy of a return if it is not available online.    and all amendments or supplements that weren't previously filed.
Complete information is available on the IRS website at IRS.gov/       • A schedule that lists the names and addresses of all 
Charities-Non-Profits/Copies-of-EO-Returns-Available.                  recipients of assets.
                                                                       • An explanation of the nature and fair market value of the 
R. Disclosures Regarding Certain                                       assets distributed to each recipient.
Information and Services Furnished                                     Additional requirements. For a complete corporate liquidation 
                                                                       or trust termination, attach a statement as to whether a final 
A section 501(c) organization that offers to sell or solicits money    distribution of assets was made and the date it was made (if 
for specific information or a routine service to any individual that   applicable).

12                                                                                             Instructions for Form 990-PF (2023)

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   Also, an organization must indicate:                              An organization gives the IRS notice of termination under 
• That it has ceased to exist and check Final return in Item G of    section 507(b)(1)(B) by submitting Form 8940, Request for 
the Heading section on page 1 of the return; or                      Miscellaneous Determinations, on which it provides the 
• That it is terminating its private foundation status under         information set forth in Regulations section 1.507-2(b)(3).
section 507(b)(1)(B), according to U. Section 507(b)(1)(B)           An organization may also give the notice with a request for an 
Termination Notice and Filing Requirements and V. Payment of         advance ruling that the organization can be expected to meet the 
Section 4940 Tax During Section 507(b)(1)(B) Termination, later;     requirements of public charity status during the 60-month period. 
or                                                                   Form 8940, Request for Miscellaneous Determination, is also 
• That it is voluntarily terminating its private foundation status   used for this purpose. No user fee is required to provide the 
under section 507(a)(1) and owes a termination tax and must          required notice, but a user fee is required if an advance ruling is 
send the notice (and tax payment, if applicable) required by Rev.    requested. See the Instructions for Form 8940 for more 
Rul. 2003-13, 2003-4 I.R.B. 305, and Rev. Rul. 2002-28,              information.The advantage of an advance ruling is that the 
2002-20 I.R.B. 941, to the Manager, Exempt Organizations             organization’s grantors and contributors can generally rely on it 
Determinations, at the address given in U. Section 507(b)(1)(B)      during the 60-month period, and the ruling constitutes 
Termination Notice and Filing Requirements, later.                   reasonable cause for abatement of penalties for failure to pay 
Relief from public inspection requirements.       If the             section 4940 tax during the period. The organization itself can't 
organization has terminated its private foundation status under      rely on the ruling to avoid private foundation status during or after 
section 507(b)(1)(A), it doesn't have to comply with the notice      the 60-month period.
and public inspection requirements of the return for the             Although an organization terminating its private foundation 
termination year.                                                    status under section 507(b)(1)(B) may be regarded as a public 
Filing date. See J. When and How To File, earlier, for the filing    charity for certain purposes, it is considered a private foundation 
date.                                                                for filing requirement purposes and must file an annual return on 
                                                                     Form 990-PF. The return must be filed for each year in the 
Definitions. The term “substantial contraction” includes any         60-month termination period, if that period hasn't expired before 
partial liquidation or any other significant disposition of assets.  the due date of the return.
However, this doesn't include transfers for full and adequate 
consideration or distributions of current income.                    Within 90 days after the end of the termination period, the 
   A significant disposition of assets doesn't include any           organization must supply information to the IRS establishing that 
disposition for a tax year if:                                       it has terminated its private foundation status and, as a result, 
                                                                     qualifies as a public charity. This information is provided on Form 
   1. The total of the dispositions for the tax year is less than    8940.
25% of the fair market value of the net assets of the organization 
at the beginning of the tax year, and                                If information is furnished establishing a successful 
                                                                     termination, then, for the final year of the termination period, the 
   2. The total of the related dispositions made during prior tax    organization should comply with the filing requirements for the 
years (if a disposition is part of a series of related dispositions  type of public charity it has become. See the Instructions for 
made during these prior tax years) is less than 25% of the fair      Form 990 and the Instructions for Schedule A (Form 990 or 
market value of the net assets of the organization at the            990-EZ) for details on filing requirements. This applies even if the 
beginning of the tax year in which any of the series of related      IRS hasn't confirmed that the organization has terminated its 
dispositions was made.                                               private foundation status by the time the return for the final year 
   The facts and circumstances of the particular case will           of the termination is due (or would be due if a return were 
determine whether a significant disposition has occurred through     required).
a series of related dispositions. Ordinarily, a distribution         The organization will be allowed a reasonable period of time 
described in section 170(b)(1)(F)(ii) (relating to private           to file any private foundation returns required (for the last year of 
foundations making qualifying distributions out of corpus equal      the termination period) but not previously filed if it is later 
to 100% of contributions received during the foundation's tax        determined that the organization didn't terminate its private 
year) won't be taken into account as a significant disposition of    foundation status. Interest on any tax due will be charged from 
assets. See Regulations section 1.170A-9(h)(2).                      the original due date of Form 990-PF, but penalties under 
                                                                     sections 6651 and 6652 won't be assessed if Form 990-PF is 
U. Section 507(b)(1)(B)                                              filed within the period allowed by the IRS.
Termination—Notice and Filing 
                                                                     V. Payment of Section 4940 Tax 
Requirements
                                                                     During Section 507(b)(1)(B) 
A private foundation or nonexempt charitable trust (other than a 
foundation or trust described in section 4948(b)) may terminate      Termination
its private foundation status under section 507(b)(1)(B) by          An organization terminating its private foundation status under 
meeting the requirements of public charity status under section      section 507(b)(1)(B) may file Form 990-PF without paying the 
509(a)(1), (2), or (3) over a continuous 60-month period that        section 4940 tax based on investment income if it filed a consent 
begins with the beginning of a tax year of the organization. The     under section 6501(c)(4) with its notice of termination prior to the 
organization must give proper notice to the IRS prior to the start   start of the 60-month period. The consent provides that the 
of the 60-month period, and establish to the satisfaction of the     period of limitation on the assessment of tax under chapter 42, 
IRS within 90 days after the end of the 60-month period that it so   based on investment income for any tax year in the 60-month 
qualified.                                                           period, won't expire until at least 1 year after the period for 
   If the organization fails to qualify as a public charity over the assessing a deficiency for the last tax year in which the 
entire 60-month period, then it will be treated as a private         60-month period would normally expire. Any foundation not 
foundation after the end of the 60-month period, and for any tax     paying the tax when it files Form 990-PF must attach a copy of 
year within the 60-month period in which it didn't qualify as a      the signed consent.
public charity.                                                      If the foundation didn't file the consent, the tax must be paid in 
                                                                     the normal manner as explained in O. Figuring and Paying 
Instructions for Form 990-PF (2023)                                                                                                    13

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Estimated Tax and P. Tax Payment Methods for Domestic Private      telephone, enter a telephone number of a foundation official who 
Foundations, earlier. The organization may file a claim for refund can provide this information during normal business hours.
after completing termination or during the termination period. 
The claim for refund must be filed on time and the organization    Item D2. Foreign Organizations
must supply information establishing that it qualified as a public If the foreign organization meets the 85% test of Regulations 
charity for the period for which it paid the tax.                  section 53.4948-1(b), then:
                                                                   • Check the box in D2 in the Heading section on page 1 of Form 
W. Rounding, Currency, and                                         990-PF,
Attachments                                                        • Check the box at the top of Part X,
                                                                   • Don’t fill in Parts X and XII,
Rounding off to whole dollars. You must round off cents to         • Don’t fill in Part IX unless it is claiming status as a private 
whole dollars on your return and schedules. To round, drop         operating foundation, and
amounts under 50 cents and increase amounts from 50 to 99          • Attach the computation of the 85% test to Form 990-PF.
cents to the next dollar. For example, $1.39 becomes $1 and 
$2.50 becomes $3.                                                  Note. In addition to these requirements, foreign organizations 
  If you have to add two or more amounts to figure the amount      checking the box in D1 of the Heading on Form 990-PF don't 
to enter on a line, include cents when adding the amounts and      complete Part IV or Part I, line 7. See B. Which Parts To 
round off only the total.                                          Complete, earlier, for more details.

Currency and language requirements.     Report all amounts in      Item E. Section 507(b)(1)(A) Terminations
U.S. dollars. State the conversion rate used. Report all items in  A private foundation that has terminated its private foundation 
total, including amounts from both U.S. and non-U.S. sources.      status under section 507(b)(1)(A) during the tax year being 
All information must be in English.                                reported, by distributing all its net assets to one or more public 
Attachments.   Use the schedules on Form 990-PF. If you need       charities without keeping any right, title, or interest in those 
more space, use attachments that are the same size as the          assets, should check this box. See Q. Public Inspection 
printed forms.                                                     Requirements and T. Liquidation, Dissolution, Termination, or 
  On each attachment, write:                                       Substantial Contraction, earlier.
• “Form 990-PF,”
• The tax year,                                                    Item F. 60-Month Termination Under Section 
• The corresponding schedule number or letter,                     507(b)(1)(B)
• The organization's name and EIN, and                             Check this box if the organization is terminating its private 
• The information requested using the format and line sequence     foundation status under the 60-month provisions of section 
of the printed form.                                               507(b)(1)(B) during the period covered by this return. To begin 
Also, show totals on the printed forms.                            such a termination, a private foundation must have given 
                                                                   advance notice to TE/GE at the Cincinnati address given earlier 
                                                                   and provided the information outlined in Regulations section 
Specific Instructions                                              1.507-2(b)(3). See U. Section 507(b)(1)(B) Termination Notice 
                                                                   and Filing Requirements, earlier, for information regarding filing 
Heading                                                            requirements during a section 507(b)(1)(B) termination.
Name and Address                                                     See V. Payment of Section 4940 Tax During Section 507(b)(1)
                                                                   (B) Termination, earlier, for information regarding payment of the 
If the organization operates under a name different from its legal tax based on investment income (figured in Part V) during a 
name, give the legal name of the organization but identify its     section 507(b)(1)(B) termination.
alternate name, after the legal name, by writing “aka” (also 
known as) and the alternate name of the organization. The          Item G. Initial Return of Certain Former Public 
address used must be that of the principal office of the 
foundation.                                                        Charities
                                                                   If this is the initial Form 990-PF return of a former public charity 
  Include the suite, room, or other unit number after the street   under section 170(b)(1)(A)(vi) or 509(a)(2) or 509(a)(3), then the 
address. If the post office doesn't deliver mail to the street     organization is treated as a private foundation for the tax year 
address and the organization has a P.O. box, show the box          being reported only for purposes of section 6033 (filing Form 
number instead of the street address.                              990-PF), section 4940 (paying excise tax on investment income), 
                                                                   and section 507 (terminating private foundation status).
Item A. Employer Identification Number
The organization should have only one EIN. If it has more than     Item H. Type of Organization
one EIN, notify the Internal Revenue Service Center at the         Check the box for “Section 501(c)(3) exempt private foundation” 
address shown under J. When and How To File, earlier. Explain      if the foundation has a ruling or determination letter from the IRS 
what numbers the organization has, the name and address to         in effect that recognizes its exemption from federal income tax as 
which each number was assigned, and the address of the             an organization described in section 501(c)(3) or if the 
organization's principal office. The IRS will then advise which    organization's exemption application is pending with the IRS.
number to use.
                                                                     Check the “Section 4947(a)(1) nonexempt charitable trust” 
Item B. Telephone Number                                           box if the trust is a nonexempt charitable trust treated as a 
Enter a foundation telephone number (including the area code)      private foundation. All others, check the “Other taxable private 
that the public and government regulators may use to obtain        foundation” box.
information about the foundation's finances and activities. This 
information should be available at this telephone number during 
normal business hours. If the foundation doesn't have a 

14                                                                                          Instructions for Form 990-PF (2023)

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Item I. Fair Market Value of All Assets                             For example, investment income from debt-financed property 
In Item I in the Heading on page 1 of Form 990-PF, enter the fair unrelated to the organization's charitable purpose and certain 
market value of all assets the foundation held at the end of the  rents (and related expenses) treated as unrelated trade or 
tax year.                                                         business income should be reported on Form 990-T. Income 
                                                                  from debt-financed property that isn't taxed under section 511 is 
    This amount should be the same as the figure reported         taxed under section 4940. Thus, if the debt/basis percentage of 
TIP in Part II, line 16, column (c).                              a debt-financed property is 80%, only 80% of the gross income 
                                                                  (and expenses) for that property is used to figure the section 511 
                                                                  tax on Form 990-T. The remaining 20% of the gross income (and 
Part I. Analysis of Revenue and                                   expenses) of that property is used to figure the section 4940 tax 
                                                                  on net investment income on Form 990-PF. (See Form 990-T 
Expenses                                                          and its instructions for more information.)
Column Instructions                                               Investment expenses.     Include in column (b) all ordinary and 
                                                                  necessary expenses paid or incurred to produce or collect 
The total of amounts in columns (b), (c), and (d) (or any 
                                                                  investment income from interest, dividends, rents, amounts 
combination of them, such as columns (b) and (d)) may differ 
                                                                  received from payments on securities loans (as defined in 
from the amount in column (a).
                                                                  section 512(a)(5)), royalties, income from notional principal 
The amounts entered in column (a) and on line 5b must be          contracts, annuities, substantially similar income from ordinary 
analyzed in Part XV-A.                                            and routine investments, and income from similar sources; or for 
                                                                  the management, conservation, or maintenance of property held 
Column (a). Revenue and Expenses per Books                        for the production of income that is taxable under section 4940.
                                                                    If any of the expenses listed in column (a) are paid or incurred 
Enter in column (a) all items of revenue and expense shown in     for both investment and charitable purposes, they must be 
the books and records that increased or decreased the net         allocated on a reasonable basis between the investment 
assets of the organization. However, don't include the value of   activities and the charitable activities so that only expenses from 
services donated to the foundation or items such as free use of   investment activities appear in column (b). Examples of 
equipment or facilities in contributions received. Also, don't    allocation methods are given in the instructions for Part VIII-A.
include any expenses used to figure capital gains and losses on     Limitation.    The deduction for expenses paid or incurred in 
lines 6, 7, and 8 or expenses included in cost of goods sold on   any tax year for producing gross investment income earned 
line 10b. For foundations that don't use the cash method of       incident to a charitable function can't be more than income 
accounting for book purposes, charitable expenditures reported    earned from the function includible as gross investment income 
in column (a) won't necessarily match amounts reported in         for the year.
column (d).                                                         For example, if rental income is incidentally realized in 2021 
                                                                  from historic buildings held open to the public, deductions for 
Column (b). Net Investment Income                                 amounts paid or incurred in 2021 for the production of this 
                                                                  income may not be more than the amount of rental income 
All domestic private foundations (including section 4947(a)(1)    includible as gross investment income in column (b) for 2021.
nonexempt charitable trusts) are required to pay an excise tax      Expenses related to tax-exempt interest. Don’t include on 
each tax year on net investment income.                           lines 13–23 of column (b) any expenses paid or incurred that are 
                                                                  allocable to tax-exempt interest that is excluded from lines 3 and 
Exempt foreign foundations are subject to an excise tax on        4.
gross investment income from U.S. sources. These foreign 
organizations should complete lines 3, 4, 5a, 5b, 11, 12, and 27b     If the foundation is a partner in a partnership, then 
of column (b) and report only income derived from U.S. sources.   TIP pertinent items of income, gain, loss, deduction, or credit 
No other income should be included. No expenses are allowed           from the entity's Schedule K-1 (Form 1065) should 
as deductions.                                                    generally be reported in columns (b) and (c) for the tax year of 
                                                                  the entity ending with or within the foundation's tax year. See 
Definitions. See below.                                           Regulations sections 53.4940-1(c)(1) and 53.4942(a)-2(d)(1).
Gross investment income.      Gross investment income is the 
total amount of investment income that was received by a private    By contrast, if the foundation is a beneficiary of a trust, 
foundation from all sources. However, it doesn't include any      distributions from the trust aren't included in income in column 
income subject to the unrelated business income tax. It includes  (c) if the trust was created and funded by a person other than the 
interest, dividends, rents, payments with respect to securities   foundation, and aren't included in column (b). See Regulations 
loans (as defined in section 512(a)(5)), royalties received from  section 53.4942(a)-2(d)(2)(vii) and Notice 2004-35, 2004-19 
assets devoted to charitable activities, income from notional     I.R.B. 889, available at IRS.gov/irb/2004-19_IRB/index.html.
principal contracts (as defined in Regulations section 1.863-7), 
annuities, substantially similar income from ordinary and routine 
investments, and income from similar sources. Therefore,          Column (c). Adjusted Net Income
interest received on a student loan is includible in the gross        Nonoperating private foundations should see 
investment income of a private foundation making the loan.        TIP Nonoperating private foundations, later, to find out if they 
Net investment income.  Net investment income is the                  need to complete column (c).
amount by which the sum of gross investment income and the 
capital gain net income exceeds the allowable deductions          Private operating foundations.   All organizations that claim 
discussed later. Tax-exempt interest on governmental obligations  status as private operating foundations under section 4942(j)(3) 
and related expenses are excluded.                                or (5) must complete all lines of column (c) that apply, according 
Investment income. Include in column (b) all or part of any       to the general rules for income and expenses that apply to this 
amount from column (a) that applies to investment income.         column, the specific line instructions for lines 3–27c, the Special 
However, don't include in column (b) any income and related       rule, later, and Examples 1 and 2, later.
expenses reported on Form 990-T.
Instructions for Form 990-PF (2023)                                                                                                15

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General rules. In general, adjusted net income is the amount of • Use the cash receipts and disbursements method of
a private foundation's gross income that is more than the accounting no matter what accounting method is used in
expenses of earning the income. The modifications and keeping the books of the foundation;
exclusions explained below are applied to gross income and • Don’t include any amount or part of an amount included in
expenses in figuring adjusted net income. column (b) or (c);
• Include on lines 13–25 all expenses, including necessary and
For income and expenses, include on each line of column (c) reasonable administrative expenses, paid by the foundation for
only that portion of the amount from column (a) allocable to the religious, charitable, scientific, literary, educational, or other
adjusted net income computation. public purposes, or for the prevention of cruelty to children or
Income. For column (c), include income from charitable animals;
functions, investments, related and unrelated business, and • Include a distribution of property at the fair market value on
amounts set aside; short-term capital gains and losses; the date the distribution was made; and
recoveries of amounts that were treated as qualifying • Include only the part entered in column (a) that is allocable to
distributions in prior tax years; and amounts set aside that are the charitable purposes of the foundation.
determined not to be needed for the purposes for which they Example. An educational seminar produced $1,000 in
were set aside. Don’t include gifts, grants or contributions, or income that was reportable in columns (a) and (c). Expenses
long-term capital gains or losses. attributable to this charitable activity were $1,900. Only $1,000 of
Expenses. Deductible expenses include the part of a private expense should be reported in column (c) and the remaining
foundation's operating expenses paid or incurred to produce or $900 in expense should be reported in column (d).
collect gross income reported on lines 3–11 of column (c). If only
part of the property produces income includible in column (c), Qualifying distributions. Generally, amounts paid to
deductions such as interest, taxes, and rent must be divided accomplish the foundation’s exempt purposes are qualifying
between the charitable and noncharitable uses of the property. If distributions. Special rules apply in certain situations—see the
the deductions for property used for a charitable, educational, or line 25, column (d), instructions.
other similar purpose are more than the income from the The total of the expenses and disbursements on line 26
property, the excess won't be allowed as a deduction but may be TIP is also entered on line 1a in Part XI to figure qualifying
treated as a qualifying distribution in Part I, column (d). See distributions.
Examples 1 and 2, below.
Special rule. The expenses attributable to each specific Alternative to completing lines 13–25. If you want to provide
charitable activity, limited by the amount of income from the an analysis of disbursements that is more detailed than column
activity, must be reported in column (c) on lines 13–26. If the (d), you may attach a schedule instead of completing lines 13–
expenses of any charitable activity exceed the income generated 25. The schedule must include all the specific items of lines 13–
by that activity, only the excess of these expenses over the 25, and the total from the schedule must be entered on line 26,
income should be reported in column (d). column (d).
Examples.
Line Instructions
1. A charitable activity generated $5,000 of income and
$4,000 of expenses. Report all income and expenses in column Line 1. Contributions, gifts, grants, etc., received. Enter the
(c) and none in column (d). total of gross contributions, gifts, grants, and similar amounts
2. A charitable activity generated $5,000 of income and received.
$6,000 of expenses. Report $5,000 of income and $5,000 of The Coronavirus Aid, Relief, and Economic Security Act
expenses in column (c) and the excess expenses of $1,000 in TIP (CARES Act) established the Paycheck Protection
column (d). Program (PPP) to provide loans to small businesses as a
direct incentive to keep their workers on the payroll. The loans
Nonoperating private foundations. A foundation that doesn't are forgiven if all employee retention criteria are met and the
claim status as a private operating foundation isn't required to funds are used for eligible expenses. Amounts of PPP loans that
complete column (c) unless either of the following applies. are forgiven may be reported on line 1 as contributions from a
1. The foundation received income from a charitable activity governmental unit in the taxable year that the amounts are
and wishes to claim a qualifying distribution for expenses forgiven or at such other time as provided in Rev. Proc. 2021-48,
incurred in the activity in excess of the income. The foundation 2021-49 I.R.B. 835.
must report such income only on lines 10 and/or 11 in column Schedule B (Form 990). If money, securities, or other
(c), and any expenses relating to this income following the property valued at $5,000 or more was received directly or
general rules and the special rule above. See Examples 1 and 2, indirectly from any one person during the year, complete
above. The foundation need not report other kinds of income and Schedule B and attach it to the return. If the foundation isn't
expenses (such as investment income and expenses) in column required to complete Schedule B (no person contributed $5,000
(c). or more), be sure to check the box on line 2.
2. The foundation claims status under section 170(b)(1)(F) To determine whether a person has contributed $5,000 or
(iii) (relating to foundations that maintain a common fund). The more, total only gifts of $1,000 or more from each person.
foundation must complete all lines of column (c) that apply. Separate and independent gifts need not be totaled if less than
$1,000. If a contribution is in the form of property, describe the
Column (d). Disbursements for Charitable property and include its fair market value.
Purposes The term “person” includes individuals, fiduciaries,
partnerships, corporations, associations, trusts, and exempt
Expenses entered in column (d) relate to activities that constitute organizations.
the charitable purpose(s) of the foundation. Split-interest trusts. Distributions from split-interest trusts
should be entered on line 1, column (a). They are a part of the
For amounts entered in column (d): amount on line 1.

16 Instructions for Form 990-PF (2023)

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Substantiation requirements. An organization must keep ratably over the life of the bond on line 4. See section 1272 for
records, as required by the regulations under section 170. more information.
Generally, a donor making a charitable contribution of $250 or In column (b). Enter the amount of dividend and interest
more won't be allowed a federal income tax deduction unless the income and payments on securities loans from column (a). Don’t
donor obtains a written acknowledgment from the donee include interest on tax-exempt government obligations.
organization by the earlier of the date on which the donor files a In column (c). Enter the amount of dividend and interest
tax return for the tax year in which the contribution was made or income and payments on securities loans from column (a).
the due date, including extensions, for filing that return. However, Include interest on tax-exempt government obligations.
see section 170(f)(8)(D) and Regulations section 1.170A-13(f) Line 5a. Gross rents. Enter in the columns below.
for exceptions to this rule.
In column (a). Enter the gross rental income for the year
The written acknowledgment the foundation provides to the from investment property reportable in Part II, line 11.
donor must show: In columns (b) and (c). Enter the gross rental income from
1. The amount of cash contributed; column (a).
2. A description of any property contributed; Line 5b. Net rental income or (loss). Figure the net rental
3. Whether the foundation provided any goods or services to income or (loss) for the year and enter that amount on the entry
the donor; and line to the left of column (a).
4. A description and a good-faith estimate of the value of Report rents from other sources on line 11. Enter any
any goods or services the foundation gave in return for the expenses attributable to the rental income reported on line 5,
contribution, unless: such as interest and depreciation, on lines 13–23.
a. The goods and services have insubstantial value, or Line 6a. Net gain or (loss) from sale of assets. Enter the net
b. A statement is included that these goods and services gain or (loss) per books from all asset sales not included on
consist solely of intangible religious benefits. line 10.
For assets sold and not included in Part IV, attach a schedule
Generally, if a charitable organization solicits or receives a
showing:
contribution of more than $75 for which it gives the donor
something in return (a quid pro quo contribution), the • Date acquired;
organization must inform the donor, by written statement, that the • Manner of acquisition;
amount of the contribution deductible for federal income tax • Gross sales price;
purposes is limited to the amount by which the contribution • Cost, other basis, or value at time of acquisition (if donated)
and which of these methods was used;
exceeds the value of the goods or services received by the
donor. The written statement must also provide the donor with a • Date sold;
good-faith estimate of the value of goods or services given in • To whom sold;
return for the contribution. • Expense of sale and cost of improvements made subsequent
to acquisition; and
Penalties. An organization that doesn't make the required Depreciation since acquisition (if depreciable property).
•
disclosure for each quid pro quo contribution will incur a penalty
of $10 for each failure, not to exceed $5,000 for a particular Line 6b. Gross sales price for all assets on line 6a. Enter
fundraising event or mailing, unless it can show reasonable the gross sales price from all asset sales whose net gain or loss
cause for not providing the disclosure. was reported on line 6a.
For more information. See Regulations section 1.170A-13 Line 7. Capital gain net income. Enter the capital gain net
for more information on charitable recordkeeping and income from Part IV, line 2. See the Part IV instructions.
substantiation requirements.
Line 8. Net short-term capital gain. Include only net
Line 2. Check this box if the foundation isn't required to attach short-term capital gain for the year (assets sold or exchanged
Schedule B. that were held not more than 1 year). Don’t include net long-term
Line 3. Interest on savings and temporary cash invest- capital gain or net loss in column (c).
ments. Enter in the columns below. Don’t include on line 8 a net gain from the sale or exchange of
In column (a). Enter the total amount of interest income from depreciable property, or land used in a trade or business
investments reportable in Part II, line 2. These include savings or (section 1231) and held for more than 1 year. However, include
other interest-bearing accounts and temporary cash net loss from such property on line 23 as an Other expense.
investments, such as money market funds, commercial paper, In general, foundations may carry to line 8 the net short-term
certificates of deposit, and U.S. Treasury bills or other capital gain reported in Part IV, line 3. However, if the foundation
government obligations that mature in less than 1 year. had any short-term capital gain from sales of debt-financed
In column (b). Enter the amount of interest income shown in property, add it to the amount reported in Part IV, line 3, to figure
column (a). Don’t include interest on tax-exempt government the amount to include on line 8. For information dealing with
obligations. “debt-financed property,” see the Instructions for Form 990-T.
In column (c). Enter the amount of interest income shown in
column (a). Include interest on tax-exempt government Only private operating foundations report their
obligations. TIP short-term capital gains on line 8.
Line 4. Dividends and interest from securities. Enter in the
columns below. Line 9. Income modifications. Include on this line:
In column (a). Enter the amount of dividend and interest 1. Amounts received or accrued as repayments of amounts
income from securities (stocks and bonds) reportable in Part II, taken into account as qualifying distributions;
line 10. Include amounts received from payments on securities 2. Amounts received or accrued from the sale or other
loans, as defined in section 512(a)(5). Don’t include any capital disposition of property to the extent that the acquisition of the
gain dividends reportable on line 6a. Report income from property was considered a qualifying distribution for any tax
program-related investments on line 11. For debt instruments year;
with an original issue discount, report the original issue discount

Instructions for Form 990-PF (2023) 17

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3. Any amount set aside for a specific project (see In columns (b), (c), and (d). Enter the portion of the
explanation in the instructions for Part XI) that wasn't necessary compensation included in column (a) that is applicable to the
for the purposes for which it was set aside; column. For example, in column (c), enter the portion of the
4. Income received from an estate, but only if the estate was compensation included in column (a) paid or incurred to produce
considered terminated for income tax purposes due to a or collect income included in column (c).
prolonged administration period; and Line 14. Other employee salaries and wages. Enter the
5. Amounts treated in an earlier tax year as qualifying salaries and wages of all employees other than those included
distributions to: on line 13.
Employee leasing companies and professional employer
• A nonoperating private foundation if the amounts weren't organizations. In some cases, an exempt organization “leases”
redistributed by the grantee organization by the close of its tax one or more “employees” from another company, which may be
year following the year in which it received the funds, or in the business of leasing employees. Alternatively, the
• An organization controlled by the distributing foundation or a organization may enter into an agreement with a professional
disqualified person if the amounts weren't redistributed by the employer organization to perform some or all of the federal
grantee organization by the close of its tax year following the employment tax withholding, reporting, and payment functions
year in which it received the funds. related to workers performing services for the organization. The
Lines 10a, b, c. Gross profit from sales of inventory. Enter organization should treat employees of an employee leasing
the gross sales (less returns and allowances), cost of goods company or a professional employer organization (whether or
sold, and gross profit or (loss) from the sale of all inventory not certified under the Certified Professional Employer
items, including those sold in the course of special events and Organization Program (CPEO)) as the organization's own
activities. These inventory items are the ones the organization employees and should report the compensation and other items
either makes to sell to others or buys for resale. in Part IV as if the organization had paid the officers, directors,
Don’t report any sales or exchanges of investments on trustees, and key employees directly. For more information, visit
line 10. IRS.gov/CPEO. An employee is defined as, any individual who,
under the usual common law rules applicable in determining the
Don’t include any profit or (loss) from the sale of capital items employer-employee relationship, has the status of an employee,
such as securities, land, buildings, or equipment on line 10. and any other individual who is treated as an employee for
Enter these amounts on line 6a. federal employment tax purposes under section 3121(d). See
Don’t include any business expenses such as salaries, taxes, Pub. 1779 for more information.
rent, etc., on line 10. Include them on lines 13–23.
Line 15. Contributions to employee pension plans and oth-
Attach a schedule showing the following items: gross sales, er benefits. Enter the employer's share of contributions the
cost of goods sold, and gross profit or (loss). These items should organization paid to qualified and nonqualified pension plans
be classified according to type of inventory sold (such as books, and the employer's share of contributions to employee benefit
tapes, other educational or religious material, etc.). The totals programs (such as insurance, health, and welfare programs) that
from the schedule should agree with the entries on lines 10a– aren't an incidental part of a pension plan. Complete the return/
10c. report of the Form 5500 series appropriate for the organization's
In column (c), enter the gross profit or (loss) from sales of plan. See the Instructions for Form 5500 for information about
inventory shown on line 10c, column (a). employee welfare benefit plans required to file that form.
Line 11. Other income. Enter the total of all the foundation's Also include the amount of federal, state, and local payroll
other income for the year. Attach a schedule that gives a taxes for the year, but only include those that are imposed on the
description and the amount of the income. Include all income not organization as an employer. This includes the employer's share
reported on lines 1 through 10c. Also, see Part XV-A, Line 11 , of social security and Medicare taxes, FUTA tax, state
later. unemployment compensation tax, and other state and local
payroll taxes. Don’t include taxes withheld from employees'
Include imputed interest on certain deferred payments figured salaries and paid over to the various governmental units (such as
under section 483 and any investment income not reportable on federal and state income taxes and the employee's share of
lines 3 through 5, including income from program-related social security and Medicare taxes).
investments (defined in the instructions for Part VIII-B).
Don’t include unrealized gains and losses on investments Lines 16a, b, and c. Legal, accounting, and other professio-
carried at market value. Report those as fund balance or net nal fees. On the appropriate line(s), enter the legal, accounting,
asset adjustments in Part III. auditing, and other professional fees (such as fees for
In column (b). Enter the amount of investment income fundraising or investment services) charged by outside firms and
included in line 11, column (a). Include dividends, interest, rents, individuals who aren't employees of the foundation.
and royalties derived from assets devoted to charitable activities, Attach a schedule for lines 16a, b, and c. Show the type of
such as interest on student loans. service and expense for each. If the same person provided more
than one of these services, include an allocation of those
In column (c). Include all other items includible in adjusted expenses.
net income not covered elsewhere in column (c).
Report any fines, penalties, or judgments imposed against
Line 12. Total. Enter the total of lines 1–11 in columns (a)–(c). the foundation as a result of legal proceedings on line 23.
In column (b). Domestic organizations should enter the total
of lines 3–11. Tax-exempt foreign foundations should exclude the Line 18. Taxes. Attach a schedule listing the type and amount
line 7 amount from the total. of each tax reported on line 18. Don’t enter any taxes included
on line 15.
Line 13. Compensation of officers, directors, trustees, etc. In column (a). Enter the taxes paid (or accrued) during the
Enter in the columns below. year. Include all types of taxes recorded on the books, including
In column (a). Enter the total compensation for the year of all real estate tax not reported on line 20, the tax on investment
officers, directors, and trustees. If none was paid, enter zero. income, and any income tax.
Complete line 1 of Part VII to show the compensation of officers,
directors, trustees, and foundation managers.

18 Instructions for Form 990-PF (2023)

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In column (b). Enter only those taxes included in column (a) Line 22. Printing and publications. Enter the expenses for
related to investment income taxable under section 4940. Don’t printing or publishing and distributing any newsletters,
include the section 4940 tax paid or incurred on net investment magazines, etc. Also include the cost of subscriptions to, or
income or the section 511 tax on unrelated business income. purchases of, magazines, newspapers, etc.
Sales taxes may not be deducted separately but must be treated
as a part of the cost of acquired property or as a reduction of the Line 23. Other expenses. Enter all other expenses for the year.
amount realized on disposition of the property. Include all expenses not reported on lines 13–22. Attach a
In column (c). Enter only those taxes included in column (a) schedule showing the type and amount of each expense.
that relate to income included in column (c). Don’t include any If a deduction is claimed for amortization, attach a schedule
excise tax paid or incurred on the net investment income (as showing:
shown in Part V) or any tax reported on Form 990-T. • Description of the amortized expenses;
In column (d). Don’t include any excise tax paid on • Date acquired, completed, or expended;
investment income (as reported in Part V of this return or the • Amount amortized;
equivalent part of a return for prior years) unless the organization • Deduction for prior years;
is claiming status as a private operating foundation and • Amortization period (number of months);
completes Part XIII. • Current-year amortization; and
• Total amount of amortization.
Line 19. Depreciation and depletion.
In column (c). In addition to the applicable portion of
In column (a). Enter the expense recorded in the books for expenses from column (a), include any net loss from the sale or
the year. exchange of land or depreciable property that was held for more
For depreciation, attach a schedule showing: than 1 year and used in a trade or business.
• A description of the property, A deduction for amortization is allowed but only for assets
• The date acquired, used for the production of income reported in column (c).
• The cost or other basis (exclude any land),
• The depreciation allowed or allowable in prior years, Line 25. Contributions, gifts, grants paid. Don’t report on
• The method of computation, line 25 direct program expenditures that aren't contributions,
• The rate (%) or life (years), and gifts, or grants. These amounts should be reported on lines 13–
• The depreciation this year. 24.
On a separate line on the schedule, show the amount of In column (a). Enter the total of all contributions, gifts, grants,
depreciation included in cost of goods sold and not included on and similar amounts paid (or accrued) for the year. List each
line 19. contribution, gift, grant, etc., in Part XIV, or attach a schedule of
In columns (b) and (c). A deduction for depreciation is the items included on line 25 and list:
allowed only for property used in the production of income 1. Name and address of donee;
reported in the column, and only using the straight line method of 2. Relationship of donee if related by:
figuring depreciation. A deduction for depletion is allowed but a. Blood,
must be figured only using the cost depletion method.
b. Marriage,
The basis used in figuring depreciation and depletion is the
basis determined under normal basis rules, without regard to the c. Adoption, or
special rules for using the fair market value on December 31, d. Employment (including children of employees) to any
1969, that relate only to gain or loss on dispositions for purposes disqualified person (see C. Definitions, earlier, for definitions);
of the tax on net investment income. and
Line 20. Occupancy. Enter the amount paid or incurred for the 3. The organizational status of donee (for instance, public
use of office space or other facilities. If the space is rented or charity—an organization described in section 509(a)(1), (2), or
leased, enter the amount of rent. If the space is owned, enter the (3)).
amount of mortgage interest, real estate taxes, and similar You don't have to give the name of any indigent person who
expenses, but not depreciation reportable on line 19. In either received one or more gifts or grants from the foundation unless
case, include the amount for utilities and related expenses (for that individual is a disqualified person or one who received a
example, heat, lights, water, power, telephone, sewer, trash total of more than $1,000 from the foundation during the year.
removal, outside janitorial services, and similar services). Don’t
include any salaries of the organization's own employees Activities should be described according to purpose and in
reportable on line 14. greater detail than merely charitable, educational, religious, or
scientific activities. For example, use identification such as
Line 21. Travel, conferences, and meetings. Enter the payments for nursing service, for fellowships, or for assistance to
expenses for officers, employees, or others during the year for indigent families.
travel, attending conferences, meetings, etc. Include
transportation (including fares, mileage allowance, or automobile Foundations may include, as a single entry on the schedule,
expenses), meals and lodging, and related costs whether paid the total of amounts paid as grants for which the foundation
on the basis of a per diem allowance or actual expenses exercised expenditure responsibility. Attach a separate report for
incurred. Don’t include any compensation paid to those who each grant.
participate. When the fair market value of the property at the time of
In column (b). Only 50% of the expense for business meals disbursement is the measure of a contribution, the schedule
paid or incurred in connection with travel, meetings, etc., relating must also show:
to the production of investment income may be deducted in • A description of the contributed property,
figuring net investment income (section 274(n)). • The book value of the contributed property,
In column (c). Subject to the Special rule, earlier, limiting • The method used to determine the book value,
amounts reported in column (c) by the income generated by a • The method used to determine the fair market value, and
charitable activity, enter the total amount of expenses paid or • The date of the gift.
incurred by officers, employees, or others for travel, conferences,
meetings, etc., related to income included in column (c).

Instructions for Form 990-PF (2023) 19

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       The difference between fair market value and book value         Foundations with less than $5,000 of total assets per books at 
TIP    should be shown in the books of account and as a net            all times during the year must complete all of columns (a) and (b) 
       asset adjustment in Part III.                                   and only line 16 of column (c).
  In column (d). Enter on line 25 all contributions, gifts, and        Line 1. Cash—Non-interest-bearing.     Enter the amount of 
grants the foundation paid during the year with the following          cash on deposit in checking accounts, deposits in transit, 
exceptions.                                                            change funds, petty cash funds, and any other 
• Don’t include contributions to organizations controlled by the       non-interest-bearing account. Don’t include advances to 
foundation or by one or more disqualified persons, or                  employees or officers or refundable deposits paid to suppliers or 
contributions to nonoperating private foundations, unless the          others.
donee organization is exempt from tax under section 501(c)(3)          Line 2. Savings and temporary cash investments.          Enter the 
and redistributes the contributions, and the foundation maintains      total of cash in savings or other interest-bearing accounts and 
sufficient evidence of redistribution, in accordance with section      temporary cash investments, such as money market funds, 
4942(g)(3) and Regulations section 53.4942(a)-3(c).                    commercial paper, certificates of deposit, and U.S. Treasury bills 
• Don’t include contributions paid from a nonoperating private         or other governmental obligations that mature in less than 1 year.
foundation to a Type III supporting organization, as defined 
under section 4943(f)(5), that isn't a functionally integrated Type    Line 3. Accounts receivable.   On the dashed lines to the left of 
III supporting organization, as defined under section 4943(f)(5)       column (a), enter the year-end figures for total accounts 
(B). See Regulations section 1.509(a)-4(i).                            receivable and allowance for doubtful accounts from the sale of 
• Don’t include contributions paid from a nonoperating private         goods and/or the performance of services. In columns (a), (b), 
foundation to any supporting organization if a disqualified person     and (c), enter net amounts (total accounts receivable reduced by 
of the private foundation controls the supporting organization or      the corresponding allowance for doubtful accounts). Claims 
any of its supported organizations. See Regulations section            against vendors or refundable deposits with suppliers or others 
53.4942(a)-3(a)(3).                                                    may be reported here if not significant in amount. (Otherwise, 
• Don’t reduce the amount of grants paid in the current year by        report them on line 15.) Any receivables due from officers, 
the amount of grants paid in a prior year returned or recovered in     directors, trustees, foundation managers, or other disqualified 
the current year. Report those repayments on Part I, line 9,           persons must be reported on line 6. Report receivables 
column (c), and in Part X, line 4.                                     (including loans and advances) due from other employees on 
• Don’t include any payments of set-asides (see the instructions       line 15.
for Part XI, line 3) taken into account as qualifying distributions in Line 4. Pledges receivable.    On the dashed lines to the left of 
the current year or any prior year. All set-asides are included in     column (a), enter the year-end figures for total pledges 
qualifying distributions (Part XI, line 3) in the year of the          receivable and allowance for doubtful accounts (pledges 
set-aside, regardless of when paid.                                    estimated to be uncollectible). In columns (a), (b), and (c), enter 
• Don’t include current-year write-offs of prior years'                net amounts (total pledges receivable reduced by the 
program-related investments. All program-related investments           corresponding allowance for doubtful accounts).
are included in qualifying distributions (Part XI, line 1b) in the 
year the investment is made.                                           Line 5. Grants receivable. Enter the total grants receivable 
• Don’t include any payments that aren't qualifying distributions,     from governmental agencies, foundations, and other 
as defined in section 4942(g)(1).                                      organizations as of the beginning and end of the year.
                                                                       Line 6. Receivables due from officers, directors, trustees, 
Net Amounts                                                            and other disqualified persons.       Enter here (and on an 
                                                                       attached schedule described below) all receivables due from 
Line 27a. Excess of revenue over expenses and disburse-                officers, directors, trustees, foundation managers, and other 
ments. Subtract line 26, column (a), from line 12, column (a),         disqualified persons and all secured and unsecured loans 
and enter the result. Generally, the amount shown in column (a)        (including advances) to such persons. Don’t adjust the amounts 
on this line is also the amount by which net assets (or fund           reported by any amount(s) estimated to be uncollectible. 
balances) have increased or decreased for the year. See Part III.      “Disqualified person” is defined in C. Definitions, earlier.
Analysis of Changes in Net Assets or Fund Balances, later.             Attached schedules.  1. On the required schedule, report 
Line 27b. Net investment income.     Domestic organizations            each loan separately, even if more than one loan was made to 
should subtract line 26, column (b), from line 12, column (b), and     the same person or the same terms apply to all loans made. 
enter the result. Exempt foreign organizations should enter the        Salary advances and other advances for the personal use and 
amount shown on line 12, column (b). However, if the                   benefit of the recipient and receivables subject to special terms 
organization is a domestic organization and line 26, column (b),       or arising from transactions not functionally related to the 
is more than line 12, column (b) (such as when expenses exceed         foundation's charitable purposes must be reported as separate 
income), enter zero (not a negative amount).                           loans for each officer, director, etc.
Line 27c. Adjusted net income.     Subtract line 26, column (c),       2. Receivables that are subject to the same terms and 
from line 12, column (c), and enter the result.                        conditions (including credit limits and rate of interest) as 
                                                                       receivables due from the general public from an activity 
Part II. Balance Sheets                                                functionally related to the foundation's charitable purposes may 
For column (b), show the book value at the end of the year. For        be reported as a single total for all the officers, directors, etc. 
column (c), show the fair market value at the end of the year.         Travel advances made for official business of the organization 
Attached schedules must show the end-of-year value for each            may also be reported as a single total.
asset listed in columns (b) and (c).                                   For each outstanding loan or other receivable that must be 
                                                                       reported separately, the attached schedule should show the 
  Foundations whose books of account included total assets of          following information (preferably using columns).
$5,000 or more at any time during the year must complete all of 
columns (a), (b), and (c).                                             1. Borrower's name and title.
                                                                       2. Original amount.
                                                                       3. Balance due.

20                                                                                          Instructions for Form 990-PF (2023)

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4. Date of note.                                                    value of all land, buildings, and equipment held for investment 
5. Maturity date.                                                   less accumulated depreciation. In column (c), enter the fair 
                                                                    market value of these assets. Attach a schedule listing these 
6. Repayment terms.                                                 investment fixed assets held at the end of the year and showing, 
7. Interest rate.                                                   for each item or category listed, the original cost or other basis, 
8. Security provided by the borrower.                               accumulated depreciation, and ending book value.
9. Purpose of the loan.                                             Line 12. Investments—mortgage loans.      Enter the amount of 
10. Description and fair market value of the consideration          mortgage loans receivable held as investments but don't include 
furnished by the lender (for example, cash—$1,000; or 100           program-related investments (see the instructions for line 15).
shares of XYZ, Inc., common stock— $9,000).                         Line 13. Investments—other.      Enter the amount of all other 
The above detail isn't required for receivables or travel advances  investment holdings not reported on lines 10 through 12. Attach 
that may be reported as a single total (see the discussion of       a schedule listing and describing each of these investments held 
receivables in (2) above); however, report and identify those       at the end of the year. Show the book value for each and indicate 
totals separately on the attachment.                                whether the investment is listed at cost or end-of-year market 
                                                                    value. Don’t include program-related investments (see the 
Line 7. Other notes and loans receivable.  On the dashed            instructions for line 15).
lines to the left of column (a), enter the combined total year-end 
figures for other notes receivable and loans receivable and the     Line 14. Land, buildings, and equipment.  On the first dashed 
allowance for doubtful accounts.                                    line to the left of column (a), enter the year-end book value 
Notes receivable.  In columns (a), (b), and (c), enter the          (excluding accumulated depreciation), and on the second 
amount of all notes receivable not listed on line 6 and not         dashed line, enter the accumulated depreciation of all land, 
acquired as investments. Attach a schedule similar to the one for   buildings, and equipment owned by the organization and not 
line 6. The schedule should also identify the relationship of the   held for investment. In columns (a) and (b), enter the book value 
borrower to any officer, director, trustee, foundation manager, or  of all land, buildings, and equipment not held for investment less 
other disqualified person.                                          accumulated depreciation. In column (c), enter the fair market 
                                                                    value of these assets. Include any property, plant, and 
For a note receivable from any section 501(c)(3) organization,      equipment owned and used by the organization to conduct its 
list only the name of the borrower and the balance due on the       charitable activities. Attach a schedule listing these fixed assets 
required schedule.                                                  held at the end of the year and showing the original cost or other 
Loans receivable.  In columns (a), (b), and (c), enter the          basis, accumulated depreciation, and ending book value of each 
gross amount of loans receivable, minus the allowance for           item or category listed.
doubtful accounts, from the normal activities of the filing 
organization (such as scholarship loans). An itemized list of       Line 15. Other assets.    List and show the book value of each 
these loans isn't required, but attach a schedule showing the       category of assets not reportable on lines 1 through 14. Attach a 
total amount of each type of outstanding loan. Report loans to      separate schedule if more space is needed.
officers, directors, trustees, foundation managers, or other        One type of asset reportable on line 15 is program-related 
disqualified persons on line 6 and loans to other employees on      investments. These are investments made primarily to 
line 15.                                                            accomplish a charitable purpose of the filing organization with no 
                                                                    significant purpose to produce income.
Line 8. Inventories for sale or use. Enter the amount of 
materials, goods, and supplies purchased or manufactured by         Line 16. Total assets.    All filers must complete line 16 of 
the organization and held for sale or use in some future period.    columns (a), (b), and (c). These entries represent the totals of 
                                                                    lines 1 through 15 of each column. However, foundations that 
Line 9. Prepaid expenses and deferred charges. Enter the            have assets of less than $5,000 per books at all times during the 
amount of short-term and long-term prepayments of expenses          year need not complete lines 1 through 15 of column (c).
attributable to one or more future accounting periods. Examples 
include prepayments of rent, insurance, and pension costs, and          The column (c) amount is also entered on the entry 
expenses incurred in connection with a solicitation campaign to     TIP space for Item I in the Heading section on page 1.
be conducted in a future accounting period.
Lines 10a, b, and c. Investments— government obligations,           Line 17. Accounts payable and accrued expenses.           Enter 
corporate stock and bonds. Enter the book value (which may          the total of accounts payable to suppliers and others and 
be market value) of these investments.                              accrued expenses, such as salaries payable, accrued payroll 
Attach a schedule that lists each security held at the end of       taxes, and interest payable.
the year and shows whether the security is listed at cost           Line 18. Grants payable.    Enter the unpaid portion of grants 
(including the value recorded at the time of receipt in the case of and awards the organization has made a commitment to pay 
donated securities) or end-of-year market value. Don’t include      other organizations or individuals, whether or not the 
amounts shown on line 2. Governmental obligations reported on       commitments have been communicated to the grantees.
line 10a are those that mature in 1 year or more. Debt securities 
of the U.S. Government may be reported as a single total rather     Line 19. Deferred revenue.       Include revenue that the 
than itemized. Obligations of state and municipal governments       organization has received but not yet earned as of the balance 
may also be reported as a lump-sum total. Don’t combine U.S.        sheet date under its method of accounting.
Government obligations with state and municipal obligations on      Line 20. Loans from officers, directors, trustees, and other 
this schedule.                                                      disqualified persons.     Enter the unpaid balance of loans 
Line 11. Investments—land, buildings, and equipment.          On    received from officers, directors, trustees, and other disqualified 
the first dashed line to the left of column (a), enter the year-end persons. For loans outstanding at the end of the year, attach a 
book value (excluding accumulated depreciation), and on the         schedule that shows (for each loan) the name and title of the 
second dashed line, enter the accumulated depreciation of all       lender and the information listed in items 2 through 10 of the 
land, buildings, and equipment held for investment purposes,        instructions for line 6, earlier.
such as rental properties. In columns (a) and (b), enter the book 

Instructions for Form 990-PF (2023)                                                                                                  21

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Line 21. Mortgages and other notes payable.    Enter the             stated value, total amount received upon issuance) of all classes 
amount of mortgages and other notes payable at the beginning         of stock issued and, as yet, uncanceled. For trusts, enter the 
and end of the year. Attach a schedule showing, as of the end of     amount in the trust principal or corpus account. For foundations 
the year, the total amount of all mortgages payable and, for each    continuing to use the fund method of accounting, enter the fund 
nonmortgage note payable, the name of the lender and the other       balances for the foundation's current restricted and unrestricted 
information specified in items 2 through 10 of the instructions for  funds.
line 6, earlier. The schedule should also identify the relationship  Line 27. Paid-in or capital surplus, or land, building, and 
of the lender to any officer, director, trustee, foundation manager, equipment fund. Enter the balance per books for all paid-in 
or other disqualified person.                                        capital in excess of par or stated value for all stock issued and 
Line 22. Other liabilities. List and show the amount of each         uncanceled. If stockholders or others gave donations that the 
liability not reportable on lines 17 through 21. Attach a separate   organization records as paid-in capital, include them here. 
schedule if more space is needed.                                    Report any current-year donations you included on line 27 in Part 
                                                                     I, line 1. The fund balance for the land, building, and equipment 
Lines 24 Through 30. Net Assets or Fund                              fund would be entered here.
Balances                                                             Line 28. Retained earnings, accumulated income, endow-
                                                                     ment, or other funds.   For corporations, enter the balance in 
FASB Accounting Standards Codification 958, Not-for-Prof-            the retained earnings, or similar account, minus the cost of any 
it Entities (ASC 958). ASC 958 provides standards for external       corporate treasury stock. For trusts, enter the balance per books 
financial statements certified by an independent accountant for      in the accumulated income or similar account. For foundations 
certain types of nonprofit organizations.                            using fund accounting, enter the total of the fund balances for 
While some states may require reporting according to ASC             the permanent and term endowment funds as well as balances 
958, the IRS does not. However, a Form 990-PF return prepared        of any other funds not reported on lines 26 and 27.
according to ASC 958 will be acceptable to the IRS.
                                                                     Line 29. Total net assets or fund balances.    For foundations 
Foundations that follow ASC 958.  Check the box above                that follow FASB ASC 958, enter the total of lines 24 and 25. For 
line 24, and complete lines 24 and 25 and lines 29 and 30.           all other foundations, enter the total of lines 26 through 28. Enter 
Classify and report net assets in two groups in Part II (net assets  the beginning-of-year figure in Part III, line 1. The end-of-year 
without donor restrictions and net assets with donor restrictions)   figure in column (b) must agree with the figure in Part III, line 6.
based on the existence or absence of donor-imposed 
restrictions and the nature of those restrictions. Enter the sum of  Line 30. Total liabilities and net assets/fund balances. 
the two classes of net assets on line 29. On line 30, add the        Enter the total of lines 23 and 29. This amount must equal the 
amounts on lines 23 and 29 to show total liabilities and net         amount for total assets reported on line 16 for both the beginning 
assets. The amount on line 16 must equal line 30.                    and end of the year.

        Effective for reporting years ending after December 15,      Part III. Analysis of Changes in Net 
!       2017, ASC 958-205, Not-for-Profit                            Assets or Fund Balances
CAUTION Entities—Presentation of Financial Statements (ASC 
958), addresses reporting of donor-restricted endowments and         Generally, the excess of revenue over expenses, or vice versa, 
board-designated (quasi) endowments. Further, many states            accounts for the difference between the net assets at the 
have enacted the Uniform Prudent Management of Institutional         beginning and end of the year.
Funds Act (UPMIFA). If the organization is subject to the UPMIFA     On Part III, line 2, re-enter the figure from Part I, line 27(a), 
or ASC 958, it may affect the amounts reported on lines 24 and       column (a).
25.
                                                                     On lines 3 and 5, list any changes in net assets that weren't 
Line 24. Net assets without donor restrictions.   Enter the          caused by the receipts or expenses shown in Part I, column (a). 
balances per books of the net assets without donor restrictions      For example, if a foundation follows FASB ASC 958 (formerly 
class of net assets. For years ending after December 15, 2017,       “SFAS 115”) (ASC 320-10-35) and shows an asset in the ending 
ASC 958 refers to “unrestricted net assets” as “net assets           balance sheet at a higher value than in the beginning balance 
without donor restrictions.” Net assets without donor restrictions   sheet because of an increased market value (after a larger 
are neither permanently restricted nor temporarily restricted by     decrease in a prior year), include the increase in Part III, line 3.
donor-imposed stipulations. All funds without donor-imposed          If the organization uses a stepped-up basis to determine 
restrictions must be classified as net assets without donor          gains on sales of assets included in Part I, column (a), then 
restrictions, regardless of the existence of any board               include the amount of step-up in basis in Part III. If you entered a 
designations or appropriations.                                      contribution, gift, or grant of property valued at fair market value 
Line 25. Net assets with donor restrictions.   This line can be      in Part I, line 25, column (a), the difference between fair market 
used to show the balance per books of net assets with donor-         value and book value should be shown in the books of account 
imposed restrictions that may require resources to be used after     and as a net asset adjustment in Part III.
a specified date (time restrictions), or used for a specified 
purpose (purpose restrictions), or both.                             Part IV. Capital Gains and Losses for 
Foundations that don’t follow ASC 958.    Check the box above        Tax on Investment Income
line 26 and report account balances on lines 26 through 30.          Use Part IV to figure the amount of net capital gain to report on 
Report capital stock, trust principal, or current funds on line 26.  lines 7 and 8 of Part I.
Report paid-in capital surplus or land, building, or equipment       Part IV doesn't apply to foreign organizations.
funds on line 27. Report retained earnings, endowment, 
accumulated income, or other funds on line 28.                       Nonoperating private foundations may not have to figure their 
                                                                     short-term capital gain or loss on line 3. See Nonoperating 
Line 26. Capital stock, trust principal, or current funds.    For    private foundations, earlier.
corporations, enter the balance per books for capital stock 
accounts. Show par or stated value (or for stock with no par or      Reportable gains and losses.  Capital gains or losses include 
                                                                     gains or losses from the sale or other disposition of property that:

22                                                                                           Instructions for Form 990-PF (2023)

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• Is used for a charitable purpose (for sales or other Other gains and losses. For sales of anything other than
dispositions in tax years beginning after August 17, 2006), publicly traded securities sold, each transaction must be listed
• Is held for investment, or and reported separately, completing all appropriate columns in
• Is used in the production of income. Don't include the gain or Part IV.
loss that is included in figuring the foundation's unrelated
business taxable income. Part V. Excise Tax Based on
However, don't include gains or losses for any portion of
property if: Investment Income (Section 4940(a),
• The property was used for 1 year or more in furthering the 4940(b), or 4948)
foundation's exempt purpose or function; and
• Immediately following the use, is exchanged for property of General Rules
like kind that is to be used primarily in furthering the foundation's
exempt purpose or function. Rules similar to the rules of section Domestic exempt private foundations. These foundations
1031 relating to exchange of property held for productive use or are subject to a 1.39% tax on net investment income under
investment apply. See Gross investment income, earlier. section 4940(a). However, certain exempt operating foundations
Capital gains and losses may arise from the deemed sale of described in section 4940(d)(2) may not owe any tax.
section 1256 contracts (marked to market). Exception. The section 4940 tax doesn't apply to an
Basis. The basis for determining gain from the sale or other organization making an election under section 41(e)(6)(D). Enter
disposition of property is the larger of: “N/A” on line 1 in Part V.
• The fair market value of the property on December 31, 1969, Domestic taxable private foundations and section 4947(a)
plus or minus all adjustments after December 31, 1969, and (1) nonexempt charitable trusts. These organizations are
before the date of disposition, if the foundation held the property subject to a modified 1.39% tax on net investment income under
on that date and continuously after that date until disposition; or section 4940(b). However, they must first figure the tax under
• The basis of the property on the date of disposition under section 4940(a) as if that tax applied to them.
normal basis rules (actual basis). See sections 1011–1016.
Foreign organizations. Under section 4948, exempt foreign
To figure a loss, basis on the date of disposition is determined private foundations are subject to a 4% tax on their gross
under normal basis rules. investment income derived from U.S. sources.
The rules that generally apply to property dispositions
reported in this part are: Under section 871(m), added by the Hiring Incentives to
• Section 1011, adjusted basis for determining gain or loss; ! Restore Employment Act (HIRE), a “dividend equivalent”
• Section 1012, basis of property-cost; CAUTION is treated as a dividend from U.S. sources for certain
• Section 1014, basis of property acquired from a decedent; purposes, including U.S. withholding tax rules applicable to
• Section 1015, basis of property acquired by gifts and transfers foreign organizations. See section 871(m) for more information.
in trust; and Taxable foreign private foundations that filed Form 1040-NR,
• Section 1016, adjustments to basis. U.S. Nonresident Alien Income Tax Return, or Form 1120-F, U.S.
Section 1015 provides in most circumstances for a Income Tax Return of a Foreign Corporation should not complete
TIP carryover basis of property acquired by gift, that is, the Part V.
basis in the hands of the donor carries over to the Estimated tax. Domestic exempt and taxable private
foundation. Section 1014 generally provides for a stepped-up foundations and section 4947(a)(1) nonexempt charitable trusts
basis of property acquired by bequest (other than an item of may have to make estimated tax payments for the excise tax
income in respect of a decedent), that is, the fair market value of based on investment income. See O. Figuring and Paying
the property at the decedent's death. Estimated Tax, earlier, for more information.
Losses. If the disposition of investment property results in a
loss, that loss may be subtracted from capital gains realized from Tax Computation
the disposition of property during the same tax year but only to Line 1a only applies to domestic exempt operating
the extent of the gains. If losses are more than gains, the excess ! foundations described in section 4940(d)(2) that have a
may not be subtracted from gross investment income nor may CAUTION ruling or determination letter from the IRS establishing
the losses be carried back or forward to other tax years. exempt operating foundation status. If your organization doesn't
have this letter, skip line 1a.
Reporting Transactions in Part IV
Publicly traded securities. For sales of publicly traded Line 1a. A domestic exempt private foundation that qualifies as
securities through a broker, enter the description “publicly traded an exempt operating foundation under section 4940(d)(2) isn't
securities” on line 1, column (a). Leave columns (b), (c), and (d) liable for any tax on net investment income on this return.
blank. Total the gross sales price, the cost or other basis, and the If your organization qualifies, check the box and enter the
expense of sale on all such securities sold. Report these date of the ruling or determination letter on line 1a and enter
lump-sum figures in columns (e) through (l), as appropriate. You “N/A” on line 1. Leave the rest of Part V blank. For the first year,
must maintain detailed records of each transaction in your books the organization must attach a copy of the ruling or determination
and records. letter establishing exempt operating foundation status. As long
Publicly traded securities are securities that are listed and as the organization retains this status, enter the date of the ruling
regularly traded on an over-the-counter market or an established or determination letter in the space on line 1a. If the organization
exchange in which market quotations are published or otherwise no longer qualifies under section 4940(d)(2), leave the date line
readily available. Securities include: blank and figure the section 4940 tax in the normal manner.
• Common and preferred stock, Qualification. To qualify as an exempt operating foundation
• Bonds (including governmental obligations), and for a tax year, an organization must meet the following
• Mutual fund shares. requirements of section 4940(d)(2).
• It is an operating foundation described in section 4942(j)(3).

Instructions for Form 990-PF (2023) 23

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• It has been publicly supported for at least 10 tax years or was    organization and not subject to this withholding, the organization 
a private operating foundation on January 1, 1983, or for its last   can claim credit for the amount withheld.
tax year ending before January 1, 1983.
                                                                             Don't claim erroneous backup withholding on line 6d if 
• Its governing body, at all times during the tax year, consists of 
                                                                             you claim it on Form 990-T.
individuals, at least 75% of whom aren't disqualified individuals    CAUTION!
(as defined in section 4940(d)(3)), and is broadly representative 
of the general public.                                               Line 8. Penalty. Enter any penalty for underpayment of 
• It has no officer who was a disqualified individual at any time    estimated tax shown on Form 2220.
during the tax year.
                                                                     Line 9. Tax due. Domestic foundations should see P. Tax 
Line 1c. Exempt foreign organizations shouldn't include net          Payment Methods for Domestic Private Foundations, earlier.
capital gain income when figuring the excise tax due under 
section 4948(a).                                                     Amended return.  If you are amending Part V, be sure to 
                                                                     combine any tax due that was paid with the original return (or 
Line 2. Section 511 tax. Under section 4940(b), a domestic           any overpayment credited or refunded) in the total for line 7. On 
section 4947(a)(1) nonexempt charitable trust or taxable private     the dotted line to the left of the line 7 entry space, write “Tax Paid 
foundation must add to the tax figured under section 4940(a) (on     w/ O.R.” and the amount paid. If you had an overpayment, write 
line 1) the tax which would have been imposed under section          “O.R. Overpayment” and the amount credited or refunded in 
511 for the tax year if it had been exempt from tax under section    brackets.
501(a). If the domestic section 4947(a)(1) nonexempt charitable      If you file more than one amended return, attach a schedule 
trust or taxable private foundation has unrelated business           listing the tax due amounts that were paid and overpayment 
taxable income that would have been subject to the tax imposed       amounts that were credited or refunded. Write “See Attachment” 
by section 511, the computation of tax must be shown in an           on the dotted line and enter the net amount in the entry space for 
attachment. Form 990-T may be used as the attachment. All            line 7.
other filers, enter zero.
Line 4. Subtitle A (income) tax. Domestic section 4947(a)(1)         Part VI-A. Statements Regarding 
nonexempt charitable trusts and taxable private foundations,         Activities
enter the amount of subtitle A (income) tax for the year reported 
on Form 1041 or Form 1120. All other filers, enter zero.             Each question in this section must be answered “Yes,” “No,” or 
                                                                     “N/A” (not applicable).
Line 5. Tax based on investment income. Subtract line 4 
from line 3 and enter the difference (but not less than zero) on     Line 1. “Political purposes” include, but aren't limited to, directly 
line 5. Any overpayment entered on line 10 that is the result of a   or indirectly accepting contributions or making payments to 
negative amount shown on line 5 won't be refunded. Unless the        influence the selection, nomination, election, or appointment of 
organization is a domestic section 4947(a)(1) nonexempt              any individual to any federal, state, or local public office or office 
charitable trust or taxable private foundation, the amount on        in a political organization, or the election of Presidential or Vice 
line 5 is the same as on line 1.                                     Presidential electors, whether or not the individual or electors are 
                                                                     actually selected, nominated, elected, or appointed.
Line 6a. Enter the amount of 2023 estimated tax payments and 
any 2022 overpayment of taxes that the organization specified        Line 3. A “conformed copy” of an organizational document is 
on its 2022 return to be credited toward payment of 2023             one that agrees with the original document and all its 
estimated taxes.                                                     amendments. If copies aren't signed, attach a written declaration 
                                                                     signed by an officer authorized to sign for the organization, 
         Line 6a applies only to domestic foundations.               certifying that they are complete and accurate copies of the 
CAUTION!                                                             original documents.
                                                                     Note.   If you are filing electronically, send a conformed copy of 
  Trust payments treated as beneficiary payments.        A trust 
                                                                     the changes to the IRS at the address listed in U. Section 507(b)
may treat any part of estimated taxes it paid as taxes paid by the 
                                                                     (1)(B) Termination Notice and Filing Requirements, earlier.
beneficiary. If the filing organization was a beneficiary that 
received the benefit of such a payment from a trust, include the     Line 4a. See Pub. 598, Tax on Unrelated Business Income of 
amount on line 6a of Part V and write, “Includes section 643(g)      Exempt Organizations, for a description of unrelated business 
payment.” See section 643(g) for more information about              income and Form 990-T filing requirements for foundations 
estimated tax payments treated as paid by a beneficiary.             having such income.
Line 6b. Exempt foreign foundations must enter the amount of         Line 6. For a private foundation to be exempt from income tax, 
tax withheld at the source. Attach Form 1042-S, Foreign              its governing instrument must include provisions that require it to 
Person's U.S. Source Income Subject to Withholding, or other         act or refrain from acting so as not to engage in an act of 
form that verifies the withheld tax reported on line 6b (Form        self-dealing (section 4941) or subject the foundation to the taxes 
8288-A, Statement of Withholding on Dispositions by Foreign          imposed by sections 4942 (failure to distribute income), 4943 
Persons of U.S. Real Property Interests, or Form 8805, Foreign       (excess business holdings), 4944 (investments that jeopardize 
Partner's Information Statement of Section 1446 Withholding          charitable purpose), and 4945 (taxable expenditures). A private 
Tax).                                                                foundation may satisfy these section 508(e) requirements either 
                                                                     by express language in its governing instrument or by application 
Line 6d. Enter the amount of any backup withholding 
                                                                     of state law that imposes the above requirements on the 
erroneously withheld. Recipients of interest or dividend 
                                                                     foundation or treats these requirements as being contained in 
payments must generally certify their correct taxpayer 
                                                                     the governing instrument. If an organization claims it satisfies the 
identification number to the bank or other payer on Form W-9, 
                                                                     requirements of section 508(e) by operation of state law, the 
Request for Taxpayer Identification Number and Certification. If 
                                                                     provisions of state law must effectively impose the section 
the payer doesn't get this information, it must withhold part of the 
                                                                     508(e) requirements on the organization. See Rev. Rul. 75-38, 
payments as “backup withholding.” If the organization files Form 
                                                                     1975-1 C.B. 161, for a list of states with legislation that satisfies 
990-PF and was subject to erroneous backup withholding 
                                                                     the requirements of section 508(e).
because the payer didn't realize the payee was an exempt 

24                                                                                          Instructions for Form 990-PF (2023)

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However, if the state law doesn't apply to a governing The term “related person” includes any other person who
instrument that contains mandatory directions conflicting with would be a disqualified person because of a relationship with the
any of its requirements and the organization has such mandatory substantial contributor (section 4946). When the substantial
directions in its governing instrument, then the organization contributor is a corporation, the term also includes any officer or
hasn't satisfied the requirements of section 508(e) by the director of the corporation. The term “substantial contributor”
operation of that legislation. doesn't include public charities (organizations described in
Line 6 doesn't apply to foreign foundations described in section 509(a)(1), (2), or (3)).
section 4948(b). A foreign foundation described in section 4948(b) should
report only substantial contributors that are U.S. citizens.
Line 8a. In the space provided, list all states:
1. To which the organization reports in any way about its Line 11. Controlled entities. Answer “Yes” if at any time during
organization, assets, or activities; and the tax year the foundation owned a controlled entity. A
controlled entity is an entity in which the foundation owns more
2. With which the organization has registered (or which it than 50% of the:
has otherwise notified in any manner) that it intends to be, or is,
a charitable organization or that it is, or intends to be, a holder of 1. Stock (by vote or value) in a corporation,
property devoted to a charitable purpose. 2. Interest (of profit or capital) in a partnership, or
Attach a separate list if you need more space. 3. Beneficial interest of any other entity.
Line 8 doesn't apply to foreign foundations described in The foundation must apply section 318 in determining its
section 4948(b). ownership of stock in a corporation and use similar principles in
determining its ownership interests in other entities.
Line 8b. If the organization hasn't furnished a copy of its Form
990-PF to the Attorney General (or the person designated) of Attached schedule of controlled entities. If at any time
each state required to be listed in the response to line 8a, then during the tax year the foundation was the controlling
explain in an attached statement why not. If the Attorney General organization of a controlled entity under section 512(b)(13),
(or the person designated) won't accept such filings, then so attach a schedule listing the name, address, and EIN of each
state. controlled entity and stating whether the controlled entity is an
excess business holding.
Line 9. If the organization claims status as a private operating
foundation for 2023 and, in fact, meets the private operating Attached schedule for transfers to controlled entities. If at
foundation requirements for that year (as reflected in Part XIII), any time during the tax year, the foundation made any loans or
any excess distributions carryover from 2022 or prior years may transfers to a corporation, partnership, or other entity, which it
not be carried over to 2023 or any year after 2023 even if it controlled within the meaning of section 512(b)(13), attach a
doesn't meet the private operating foundation requirements. See schedule using the format provided in the sample schedule,
Part XII. Undistributed Income, later. Line 11—Example A Statement of Information Regarding
Transfers to a Controlled Entity, later. In column (c), describe
Line 10. Substantial contributors. If you answer “Yes,” attach each loan or transfer. In column (d), enter the amount for each
a schedule listing the names and addresses of all persons who loan or transfer to each controlled entity.
became substantial contributors during the year.
Attached schedule for transfers from controlled entities. If
The term “substantial contributor” means any person whose at any time during the tax year, the foundation received any
contributions or bequests, during the current tax year and prior transfers of funds or payments from a controlled entity within the
tax years, total more than $5,000 and are more than 2% of the meaning of section 512(b)(13), attach a schedule using the
total contributions and bequests received by the foundation from format provided in the sample schedule, Line 11—Example B
its creation through the close of its tax year. An individual is Statement of Information Regarding Transfers From a Controlled
treated as making all contributions and bequests made by the Entity, later. In column (c), describe each transfer or payment
individual's spouse (section 507(d)(2)(B)(iii)). In the case of a received, including payment of interest, annuities, royalties,
trust, the term “substantial contributor” also means the creator of rents, dividends, fees or other payments for services,
the trust (section 507(d)(2)(A)). contributions to capital, and loans. In column (d), enter the
The term “person” includes individuals, trusts, estates, amount of each loan or transfer from each controlled entity.
partnerships, associations, corporations, and other exempt
organizations. Note. For both schedules, if additional space is needed, make a
Each contribution or bequest must be valued at fair market copy of the schedule, and enter one total amount on the first
value on the date it was received. page of the schedule.
Any person who is a substantial contributor on any date will Line 12. Distribution to a donor-advised fund. If a
remain a substantial contributor for all later periods. distribution was made from the foundation to a donor-advised
fund over which the foundation or a disqualified person had
However, a person will cease to be a substantial contributor
advisory privileges, then in an attachment state whether the
with respect to any private foundation if:
foundation treated any distribution to a donor-advised fund as a
1. The person, and all related persons, made no qualifying distribution, and explain how the distributions will be
contributions to the foundation during the 10-year period ending used to accomplish a purpose described in section 170(c)(2)(B).
with the close of the tax year;
Line 13. Public inspection requirements and website ad-
2. The person, or any related person, was never the dress. All domestic private foundations (including section
foundation's manager during this 10-year period; and 4947(a)(1) nonexempt charitable trusts treated as private
3. The aggregate contributions made by the person, and foundations) are subject to the public inspection requirements.
related persons, are determined by the IRS to be insignificant See Q. Public Inspection Requirements, earlier, for information
compared to the aggregate amount of contributions to the on making the foundation's annual returns and exemption
foundation by any other person and the appreciated value of application available for public inspection.
contributions held by the foundation. Enter the foundation's website address if the foundation has a
website. Otherwise, enter “N/A.”

Instructions for Form 990-PF (2023) 25

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Line 15. Section 4947(a)(1) trusts. Section 4947(a)(1) b. The accounts weren't with a U.S. military banking facility
nonexempt charitable trusts that file Form 990-PF instead of operated by a U.S. financial institution.
Form 1041 must complete this line. The trust should include 2. The foundation owns more than 50% of the stock in any
exempt-interest dividends received from a mutual fund or other corporation that would answer “Yes” to item 1 above.
regulated investment company as well as tax-exempt interest
received directly. If “Yes,” electronically file FinCEN Form 114, Report of Foreign
Bank and Financial Accounts (FBAR), with the Department of
Line 16. Foreign accounts. Answer “Yes” if either (1) or (2) the Treasury using the FinCEN's BSA E-Filing System. Because
below applies. FinCEN Form 114 isn't a tax form, don't file it with Form 990-PF.
1. At any time during the calendar year ending with or within Go to www.fincen.gov for more information.
the foundation's tax year, the foundation had an interest in, or
signature or other authority over, a financial account in a foreign If you are required to file FinCEN Form 114 but don't do
country (such as a bank account, securities account, or other ! so, you may have to pay a penalty of up to $10,000
financial account); and CAUTION (more in some cases).

a. The combined value of all such accounts was more than Enter the name of each foreign country in which a foreign
$10,000 at any time during the calendar year; and account described on line 16 is located.

26 Instructions for Form 990-PF (2023)

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Line 11—Example A
Statement of Information Regarding Transfers to a Controlled Entity

                                   (A)                                                 (B)                                         (C)                              (D)
     Name and address of each controlled entity                                  Employer                          Description of transfer                          Amount of 
                                                                               identification                                                                       transfer
                                                                                   number

a

b

c

d

e

Total. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Line 11—Example B
Statement of Information Regarding Transfers From a Controlled Entity

                                   (A)                                                   (B)                                       (C)                              (D)
       Name and address of each controlled entity                                  Employer                          Description of transfer                        Amount of 
                                                                                 identification                                                                     transfer
                                                                                     number

a

b

c

d

e

Total. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Instructions for Form 990-PF (2023)                                                                                                                                           27

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                                                                     1. 100% of the voting stock in the business enterprise is 
Part VI-B. Statements Regarding                                      held by the private foundation at all times during the tax year; 
Activities for Which Form 4720 May                                   and
                                                                     2. All of the private foundation’s ownership interests were 
Be Required                                                          acquired by means other than purchase, such as a gift or 
The purpose of these questions is to determine whether there is      bequest.
any initial excise tax due under sections 4941–4945, 170(f)(10), 
4960, and 4965. If the answer is “Yes” to the question on line 1b,   The requirements of section 4943(g)(3) are met if the 
1c, 2b, 3b, 4a, 4b, 5b, 6b, 7b, or 8, complete and file Form 4720    business enterprise, no later than 120 days after the close of the 
unless an exception applies. Foundations described in section        tax year, distributes an amount equal to its net operating income 
4948(b) must complete Part VI-B (except line 2) and file Form        for such tax year to the private foundation. For purposes of this 
4720, but chapter 42 taxes don't apply to such foundations           paragraph, the net operating income of any business enterprise 
(except section 4948). Organizations in a 60-month termination       for any tax year is an amount equal to the gross income of the 
under section 507(b)(1)(B) must complete this part but might not     business enterprise for the tax year, reduced by the sum of:
be liable for private foundation excise taxes—see U. Section         1. The deductions allowed by chapter 1 for the tax year that 
507(b)(1)(B) Termination Notice and Filing Requirements and V.       are directly connected with the production of such income,
Payment of Section 4940 Tax During Section 507(b)(1)(B)              2. The tax imposed by chapter 1 on the business enterprise 
Termination, earlier.                                                for the tax year, and
Line 1. Self-dealing. The activities listed in lines 1a(1)–(6) are   3. An amount for a reasonable reserve for working capital 
considered self-dealing under section 4941 unless one of the         and other business needs of the business enterprise.
exceptions applies. See IRS.gov/Charities/Foundations/Acts-of-
Self-Dealing.                                                        The requirements of section 4943(g)(4) are met if, at all times 
                                                                     during the tax year:
  The terms “disqualified person” and “foundation manager” are 
defined under C. Definitions, earlier.                               1. No substantial contributor (as defined in section 4958(c)
                                                                     (3)(C)) to the private foundation or family member (as 
Line 1b. If you answered “Yes” to any of the questions in line 1a,   determined under section 4958(f)(4)) of such a contributor is a 
you should answer “Yes” to line 1b unless all of the acts engaged    director, officer, trustee, manager, employee, or contractor of the 
in were acts excepted by the regulations under section 4941 or       business enterprise (or an individual having powers or 
other guidance, including Notices published in the Internal          responsibilities similar to any of the foregoing);
Revenue Bulletin relating to disaster assistance.
                                                                     2. At least a majority of the board of directors of the private 
Line 2a. Under section 4942, a foundation (other than an             foundation are persons who are not (i) directors or officers of the 
operating foundation) must make qualifying distributions of its      business enterprise, or (ii) family members of a substantial 
distributable amount for a tax year by the end of the following tax  contributor to the private foundation; and
year. Otherwise, the foundation’s undistributed income as of the     3. There is no loan outstanding from the business enterprise 
end of the following tax year is generally subject to tax until      to a substantial contributor to the private foundation or to any 
corrected. Parts IX through XII are used in determining whether      family member of such a contributor.
the foundation has met its requirements under section 4942.
                                                                     This provision does not apply to any donor-advised fund 
Line 2b. Taxes on failure to distribute income.   If you answer      treated as a private foundation by section 4943(e), a supporting 
“No” to the question on line 2b, attach a statement explaining:      organization treated as a private foundation by section 4943(f), a 
• All the facts regarding the incorrect valuation of assets; and     trust described in section 4947(a)(1), or a trust described in 
• The actions taken (or planned) to comply with section 4942(a)      section 4947(a)(2).
(2)(B), (C), and (D) and the related regulations.
                                                                     Section 4943(g) shall apply to tax years beginning after 
  Foreign foundations described in section 4948(b) need not          December 31, 2017.
complete line 2.
                                                                     For more information about excess business holdings, see 
Line 3a. A private foundation generally is subject to tax under      the Instructions for Form 4720.
section 4943 if it owns any excess business holdings. In general, 
the holdings of a private foundation, combined with the holdings     Line 4. Taxes on investments that jeopardize charitable 
of related foundations and other disqualified persons, can't         purposes. In general, an investment that jeopardizes any of the 
exceed 20% of the voting stock of a corporation, the profits         charitable purposes of a private foundation is one for which a 
interest in a partnership, or the beneficial remainder interest in a foundation manager didn't exercise ordinary business care to 
trust. (See “disqualified person” under C. Definitions, earlier.)    provide for the long- and short-term financial needs of the 
Regardless of the holdings of disqualified persons, however, a       foundation in carrying out its charitable purposes. For more 
foundation is permitted to own holdings that don't exceed 2% of      details, see the regulations under section 4944.
either the voting stock or value of all outstanding shares of all    Line 5. Taxes on taxable expenditures and political expen-
classes of stock in a corporation. A similar exception applies to a  ditures. In general, payments made for the activities described 
beneficial or profits interest in any business enterprise that is a  on lines 5a(1)–(5) are taxable expenditures.
trust or partnership.
                                                                     Line 5a(2). Under section 4955, a section 501(c)(3) 
  Section 4943(g), added by the Bipartisan Budget Act of 2018,       organization must pay an excise tax for any amount paid or 
P.L. 115-123, 132 Stat. 64 (2018), provides an exception for         incurred on behalf of or in opposition to any candidate for public 
certain limited holdings to independently operated businesses.       office. The organization must pay an additional excise tax if it 
In general, the excess business holdings provisions of section       doesn't correct the expenditure timely.
4943(a) shall not apply with respect to the holdings of a private 
foundation in any business enterprise that meets all the             A manager of a section 501(c)(3) organization who knowingly 
requirements of section 4943(g)(2), (3), and (4). Accordingly,       agrees to a political expenditure must pay an excise tax unless 
answer “No” to line 3a if the following requirements are met.        the agreement isn't willful and there is reasonable cause. A 
                                                                     manager who doesn't agree to a correction of the political 
  The requirements of section 4943(g)(2) are met if:                 expenditure may have to pay an additional excise tax.

28                                                                                        Instructions for Form 990-PF (2023)

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A section 501(c)(3) organization will lose its exempt status if it engaged in were “excepted” transactions. Excepted transactions
engages in political activity. are described in Regulations section 53.4945-2 through
A political expenditure that is treated as an expenditure under 53.4945-5 and appear in Notices published in the Internal
section 4955 isn't treated as a taxable expenditure under section Revenue Bulletin relating to disaster assistance. For example,
4945. see Pub. 3833, Disaster Relief.
For purposes of the section 4955 tax, when an organization Line 6b. Check “Yes” if, in connection with any transfer of funds
promotes a candidate for public office (or is used or controlled by to a private foundation, the foundation directly or indirectly pays
a candidate or prospective candidate), amounts paid or incurred premiums on any personal benefit contract, or there is an
for the following purposes are political expenditures. understanding or expectation that any person will directly or
• Remuneration to the individual (or candidate or prospective indirectly pay these premiums.
candidate) for speeches or other services. Report the premiums it paid and the premiums paid by others,
• Travel expenses of the individual. but treated as paid by the private foundation, on Form 8870,
• Expenses of conducting polls, surveys, or other studies, or Information Return for Transfers Associated With Certain
preparing papers or other material for use by the individual. Personal Benefit Contracts, and pay the excise tax (which is
• Expenses of advertising, publicity, and fundraising for such equal to premiums paid) on Form 4720.
individual.
For more information, see Form 8870 and Notice 2000-24,
• Any other expense that has the primary effect of promoting
2000-17 I.R.B. 952.
public recognition or otherwise primarily accruing to the benefit
of the individual. Line 7a. Answer “Yes” if the foundation was a party to a
See the regulations under section 4945 for more information. prohibited tax shelter transaction (PTST) as described in section
4965(e) at any time during the tax year.
Line 5a(3). Answer “Yes” if the organization made a grant to an
individual for travel, study, or similar purposes. Such purposes PTST. In general, a PTST means any listed transaction and any
include scholarships, fellowships, certain prizes and awards, and prohibited reportable transaction.
grants to achieve a specific objective, produce a report or similar Listed transaction. A listed transaction, within the meaning of
product, or improve a literary, artistic, musical, scientific, section 6707A(c)(2), is a transaction that is the same as, or
teaching, or other similar skill of the grantee. Similar purposes substantially similar to, any transaction that has been specifically
don't include grants to individuals in relief of poverty or distress identified by the Secretary in published guidance as a tax
(other than grants of the type described above), or prizes or avoidance transaction for purposes of section 6011.
awards that don't finance any future activities of the recipient.
Prohibited reportable transaction. Prohibited reportable
A grant to an individual for travel, study, or similar purposes is transaction means any confidential transaction or any
a taxable expenditure under section 4945(d)(3) unless the transaction with contractual protection (as defined under
foundation awarded the grant on an objective and regulations prescribed by the Secretary) (see Regulations
nondiscriminatory basis under a procedure approved in advance section 1.6011-4(b)(3) and (4)) that is a reportable transaction
by the IRS, as required under section 4945(g). The foundation (as defined in section 6707A(c)(1)).
may request approval of its procedure in the process of applying
for exemption with Form 1023 (Schedule H), or thereafter with If the answer to this question is “Yes,” the foundation must
Form 8940, Request for Miscellaneous Determination. also file Form 8886-T, Disclosure by Tax-Exempt Entity
Regarding Prohibited Tax Shelter Transactions.
Line 5a(4). Except as discussed below, a grant by a private
foundation to a public charity described in section 509(a)(1), (2), Line 7b. Answer “Yes” if the foundation answered “Yes” to
or (3) or to an exempt operating foundation (as defined in section line 7a, and it had net income or received proceeds attributable
4940(d)(2) and the instructions for Part VI) isn't a taxable to the PTST during the tax year.
expenditure if the private foundation doesn't earmark the grant If the foundation answers “Yes” to both lines 7a and 7b, it may
for any of the activities described in lines 5a(1)–(5), and there is be required to file Form 4720 and pay tax with respect to each
no oral or written agreement by which the grantor foundation PTST. The foundation's managers may also be required to file
may cause the grantee to engage in any such prohibited activity Form 4720 and pay tax with respect to the relevant PTSTs.
or to select the grant recipient. Line 8. See the instructions for Form 4720, Schedule N, to
A grant made to a section 509(a)(3) Type III supporting determine if you paid to any covered employee more than $1
organization (as defined in section 4943(f)(5)) that isn't a million in remuneration or paid an excess parachute payment
functionally integrated supporting organization (as defined in during the year. Remuneration paid to a covered employee
section 4943(f)(5)(B)) is a taxable expenditure unless you includes any remuneration paid by a related organization.
exercise expenditure responsibility. Check “Yes” on line 5a(4) if
you made a grant to such an organization. See Regulations Part VII. Information About Officers,
section 1.509(a)-4(i), for more information about whether an
organization is functionally integrated. Directors, Trustees, Foundation
A grant made to any other supporting organization (including Managers, Highly Paid Employees,
a functionally integrated Type III), if a disqualified person of the
private foundation controls the supporting organization or any of and Contractors
its supported organizations, is also a taxable expenditure unless Line 1. List of officers, directors, trustees, etc. List the
you exercise expenditure responsibility. Check “Yes” on names, addresses, and other information requested for those
line 5a(4) if you made a grant to such an organization. In who were officers, directors, and trustees (or any person who
addition, check “Yes” on line 5a(4) if you made a grant in a prior had responsibilities or powers similar to those of officers,
year with respect to which you have a continuing obligation to directors, or trustees) of the foundation at any time during the
exercise expenditure responsibility. See Regulations sections year. Each must be listed whether or not they receive any
53.4942(a)-3(a)(3) and 53.4945-5(a) for more information. compensation from the foundation. Give the address at which
Line 5b. If you answered “Yes” to any of the questions in line 5a, officers, etc., prefer the IRS to contact them.
you should answer “Yes” to line 5b unless all of the transactions

Instructions for Form 990-PF (2023) 29

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Also include on this list any officers or directors (or any Line 3. Five highest-paid independent contractors for pro-
person who had responsibilities or powers similar to those of fessional services. Fill in the information requested for the five
officers or directors) of a disregarded entity owned by the highest-paid independent contractors (if any), whether
foundation who aren't officers, directors, etc., of the foundation. individuals or professional service corporations or associations,
If the foundation (or disregarded entity) pays any other to whom the organization paid more than $50,000 for the year to
person, such as a management services company, for the perform personal services of a professional nature for the
services provided by any of the foundation's officers, directors, organization (for example, attorneys, accountants, and doctors).
or trustees (or any person who had responsibilities or powers Also show the total number of all other independent contractors
similar to those of officers, directors, or trustees), report the who received more than $50,000 for the year for performing
compensation and other items on Part VII as if you had paid the professional services.
officers, etc., directly.
Show all forms of compensation earned by each listed officer, Part VIII-A. Summary of Direct
etc. In addition to completing Part VII, if you want to explain the Charitable Activities
compensation of one or more officers, directors, and trustees,
you may provide an attachment describing the person's entire List the foundation's four largest programs as measured by the
2023 compensation package. direct and indirect expenses attributable to each that consist of
the direct active conduct of charitable activities. Whether any
Enter zero in columns (c), (d), and (e) if no compensation was expenditure is for the direct active conduct of a charitable activity
paid. Attach a schedule if more space is needed. is determined, generally, by the definitions and special rules of
Column (b). A numerical estimate of the average hours per section 4942(j)(3) and the related regulations, which define a
week devoted to the position is required for the answer to be private operating foundation.
considered complete.
Except for significant involvement grant programs, described
Phrases such as “as needed” or “as required” are below, don't include in Part VIII-A any grants or expenses
! unacceptable entries for column (b). attributable to administering grant programs, such as reviewing
CAUTION
grant applications, interviewing or testing applicants, selecting
Column (c). Enter salary, fees, bonuses, and severance grantees, and reviewing reports relating to the use of the grant
payments received by each person listed. Include current-year funds.
payments of amounts reported or reportable as deferred
compensation in any prior year. Include scholarships, grants, or other payments to individuals
Column (d). Include all forms of deferred compensation and as part of an active program in which the foundation maintains
future severance payments (whether or not funded or vested, some significant involvement. Related administrative expenses
and whether or not the deferred compensation plan is a qualified should also be included. Examples of active programs and
plan under section 401(a)). Include payments to welfare benefit definitions of the term “significant involvement” are provided in
plans (employee welfare benefit plans covered by Part I of Title 1 Regulations sections 53.4942(b)-1(b)(2) and 53.4942(b)-1(d).
of the Employee Retirement Income Security Act of 1974
(ERISA), providing benefits such as medical, dental, life Don't include any program-related investments (reportable in
insurance, apprenticeship and training, scholarship funds, Part VIII-B) in the description and expense totals.
severance pay, disability, etc.) on behalf of the officers, etc. Include qualified set-asides for direct charitable activities
Reasonable estimates may be used if precise cost figures aren't reported on line 3 of Part XI. Also, include in Part VIII-A amounts
readily available. paid or set aside to acquire assets used in the direct active
Unless the amounts are reported in column (c), report, as conduct of charitable activities. Don't include current-year
deferred compensation in column (d), salaries and other expenditures of amounts previously reported as set-asides in
compensation earned during the period covered by the return, Part VIII-A.
but not yet paid by the date the foundation files its return.
Column (e). Enter both taxable and nontaxable fringe Expenditures for direct charitable activities include, among
benefits, expense account and other allowances (other than de others, amounts paid or set aside to:
minimis fringe benefits described in section 132(e)). See Pub. 1. Acquire or maintain the operating assets of a museum,
525, Taxable and Nontaxable Income, for more information. library, or historic site or to operate the facility;
Examples of allowances include amounts for which the recipient 2. Provide goods, shelter, or clothing to indigent or disaster
didn't account to the organization or allowances that were more victims if the foundation maintains some significant involvement
than the payee spent on serving the organization. Include in the activity rather than merely making grants to the recipients;
payments made in connection with indemnification
arrangements, the value of the personal use of housing, 3. Conduct educational conferences and seminars;
automobiles, or other assets owned or leased by the 4. Operate a home for the elderly or disabled;
organization (or provided for the organization's use without 5. Conduct scientific, historic, public policy, or other
charge). research with significance beyond the foundation's grant
Line 2. Compensation of five highest-paid employees. Fill program that doesn't constitute a prohibited attempt to influence
in the information requested for the five employees (if any) of the legislation;
foundation (or disregarded entity that the foundation owns) who 6. Publish and disseminate the results of such research,
received the greatest amount of annual compensation over reports of educational conferences, or similar educational
$50,000. Don't include employees listed on line 1. Also enter the material;
total number of other employees who received more than 7. Support the service of foundation staff on boards or
$50,000 in annual compensation. advisory committees of other charitable organizations or on
Show each listed employee's entire compensation package public commissions or task forces;
for the period covered by the return. Include all forms of 8. Provide technical advice or assistance to a governmental
compensation that each listed employee received in return for body, a governmental committee, or subdivision of either, in
the employee’s services. See the line 1 instructions for more response to a written request by the governmental body,
details on includible compensation. committee, or subdivision;

30 Instructions for Form 990-PF (2023)

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9. Conduct performing arts performances; or distributions. Don't report in the amount column (1) the amount
10. Provide technical assistance to grantees and other of a loan guarantee except to the extent that the foundation
charitable organizations. This assistance must have significance makes a guarantee payment that would be a qualifying
beyond the purposes of the grants made to the grantees and distribution, or (2) the amount of a program-related investment in
must not consist merely of monitoring or advising the grantees in an organization described in the exceptions set forth in the Part I,
their use of the grant funds. Technical assistance involves the line 25, column (d), instructions. If an amount isn't reportable in
furnishing of expert advice and related assistance regarding, for the amount column, then report it in the column describing the
example: program-related investment.
a. Compliance with governmental regulations, Investments consisting of loans to individuals (such as
educational loans) aren't required to be listed separately but may
b. Reducing operating costs or increasing program be grouped with other program-related investments of the same
accomplishments, type. Loans to other section 501(c)(3) organizations and all other
c. Fundraising methods, and types of program-related investments must be listed separately
d. Maintaining complete and accurate financial records. on lines 1 through 3 or on an attachment.
Report both direct and indirect expenses in the expense Lines 1 and 2. List the two largest program-related investments
totals. Direct expenses are those that can be specifically made by the foundation in 2023, if any, whether or not the
identified as connected with a particular activity. These include, investments were still held by the foundation at the end of the
among others, compensation and travel expenses of employees year. If none, enter “NONE.”
and officers directly engaged in an activity, the cost of materials Line 3. Combine all other program-related investments and
and supplies utilized in conducting the activity, and fees paid to enter the total on line 3 in the Amount column. List the individual
outside firms and individuals in connection with a specific investments or groups of investments included (attach a
activity. schedule, if necessary).
Indirect (overhead) expenses are those that aren't specifically The total of lines 1 through 3 in the Amount column must
identified as connected with a particular activity but that relate to TIP equal the amount reported on line 1b of Part XI.
the direct costs incurred in conducting the activity. Examples of
indirect expenses include:
• Occupancy expenses; Part IX. Minimum Investment Return
• Supervisory and clerical compensation;
• Repair, rental, and maintenance of equipment; Who must complete this section? All domestic foundations
• Expenses of other departments or cost centers (such as must complete Part IX.
accounting, personnel, and payroll departments or units) that Foreign foundations that checked Item D2 in the Heading
service the department or function that incurs the direct section don’t have to complete Part IX unless claiming status as
expenses of conducting an activity; and a private operating foundation.
• Other applicable general and administrative expenses, Private operating foundations described in section 4942(j)(3)
including the compensation of top management, to the extent or 4942(j)(5) must complete Part IX in order to complete Part XIII.
reasonably allocable to a particular activity.
Overview. A private foundation that isn't a private operating
No specific method of allocation is required. The method foundation must pay out, as qualifying distributions, its
used, however, must be reasonable and must be used distributable amount, as determined in Part X. The distributable
consistently. amount is the minimum investment return with certain
adjustments. An organization’s minimum investment return, as
Examples of acceptable allocation methods include: determined in Part IX, is 5% of the total fair market value (less
• Compensation allocated on a time basis; acquisition indebtedness) of its noncharitable-use assets.
• Employee benefits allocated on the basis of direct salary
expenses; Minimum investment return. In figuring the minimum
• Travel, conference, and meeting expenses charged directly to investment return, include only those assets that aren't actually
the activity that incurred the expense; used or held for use by the organization for a charitable,
• Occupancy expenses allocated on a space-utilized basis; and educational, or other similar function that contributed to the
• Other indirect expenses allocated on the basis of direct salary charitable status of the foundation. Cash on hand and on deposit
expenses or total direct expenses. is considered used or held for use for charitable purposes only to
the extent of the reasonable cash balances reported in Part IX,
Part VIII-B. Summary of line 4. See the instructions for lines 1b and 4, later.
Assets held for the production of income or for investment
Program-Related Investments
aren't considered to be used directly for charitable functions
Program-related investment. Section 4944(c) and even though the income from the assets is used for charitable
corresponding regulations define a program-related investment functions. It is a factual question whether an asset is held for the
as one that is made primarily to accomplish a charitable purpose production of income or for investment rather than used or held
of the foundation and no substantial purpose of which is to for use directly by the foundation for charitable purposes.
produce investment income or a capital gain from the sale of the For example, an office building used to provide offices for
investment. Examples of program-related investments include employees engaged in managing endowment funds for the
educational loans to individuals and low-interest loans to other foundation isn't considered an asset used for charitable
section 501(c)(3) organizations. purposes.
General instructions. Report all program-related investments Dual-use property. When property is used both for
made in the current tax year. Don't report any investments made charitable and other purposes, the property is considered used
in a prior year even if they were still held by the foundation in the entirely for charitable purposes if 95% or more of its total use is
current tax year. for that purpose. If less than 95% of its total use is for charitable
Report in the amount column only the amounts of purposes, a reasonable allocation must be made between
program-related investments that may be treated as qualifying charitable and noncharitable uses.

Instructions for Form 990-PF (2023) 31

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Excluded property. Certain assets are excluded entirely The qualified person may not be a disqualified person (see C.
from the computation of the minimum investment return. These Definitions, earlier) with respect to the private foundation or an
include pledges of grants and contributions to be received in the employee of the foundation.
future and future interests in estates and trusts. Commonly accepted valuation methods must be used in
Line 1a. Average monthly fair market value of securities. If making the appraisal. A valuation based on acceptable methods
market quotations are readily available, a foundation may use of valuing property for federal estate tax purposes will be
any reasonable method to determine the average monthly fair considered acceptable.
market value of securities such as common and preferred stock, The appraisal must include a closing statement that, in the
bonds, and mutual fund shares, as long as that method is appraiser's opinion, the appraised assets were valued according
consistently used. For example, a value for a particular month to valuation principles regularly employed in making appraisals
might be determined by the closing price on the first or last of such property, using all reasonable valuation methods. The
trading days of the month or an average of the closing prices on foundation must keep a copy of the independent appraisal for its
the first and last trading days of the month. Market quotations are records. If a valuation is reasonable, the foundation may use it for
considered readily available if a security is any of the following. the tax year for which the valuation is made and for each of the 4
• Listed on an exchange in which quotations appear on a daily following tax years.
basis, including foreign securities listed on a recognized foreign Any valuation of real estate by a certified, independent
national or regional exchange. appraisal may be replaced during the 5-year period by a
• Regularly traded in the national or regional over-the-counter subsequent 5-year certified, independent appraisal or by an
market for which published quotations are available. annual valuation as described above. The most recent valuation
• Locally traded, for which quotations can be readily obtained should be used to figure the foundation's minimum investment
from established brokerage firms. return.
If securities are held in trust for, or on behalf of, a foundation If the valuation is made according to the above rules, the IRS
by a bank or other financial institution that values those will continue to accept it during the 5-year period for which it
securities periodically using a computer pricing system, a applies even if the actual fair market value of the property
foundation may use that system to determine the value of the changes during the period. For specific rules, see Regulations
securities. The system must be acceptable to the IRS for federal section 53.4942(a)-2(c)(4)(iv)(b).
estate tax purposes.
Valuation date. An asset required to be valued annually may
The foundation may reduce the fair market value of securities be valued as of any day in the private foundation's tax year,
only to the extent that it can establish that the securities could provided the foundation values the asset as of that date in all tax
only be liquidated in a reasonable period of time at a price less years. However, a valuation of real estate determined on a
than the fair market value because of: 5-year basis by a certified, independent appraisal may be made
• The size of the block of the securities, as of any day in the first tax year of the foundation to which the
• The fact that the securities held are securities in a closely held valuation applies.
corporation, or Assets held for less than a tax year. To determine the
• The fact that the sale of the securities would result in a forced value of an asset held less than 1 tax year, divide the number of
or distress sale. days the foundation held the asset by the number of days in the
Any reduction in value allowed under these provisions may tax year. Multiply the result by the fair market value of the asset.
not be more than 10% of the fair market value (determined
Line 1e. Reduction claimed for blockage or other factors. If
without regard to any reduction in value).
the fair market value of any securities, real estate holdings, or
Also, see Regulations sections 53.4942(a)-2(c)(4)(i)(b), (c), other assets reported on lines 1a and 1c reflects a blockage
and (iv)(a), relating to the rules summarized above and to the discount, marketability discount, or other reduction from full fair
general rules for valuing other assets. market value because of the size of the asset holding or any
Line 1b. Average of monthly cash balances. Figure cash other factor, enter on line 1e the aggregate amount of the
balances on a monthly basis by averaging the amount of cash on discounts claimed. Attach an explanation that includes the
hand on the first and last days of each month. Include all cash following information for each asset or group of assets involved.
balances and amounts that may be used for charitable purposes 1. A description of the asset or asset group (for example,
(see Line 4. Cash deemed held for charitable activities, later) or 20,000 shares of XYZ, Inc., common stock).
set aside and taken as a qualifying distribution (see Part XI. 2. For securities, the percentage of the total issued and
Qualifying Distributions, later). outstanding securities of the same class that is represented by
Line 1c. Fair market value of all other assets. The the foundation's holding.
foundation must report on line 1c the value of all assets other 3. The fair market value of the asset or asset group before
than charitable-use assets, publicly traded securities, cash, and any claimed blockage discount or other reduction.
certain “excluded assets” described in Regulations section 4. The amount of the discount claimed.
53.4942(a)-2(c)(2). The foundation must value the assets
reported on line 1c annually, except that real estate may be 5. A statement that explains why the claimed discount is
valued every 5 years if the independent appraisal procedures appropriate in valuing the asset or group of assets for section
discussed under 5-year valuation below are followed. 4942 purposes.
Alternatively, an annual valuation may be made by private In the case of securities, there are certain limitations on the
foundation employees or by any other person even if that person size of the reduction in value that can be claimed. See the
is a disqualified person. If the IRS accepts an annual valuation, it instructions for Part IX, line 1a.
is valid only for the tax year for which it is made. A new valuation
is required for the next tax year. Line 2. Acquisition indebtedness. Enter the total acquisition
5-year valuation. A written, certified, and independent indebtedness that applies to assets included on line 1. For
appraisal of the fair market value of any real estate, including any details, see section 514(c)(1).
improvements, may be determined on a 5-year basis by a Line 4. Cash deemed held for charitable activities.
qualified person. Foundations may exclude from the assets used in the minimum
investment return computation the reasonable cash balances

32 Instructions for Form 990-PF (2023)

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necessary to cover current administrative expenses and other         paid for the specific project within 60 months from the date of the 
normal and current disbursements directly connected with the         first set-aside and meets (1) or (2) below.
charitable, educational, or other similar activities. The amount of  1. The project can be better accomplished by a set-aside 
cash that may be excluded is generally 1.5% of the fair market       than by the immediate payment of funds (suitability test).
value of all assets (minus any acquisition indebtedness) as 
figured in Part IX, line 3. However, if under the facts and          2. The private foundation meets the requirements of section 
circumstances an amount larger than the deemed amount is             4942(g)(2)(B)(ii) (cash distribution test).
necessary to pay expenses and disbursements, then you may            Set-aside under item 1.    For any set-aside under (1) above, 
enter the larger amount instead of 1.5% of the fair market value     the private foundation must apply for IRS approval by the end of 
on line 4. If you use a larger amount, attach an explanation.        the tax year in the amount of the set-aside. The request for 
Line 6. Short tax periods. If the foundation's tax period is less    approval is submitted with Form 8940, Request for 
than 12 months, determine the applicable percentage by dividing      Miscellaneous Determination, under sections 507, 509(a), 4940, 
the number of days in the short tax period by 365 (or 366 in a       4942, 4945, and 6033. The Instructions for Form 8940 provide 
leap year). Multiply the result by 5% (0.05). Then multiply the      what information is required to be included with the set-aside 
modified percentage by the amount on line 5 and enter the result     ruling request. Submit the completed Form 8940, user fee 
on line 6.                                                           payment, and all other required information as directed in the 
                                                                     Instructions for Form 8940.
Part X. Distributable Amount                                         Set-aside under item 2.    For any set-aside under (2) above, 
If the organization is claiming status as a private operating        the private foundation must attach a schedule to its annual 
foundation described in section 4942(j)(3) or (j)(5) or if it is a   information return showing how the requirements are met. A 
foreign foundation that checked Item D2 in the Heading section       schedule is required for the year of the set-aside and for each 
on page 1, check the box in the Heading section for Part X. You      subsequent year until the set-aside amount has been distributed. 
don't need to complete this part. See the Part XIII instructions for See Regulations section 53.4942(a)-3(b)(7)(ii) for specific 
more details on private operating foundations.                       requirements.

Section 4942(j)(5) foundations are classified as private             Part XII. Undistributed Income
operating foundations for purposes of section 4942 only if they      If you checked Item D2 in the Heading section on page 1, don't 
meet the requirements of Regulations section 53.4942(b)-1(a)         fill in this part.
(2).                                                                 If the organization is a private operating foundation for any of 
                                                                     the years shown in Part XII, don't complete the portions of Part 
The distributable amount for 2023 is the amount that the             XII that apply to those years. If there are excess qualifying 
foundation must distribute by the end of 2024 as qualifying          distributions for any tax year, don't carry them over to a year in 
distributions to avoid the 30% tax on the undistributed portion.     which the organization is a private operating foundation or to any 
Line 4. Enter the total of recoveries of amounts treated as          later year. For example, if a foundation made excess qualifying 
qualifying distributions for any year under section 4942(g).         distributions in 2021 and became a private operating foundation 
Include recoveries of part or all (as applicable) of grants          in 2023, the excess qualifying distributions from 2021 could be 
previously made, proceeds from the sale or other disposition of      applied against the distributable amount for 2022 but not to any 
property whose cost was treated as a qualifying distribution         year after 2022.
when the property was acquired, and any amount set aside             The purpose of this part is to enable the foundation to comply 
under section 4942(g) to the extent it is determined that this       with the rules for applying its qualifying distributions for the year 
amount isn't necessary for the purposes of the set-aside.            2023. In applying the qualifying distributions, there are three 
Line 6. Deduction from distributable amount.   If the                basic steps.
foundation was organized before May 27, 1969, and its                1. Reduce any undistributed income for 2022 (but not below 
governing instrument or any other instrument continues to            zero).
require the accumulation of income after a judicial proceeding       2. The organization may use any part of or all remaining 
pursuant to section 508(e) to reform the instrument has              qualifying distributions for 2023 to satisfy elections. For example, 
terminated, then the income required to be accumulated must be       if undistributed income remained for any year before 2022, it 
subtracted from the distributable amount beginning with the first    could be reduced to zero or, if the foundation wished, the 
tax year after the tax year in which the judicial proceeding was     distributions could be treated as distributions out of corpus.
terminated.
                                                                     3. If no elections are involved, apply remaining qualifying 
Part XI. Qualifying Distributions                                    distributions to the 2023 distributable amount on line 4d. If the 
                                                                     remaining qualifying distributions are greater than the 2023 
“Qualifying distributions” are amounts spent or set aside for        distributable amount, the excess is treated as a distribution out 
religious, educational, or similar charitable purposes. The total    of corpus on line 4e.
amount of qualifying distributions for any year is used to reduce 
the distributable amount for specified years to arrive at the        If for any reason the 2023 qualifying distributions don't reduce 
undistributed income (if any) for those years. Foreign               any 2022 undistributed income to zero, the amount not 
foundations described in section 4948(b) not claiming operating      distributed is subject to a 30% tax. If the 2021 income remains 
foundation status need not complete this part.                       undistributed at the end of 2024, it could be subject again to the 
Line 1a. Expenses, contributions, gifts, etc.  Enter the             30% tax. Also, see section 4942(b) for the circumstances under 
amount from Part I, line 26, column (d).                             which a second-tier tax could be imposed.
Line 1b. Program-related investments.    Enter the total of the      Excess distribution carryovers.  An excess of qualifying 
Amount column from Part VIII-B. See the Part VIII-B instructions     distributions is created for a particular tax year (and available as 
for the definition of “program-related investments.”                 a carryover for the 5 succeeding years) if the total qualifying 
                                                                     distributions treated as made out of the undistributed income for 
Line 3. Amounts set aside. Amounts set aside may be treated          the year or out of corpus with respect to the year (other than 
as qualifying distributions only if the private foundation           amounts distributed in satisfaction of section 170(b)(1)(F)(ii) or 
establishes to the satisfaction of the IRS that the amount will be   4942(g)(3) or applied to a prior tax year by election) exceeds the 
Instructions for Form 990-PF (2023)                                                                                                    33

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distributable amount for the year. See Regulations section distribution carryovers to its current-year distributable amount on
53.4942(a)-3(e)(2). Thus, in no case does the excess for the line 5. See Regulations section 53.4942(a)-3(e)(2).
particular tax year exceed the qualifying distributions for the year
less the distributable amount for the year. Elections. To make these elections, the organization must file
a statement with the IRS or attach a statement, as described in
Example. X Foundation has an excess distribution carryover the above regulations section, to Form 990-PF. An election made
of $100,000 from 5 years ago that will expire to the extent that it by filing a separate statement with the IRS must be made within
isn't used in its current tax year. For its current tax year, X the year for which the election is made. Otherwise, attach a
Foundation has a distributable amount of $110,000, qualifying statement to the Form 990-PF filed for the year the election was
distributions of $90,000, and no undistributed income from prior made.
years. X Foundation doesn't elect to distribute any part of its Where to enter. If the organization elected to apply all or part
qualifying distributions in satisfaction of section 170(b)(1)(F)(ii) of the remaining amount to the undistributed income remaining
or 4942(g)(3). Under these circumstances, X Foundation has no from years before 2022, enter the amount on line 4b.
excess distributions for its current tax year. X Foundation may
apply $20,000 of its $100,000 carryover from 5 years ago to its If the organization elected to treat those qualifying
undistributed income in the current tax year, but the remaining distributions as a distribution out of corpus, enter the amount on
$80,000 must expire. X Foundation can't create an excess line 4c.
distribution for its current tax year by electing to treat all or part of Entering an amount on line 4b or 4c without submitting
its qualifying distributions for the current year as made out of ! the required statement isn't considered a valid election.
corpus and applying the $100,000 carryover from the prior year CAUTION
in satisfaction of its distributable amount for the current year.
Line 4d. Treat as a distribution of the distributable amount for
Line 1. Distributable amount. Enter the distributable amount 2023 any qualifying distributions for 2023 that remain after
for 2023 from Part X, line 7. reducing the 2022 undistributed income to zero and after
Line 2. Undistributed income. Enter the distributable amount electing to treat any part of the remaining distributions as a
for 2022 and amounts for earlier years that remained distribution out of corpus or as a distribution of a prior year's
undistributed at the beginning of the 2023 tax year. undistributed income. Enter only enough of the remaining 2023
qualifying distributions to reduce the 2023 distributable amount
Line 2b. Enter the amount of undistributed income for years to zero.
before 2022.
Line 4e. Any 2023 qualifying distributions remaining after
Line 3. Excess distributions carryover to 2023. If the reducing the 2023 distributable amount to zero should be treated
foundation has made excess distributions out of corpus in prior as an excess distribution out of corpus. This amount may be
years, which haven't been applied in any year, enter the amount carried over and applied to later years.
for each year. Don't enter an amount for a particular year if the
organization was a private operating foundation for any later Line 5. Excess qualifying distributions carryover applied to
year. 2023. The foundation may apply excess qualifying distribution
carryovers from its 5 prior years to its current-year undistributed
Lines 3a through 3e. Enter the amount of any excess income, but only to the extent that the undistributed income
distribution made on the line for each year listed. Don't include exceeds its qualifying distributions for the year. For example, if
any amount that was applied against the distributable amount of for the tax year X Foundation has a distributable amount of
an earlier year or that was already used to meet pass-through $1,000, qualifying distributions of $800 that it elects to treat as
distribution requirements. (See Line 7. Distributions out of made out of corpus, prior-year carryovers of $700, and no
corpus for 2022 pass-through distributions, later.) undistributed income for prior years, then it may apply only $200
Line 3f. This amount can be applied in 2023. of the carryovers to its current-year undistributed income. See
Regulations section 53.4942(a)-3(e)(1).
Line 4. Qualifying distributions. Enter the total amount of Enter any excess qualifying distributions from line 3, which
qualifying distributions made in 2023 from Part XI, line 4, on the were applied to 2023, in both the Corpus column and the 2023
line next to column (a). The total of the amounts applied on lines column. Apply the oldest excess qualifying distributions first.
4a through 4e is equal to the qualifying distributions made in Thus, the organization will apply any excess qualifying
2023. distributions carried forward from 2018 before those from later
Line 4a. The qualifying distributions for 2023 are first used to years.
reduce any undistributed income remaining from 2022. Enter Line 6a. Add lines 3f, 4c, and 4e. Subtract line 5 from the total.
only enough of the 2023 qualifying distributions to reduce the Enter the net total in the Corpus column.
2022 undistributed income to zero.
Line 6c. Enter only the undistributed income from 2021 and
Lines 4b and 4c. If there are any 2023 qualifying distributions prior years for which either a notice of deficiency under section
remaining after reducing the 2022 undistributed income to zero, 6212(a) has been mailed for the section 4942(a) first-tier tax, or
one or more elections can be made under Regulations section on which the first-tier tax has been assessed because the
53.4942(a)-3(d)(2) to apply all or part of the remaining qualifying organization filed a Form 4720 for a tax year that began before
distributions to any undistributed income remaining from years 2022.
before 2022 or to apply to corpus.
Lines 6d and 6e. These amounts are taxable under the
A foundation may make a corpus election on line 4c in provisions of section 4942(a), except for any part that is due
! order to qualify under section 170(b)(1)(F)(ii) for the solely to improper valuation of assets to which the provisions of
CAUTION benefit of its contributors, or in order for a foundation
section 4942(a)(2) are being applied (see Line 2b. Taxes on
grantor to the foundation to obtain a qualifying distribution under failure to distribute income, earlier). Report the taxable amount
section 4942(g)(3), as described in the Part XII, line 7, on Form 4720. If the exception applies, attach an explanation.
instructions. A foundation can't make a corpus election on line 4c
in an attempt to create or increase an excess distributions Line 6f. In the 2023 column, enter the amount by which line 1 is
carryover for the current year on line 10e by applying excess more than the total of lines 4d and 5. This is the undistributed
income for 2023. The organization must distribute the amount

34 Instructions for Form 990-PF (2023)

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shown by the end of its 2024 tax year so that it won't be liable for 
the tax on undistributed income.                                     Part XIII. Private Operating 
Line 7. Distributions out of corpus for 2023 pass-through            Foundations
distributions. If the foundation is the donee and receives a         All organizations that claim status as private operating 
contribution from another private foundation, the donor              foundations under section 4942(j)(3) or (5) for 2023 must 
foundation may treat the contribution as a qualifying distribution   complete Part XIII.
only if the donee foundation makes a distribution equal to the full  Certain elderly care facilities (section 4942(j)(5)).    For 
amount of the contribution and the distribution is a qualifying      purposes of section 4942 only, certain elderly care facilities that, 
distribution that is treated as a distribution of corpus. The donee  on May 26, 1969, and at all times thereafter before the close of 
foundation must, no later than the close of the first tax year after the tax year, operated and maintained as their principal 
the tax year in which it receives the contributions, distribute an   functional purpose facilities for the long-term care, comfort, 
amount equal in value to the contributions received in the prior     maintenance, or education of permanently and totally disabled 
tax year and have no remaining undistributed income for the          persons, elderly persons, needy widows, or children may be 
prior year. For example, if private Foundation X received $1,000     classified as private operating foundations. To be so classified, 
in tax year 2021 from Foundation Y, Foundation X would have to       they must also meet the endowment test described below.
distribute the $1,000 as a qualifying distribution out of corpus by 
the end of 2022 and have no remaining undistributed income for       If the foundation is a section 4942(j)(5) organization, 
2022.                                                                complete only lines 1a, 1b, 2c, 2d, 2e, and 3b. Enter “N/A” on all 
                                                                     other lines in the Total column for Part XIII.
If a private foundation receives a contribution from an 
individual or a corporation and the individual is seeking the 60%    Private operating foundation (section 4942(j)(3)).       The term 
contribution base limit on deductions for the tax year (or the       “private operating foundation” means any private foundation that 
individual or corporation isn't applying the limit imposed on        spends at least 85% of the smaller of its adjusted net income or 
deductions for contributions to the foundation of capital gain       its minimum investment return directly for the active conduct of 
property), the foundation must comply with certain distribution      the exempt purpose or functions for which the foundation is 
requirements.                                                        organized and operated (the income test) and that also meets 
By the 15th day of the 3rd month after the end of the tax year       one of the three tests below.
in which the foundation received the contributions, the donee        1. Assets test. 65% or more of the foundation's assets are 
foundation must distribute as qualifying distributions out of        devoted directly to those activities or functionally related 
corpus 100% of the value as of the date of receipt of the            businesses, or both; or 65% or more of the foundation's assets 
following.                                                           are stock of a corporation that is controlled by the foundation, 
1. All contributions of cash and property received during the        and substantially all of the assets of the corporation are devoted 
year, in order for the individual contributor to receive the benefit to those activities or functionally related businesses.
of the 60% limit on deductions under section 170(b)(1)(F)(ii).       2. Endowment test. The foundation normally makes 
2. All contributions of property only, in order for the individual   qualifying distributions directly for the active conduct of the 
or corporate contributor not to be subject to the section 170(e)(1)  exempt purpose or functions for which it is organized and 
(B)(ii) limitations.                                                 operated in an amount that is two-thirds or more of its minimum 
Elections. If the organization is applying excess distributions      investment return.
from prior years (for instance, any part of the amount in Part XII,  3. Support test. The foundation normally receives 85% or 
line 3f) to satisfy the distribution requirements of section 170(b)  more of its support (other than gross investment income as 
(1)(F) or 4942(g)(3), it must make the election under Regulations    defined in section 509(e)) from the public and from five or more 
section 53.4942(a)-3(c)(2) by attaching a statement in               exempt organizations that aren't described in section 4946(a)(1)
accordance with that section. Also, see Regulations section          (H) with respect to each other or the recipient foundation. Not 
1.170A-9(h)(2).                                                      more than 25% of the support (other than gross investment 
Enter on line 7 the total distributions out of corpus made to        income) normally may be received from any one of the exempt 
satisfy the restrictions on amounts received from donors             organizations and not more than one-half of the support normally 
described, earlier.                                                  may be received from gross investment income.
Line 8. Outdated excess distributions carryover.     Because         See the regulations under section 4942 for the meaning of 
of the 5-year carryover limitation under section 4942(i)(2), the     “directly for the active conduct” of exempt activities for purposes 
organization must reduce any excess distributions carryover by       of these tests.
any amounts from 2018 that weren't applied in 2023.                  Complying with these tests.  A foundation may meet the 
                                                                     income test and either the assets, endowment, or support test by 
Line 9. Excess distributions carryover to 2023.      Enter the       satisfying the tests for any 3 years during a 4-year period 
amount by which line 6a is more than the total of lines 7 and 8.     consisting of the tax year in question and the 3 immediately 
This is the amount the organization may apply to 2024 and            preceding tax years. It may also meet the tests based on the 
following years. Line 9 can never be less than zero.                 total of all related amounts of income or assets held, received, or 
Line 10. Analysis of line 9. In the space provided for each          distributed during that 4-year period. A foundation may not use 
year, enter the amount of excess distributions carryover from that   one method for satisfying the income test and another for 
year that hasn't been applied as of the end of the 2023 tax year.    satisfying one of the three alternative tests. Thus, if a foundation 
If there is an amount on the line for 2019, it must be applied by    meets the income test on the 3-out-of-4-year basis for a 
the end of the 2024 tax year since the 5-year carryover period for   particular tax year, it may not use the 4-year aggregation method 
2019 ends in 2024.                                                   for meeting one of the three alternative tests for that same year.
                                                                     In completing line 3c(3) of Part XIII under the aggregation 
                                                                     method, the largest amount of support from an exempt 
                                                                     organization will be based on the total amount received for the 
                                                                     4-year period from any one exempt organization.
                                                                     A new private foundation must use the aggregation method to 
                                                                     satisfy the tests for its first tax year in order to be treated as a 

Instructions for Form 990-PF (2023)                                                                                                       35

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private operating foundation from the beginning of that year. It            • For fellowships, or
must continue to use the aggregation method for its second and              • For assistance to indigent families.
third tax years to maintain its status for those years.
                                                                                    Entries such as “grant” or “contribution” under the 
Part XIV. Supplementary Information                                           !     column titled Purpose of grant or contribution are 
                                                                            CAUTION unacceptable.
Complete this part only if the foundation had assets of $5,000 or 
more at any time during the year. This part doesn't apply to a                Line 3a. Paid during year. List all contributions, grants, etc., 
foreign foundation that during its entire period of existence               actually paid during the year, including grants or contributions 
received substantially all (85% or more) of its support (other than         that aren't qualifying distributions under section 4942(g). Include 
gross investment income) from sources outside the United                    current-year payments of set-asides treated as qualifying 
States.                                                                     distributions in the current tax year or any prior year.
                                                                              Line 3b. Approved for future payment. List all 
Line 2.   In the space provided (or in an attachment, if                    contributions, grants, etc., approved during the year but not paid 
necessary), furnish the required information about the                      by the end of the year, including the unpaid portion of any 
organization's grant, scholarship, fellowship, loan, etc.,                  current-year set-aside. Don't report contributions and grants 
programs. In addition to restrictions or limitations on awards by           approved or set aside in a prior tax year but still unpaid as of the 
geographical areas, charitable fields, and kinds of recipients,             end of the tax year.
indicate any specific dollar limitations or other restrictions 
applicable to each type of award the organization makes. This               Part XV-A. Analysis of 
information benefits the grant seeker and the foundation. The 
grant seekers will be aware of the grant eligibility requirements,          Income-Producing Activities
and the foundation should receive only applications that adhere             In Part XV-A, analyze revenue items that are also entered in Part 
to these grant application requirements.                                    I, lines 3–11, column (a), and on line 5b. Contributions reported 
   If the foundation only makes contributions to preselected                on line 1 of Part I aren't entered in Part XV-A. For information on 
charitable organizations and doesn't accept unsolicited                     unrelated business income, see the Instructions for Form 990-T 
applications for funds, check the box on line 2.                            and Pub. 598.
Line 3.   If necessary, attach a schedule for lines 3a and 3b that          Columns (a) and (c). In column (a), enter a six-digit business 
lists separately amounts given to individuals and amounts given             code, from the list in the Instructions for Form 990-T, to identify 
to organizations.                                                           any income reported in column (b). In column (c), enter an 
                                                                            exclusion code, from the list later, to identify any income reported 
Foundation Status of Recipient                                              in column (d). If more than one exclusion code is applicable to a 
                                                                            particular revenue item, select the lowest numbered exclusion 
Use the following codes:                                                    code that applies. Also, if nontaxable revenues from several 
PF          Private non-operating foundation (section 509(a))               sources are reportable on the same line in column (d), use the 
POF         Private operating foundation (section 4942(j)(3)) other than    exclusion code that applies to the largest revenue source.
            an EOF                                                          Columns (b), (d), and (e). For amounts reported in Part XV-A 
EOF         Exempt operating foundation (section 4940(d))                   on lines 1–11, enter in column (b) any income earned that is 
PC          Public charity described in section 509(a)(1) or (2)            unrelated business income (see section 512). In column (d), 
GOV         Domestic or foreign government (including Indian tribal         enter any income earned that is excluded from the computation 
            governments) or instrumentality, or international organization  of unrelated business taxable income by section 512, 513, or 
            designated by Executive Order under 22 U.S.C. 288               514. In column (e), enter any related or exempt function income; 
SO-DP       Type I, Type II, or Type III functionally integrated supporting that is, any income earned that is related to the organization's 
            organization if a disqualified person of the private foundation 
            controls the supporting organization or a supported             purpose or function that constitutes the basis for the 
            organization (sections 509(a)(3) and 4942(g)(4))                organization's exemption.
SO I        Type I supporting organization (sections 509(a)(3) and            Also enter in column (e) any income specifically excluded 
            509(a)(3)(B)(i)) other than an SO-DP                            from gross income other than by section 512, 513, or 514, such 
SO II       Type II supporting organization (sections 509(a)(3) and         as interest on state and local bonds that is excluded from tax by 
            509(a)(3)(B)(ii)) other than an SO-DP                           section 103. You must explain in Part XV-B any amount shown in 
SO III FI   Functionally integrated Type III supporting organization        column (e).
            (sections 509(a)(3), 509(a)(3)(B)(iii), and 4943(f)(5)(B)) 
            other than an SO-DP                                             Comparing Part XV-A with Part I. The sum of the amounts 
SO III NFI  Non-functionally integrated Type III supporting organization    entered on each line of lines 1–11 of columns (b), (d), and (e) of 
            (sections 509(a)(3), 509(a)(3)(B)(iii), and 4943(f)(5)(B))      Part XV-A should equal corresponding amounts entered on Part 
TPS         Testing for public safety organization (section 509(a)(4))      I, lines 3–11, column (a), and on line 5b as shown below.
NC          Organization not otherwise classified
 I          Individual person
   See Regulations section 1.509(a)-4 and Rev. Proc. 2018-32, 
2018-23 I.R.B. 739, available at IRS.gov/pub/irs-irbs/
irb18-23.pdf, for guidance on determining whether a grantee is a 
Type I, Type II, Type III functionally integrated, or Type III 
non-functionally integrated supporting organization.
  Purpose of grant or contribution. Entries under this 
column should reflect the grant's or contribution's purpose and 
should be in greater detail than merely classifying them as 
charitable, educational, religious, or scientific activities.
   For example, use an identification such as payments:
• For nursing service,

36                                                                                                   Instructions for Form 990-PF (2023)

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Amounts in                                  Correspond to                         accomplishment of the organization's exempt purposes (other 
Part XV-A                                   amounts in Part I,                    than by providing funds for such purposes). Activities that 
on line . . .                               column (a), line . . .                generate exempt-function income are activities that form the 
                                                                                  basis of the organization's exemption from tax.
1a–g . . . . . . . . . . . . . . . . . . . .    11
2 . . . . . . . . . . . . . . . . . . . . . .   11                                  Also, explain any income entered in column (e) that is 
3 . . . . . . . . . . . . . . . . . . . . . . 3                                   specifically excluded from gross income other than by section 
4 . . . . . . . . . . . . . . . . . . . . . . 4                                   512, 513, or 514. If no amount is entered in column (e), don't 
5 and 6. . . . . . . . . . . . . . . . . . .    5b (description column)           complete Part XV-B.
7 . . . . . . . . . . . . . . . . . . . . . .   11
8 . . . . . . . . . . . . . . . . . . . . . .   6a                                  Example.    M, a performing arts association, is primarily 
9 . . . . . . . . . . . . . . . . . . . . . .   11 minus any special event        supported by endowment funds. It raises revenue by charging 
                                                expenses included on lines 13     admissions to its performances. These performances are the 
                                                through 23 of Part I, column (a)  primary means by which the organization accomplishes its 
10 . . . . . . . . . . . . . . . . . . . . .    10c
11a–e  . . . . . . . . . . . . . . . . . . .    11                                cultural and educational purposes.
                                                                                    M reported admissions income in column (e) of Part XV-A 
                                                                                  and explained in Part XV-B that these performances are the 
Line 1. Program service revenue.                On lines 1a–g, list each          primary means by which it accomplishes its cultural and 
revenue-producing program service activity of the organization.                   educational purposes.
For each program service activity listed, enter the gross revenue                   Because M also reported interest from state bonds in column 
earned for each activity, as well as identifying business and                     (e) of Part XV-A, M explained in Part XV-B that such interest was 
exclusion codes, in the appropriate columns. For line 1g, enter                   excluded from gross income by section 103.
amounts that are payments for services rendered to 
governmental units. Don't include governmental grants that are                    Part XVI. Information Regarding 
reportable on Part I, line 1.
                                                                                  Transfers to and Transactions and 
  Report the total of lines 1a–g on line 11 of Part I, along with 
any other income reportable on line 11.                                           Relationships With Noncharitable 
  Program services are mainly those activities that the reporting                 Exempt Organizations
organization was created to conduct and that, along with any 
activities begun later, form the basis of the organization's current              Part XVI is used to report direct and indirect transfers to (line 1a) 
exemption from tax.                                                               and direct and indirect transactions with (line 1b) and 
                                                                                  relationships with (line 2) any other noncharitable exempt 
  Program services can also include the organization's                            organization. A “noncharitable exempt organization” is a 
unrelated trade or business activities. Program service revenue                   tax-exempt organization described in section 501(c), other than 
also includes income from program-related investments (such as                    in paragraph (3) of section 501(c), or a political organization 
interest earned on scholarship loans) as defined in the                           described in section 527.
instructions for Part VIII-B.
                                                                                    For purposes of these instructions, the section 501(c)(3) 
Line 11.  On lines 11a–e, list each “Other revenue” activity not                  organization completing Part XVI is referred to as the “reporting 
reported on lines 1 through 10. Report the sum of the amounts                     organization.”
entered for lines 11a–e, columns (b), (d), and (e), on Part I, 
line 11.                                                                            A noncharitable exempt organization is “related to or affiliated 
                                                                                  with” the reporting organization if either:
Line 13.  On line 13, enter the total of columns (b), (d), and (e) of             • The two organizations share some element of common 
line 12.                                                                          control, or
  You may use the following worksheet to verify your                              • A historic and continuing relationship exists between the two 
calculations.                                                                     organizations.
Line 13,          Part XV-A     . . . . . . . . . . . . . . . . . .                 A noncharitable exempt organization is unrelated to the 
                                                                                  reporting organization if:
Minus:            Part I, line 5b   . . . . . . . . . . . . . . . .               • The two organizations share no element of common control, 
                  Note. If Part I, line 5b, reflects a loss, add                  and
                  that amount here instead of subtracting.                        • A historic and continuing relationship doesn't exist between 
Plus:             Part I, line 1  . . . . . . . . . . . . . . . . .               the two organizations.
Plus:             Part I, line 5a   . . . . . . . . . . . . . . . .                 An “element of common control” is present when one or more 
                                                                                  of the officers, directors, or trustees of one organization are 
Plus:             Expenses of special events deducted in                          elected or appointed by the officers, directors, trustees, or 
                  figuring Part XV-A, line 9    . . . . . . . . .                 members of the other. An element of common control is also 
Equal:            Part I, line 12, column (a) . . . . . . . . .                   present when more than 25% of the officers, directors, or 
                                                                                  trustees of one organization serve as officers, directors, or 
                                                                                  trustees of the other organization.
                                                                                    A “historic and continuing relationship” exists when two 
Part XV-B. Relationship of Activities                                             organizations participate in a joint effort to achieve one or more 
to the Accomplishment of Exempt                                                   common purposes on a continuous or recurring basis rather than 
                                                                                  on the basis of one or more isolated transactions or activities. 
Purposes                                                                          Such a relationship also exists when two organizations share 
To explain how each amount in column (e) of Part XV-A was                         facilities, equipment, or paid personnel during the year, 
related or exempt function income, show the line number of the                    regardless of the length of time the arrangement is in effect.
amount in column (e) and give a brief description of how each                     Line 1. Reporting of certain transfers and transactions. 
activity reported in column (e) contributed importantly to the                    Generally, report on line 1 any transfer to or transaction with a 
Instructions for Form 990-PF (2023)                                                                                                                 37

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noncharitable exempt organization even if the transfer or            Line 1d. Use this schedule to describe the transfers and 
transaction constitutes the only connection with the                 transactions for which “Yes” was entered on lines 1a–c, earlier. 
noncharitable exempt organization.                                   You must describe each transfer or transaction for which the 
Related organizations.  If the noncharitable exempt                  answer was “Yes.” You may combine all of the cash transfers 
organization is related to or affiliated with the reporting          (line 1a(1)) to each organization into a single entry. Otherwise, 
organization, report all direct and indirect transfers and           make a separate entry for each transfer or transaction.
transactions except for contributions and grants to the reporting      Column (a).  For each entry, enter the line number from lines 
organization.                                                        1a–c. For example, if the answer was “Yes” to line 1b(3), enter 
Unrelated organizations. All transfers to an unrelated               “b(3)” in column (a).
noncharitable exempt organization must be reported on line 1a.         Column (d).  If you need more space, enter “See Attached” in 
All transactions between the reporting organization and an           column (d) and use an attached sheet for the description. If 
unrelated noncharitable exempt organization must be shown on         making more than one entry on line 1d, specify on the attached 
line 1b unless they meet an exception in the specific instructions   sheet which transfer or transaction you are describing.
for line 1b.
                                                                     Line 2. Reporting of certain relationships.    Enter on line 2 
Line 1a. Transfers. Answer “Yes” to lines 1a(1) and 1a(2) if the     each noncharitable exempt organization that the reporting 
reporting organization made any direct or indirect transfers of      organization is related to or affiliated with, as defined earlier. If 
any value to a noncharitable exempt organization.                    the control factor or the historic and continuing relationship factor 
A “transfer” is any transaction or arrangement whereby one           (or both) is present at any time during the year, identify the 
organization transfers something of value (cash, other assets,       organization on line 2 even if neither factor is present at the end 
services, use of property, etc.) to another organization without     of the year.
receiving something of more than nominal value in return.              Don't enter unrelated noncharitable exempt organizations on 
Contributions, gifts, and grants are examples of transfers.          line 2 even if transfers to or transactions with those organizations 
If the only transfers between the two organizations were             were entered on line 1. For example, if a one-time transfer to an 
contributions and grants made by the noncharitable exempt            unrelated noncharitable exempt organization was entered on 
organization to the reporting organization, answer “No.”             line 1a(2), don't enter the organization on line 2.
Line 1b. Other transactions. Answer “Yes” for any transaction          Column (b).  Enter the exempt category of the organization; 
described on line 1b(1)–(6), regardless of its amount, if it is with for example, “501(c)(4).”
a related or affiliated organization.                                  Column (c).  In most cases, a simple description, such as 
Unrelated organizations. Answer “Yes” for any transaction            “common directors” or “auxiliary of reporting organization,” will 
between the reporting organization and an unrelated                  be sufficient. If you need more space, enter “See Attached” in 
noncharitable exempt organization, regardless of its amount, if      column (c) and use an attached sheet to describe the 
the reporting organization received less than adequate               relationship. If you are entering more than one organization on 
consideration. There is adequate consideration when the fair         line 2, identify which organization you are describing on the 
market value of the goods and other assets or services furnished     attached sheet.
by the reporting organization isn't more than the fair market value 
of the goods and other assets or services received from the          Signature
unrelated noncharitable exempt organization. The exception           The return must be signed by the president, vice president, 
described below doesn't apply to transactions for less than          treasurer, assistant treasurer, chief accounting officer, or other 
adequate consideration.                                              corporate officer (such as tax officer) who is authorized to sign. A 
Answer “Yes” for any transaction between the reporting               receiver, trustee, or assignee must sign any return that the 
organization and an unrelated noncharitable exempt                   authorized person is required to file for a corporation. If the return 
organization if the “amount involved” is more than $500. The         is filed for a trust, it must be signed by the authorized trustee or 
“amount involved” is the fair market value of the goods, services,   trustees. Sign and date the form and fill in the signer's title.
or other assets furnished by the reporting organization.
                                                                       If an officer or employee of the organization prepares the 
Exception.    If a transaction with an unrelated noncharitable       return, the Paid Preparer Use Only area should remain blank. If 
exempt organization was for adequate consideration and the           someone prepares the return without charge, that person 
amount involved was $500 or less, answer “No” for that               shouldn't sign the return.
transaction.
Line 1b(3). Answer “Yes” for transactions in which the reporting     Note. A paid preparer must sign the original or amended return 
organization was either the lessor or the lessee.                    by rubber stamp, mechanical device, or computer software 
                                                                     program.
Line 1b(4). Answer “Yes” if either organization reimbursed 
expenses incurred by the other.
                                                                     Paid Preparer
Line 1b(5). Answer “Yes” if either organization made loans to 
the other or if the reporting organization guaranteed the other's    Generally, anyone who is paid to prepare the return must sign 
loans.                                                               the return and fill in the other blanks in the Paid Preparer Use 
                                                                     Only area. An employee of the filing organization isn't a paid 
Line 1b(6). Answer “Yes” if either organization performed            preparer.
services or membership or fundraising solicitations for the other.
                                                                       The paid preparer must:
Line 1c. Complete line 1c regardless of whether the                  • Sign the return in the space provided for the preparer's 
noncharitable exempt organization is related to or closely           signature;
affiliated with the reporting organization. For purposes of this     • Enter the preparer information;
line, “facilities” includes office space and any other land,         • Enter the preparer tax identification number (PTIN); and
building, or structure whether owned or leased by, or provided       • Give a copy of the return to the organization, in addition to the 
free of charge to, the reporting organization or the noncharitable   copy to be filed with the IRS.
exempt organization.                                                   Failure to provide required information may result in a penalty 
                                                                     for each violation under section 6695.

38                                                                                             Instructions for Form 990-PF (2023)

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        Enter the paid preparer's PTIN, not the social security                                     The authorization will automatically end no later than the due 
  !     number (SSN), in the “PTIN” box in the paid preparer's                                      date (excluding extensions) for filing of the organization's Form 
CAUTION block. Because this form is publicly disclosable, any                                       990-PF for its next tax year. If the organization wants to expand 
information entered in this block will be publicly disclosed. For                                   the paid preparer's authorization or revoke it before it ends, see 
more information about PTINs, visit the IRS website at IRS.gov/                                     Pub. 947, Practice Before the IRS and Power of Attorney.
PTIN.
                                                                                                    Check “No” if the IRS should contact the organization listed in 
                                                                                                    the Heading section rather than the paid preparer.
Paid Preparer Authorization
On the “Sign Here” line, check “Yes” if the IRS can contact the 
paid preparer who signed the return to discuss the return. This                                     How To Get Forms and Publications
authorization applies only to the individual whose signature                                        Getting tax forms, instructions, and publications. Go to 
appears in the Paid Preparer Use Only section of Form 990-PF. It                                    IRS.gov/Forms to download current and prior-year forms, 
doesn't apply to the firm, if any, shown in that section.                                           instructions, and publications.
  By checking “Yes” to this box, the organization is authorizing                                    Ordering tax forms, instructions, and publications. Go to 
the IRS to contact the paid preparer to answer any questions that                                   IRS.gov/OrderForms to order current forms, instructions, and 
arise during the processing of the return. The organization is also                                 publications; call 800-829-3676 to order prior-year forms and 
authorizing the paid preparer to:                                                                   instructions. The IRS will process your order for forms and 
• Give the IRS any information missing from the return;                                             publications as soon as possible. Don’t resubmit requests 
• Call the IRS for information about processing the return; and                                     you've already sent us. You can get forms and publications faster 
• Respond to certain IRS notices about math errors, offsets,                                        online.
and return preparation.
  The organization isn't authorizing the paid preparer to bind 
the organization to anything or otherwise represent the 
organization before the IRS.

Paperwork Reduction Act Notice.   We ask for the information on this form to carry out the Internal Revenue laws of the United 
States. You are required to give us the information. We need it to ensure that you are complying with these laws and to allow us to 
figure and collect the right amount of tax. You are not required to provide the information requested on a form that is subject to the 
Paperwork Reduction Act unless the form displays a valid OMB control number. Books or records relating to a form or its instructions 
must be retained as long as their contents may become material in the administration of any Internal Revenue law. Generally, tax 
returns and return information are confidential, as required by section 6103. However, certain returns and return information of 
tax-exempt organizations and trusts are subject to public disclosure and inspection, as required by section 6104.
  Estimates of Taxpayer Burden. These include Forms in the 990 series and attachments and Forms 1023, 1024, 1028, 5578, 
5884-C, 8038, 8038-B, 8038-CP, 8038-G, 8038-GC, 8038-R, 8038-T, 8038-TC, 8328, 8718, 8282, 8453-TE, 8453-X, 8868, 8870, 
8871, 8872, 8879-TE, 8886-T, 8899 and their schedules and all the forms tax-exempt organizations attach to their tax returns. Time 
spent and out-of-pocket costs are presented separately. Time burden includes the time spent preparing to file and to file, with 
recordkeeping representing the largest component. Out-of-pocket costs include any expenses incurred by taxpayers to prepare and 
submit their tax returns. Examples include tax return preparation and submission fees, postage and photocopying costs, and tax 
preparation software costs. Note that these estimates do not include burden associated with post-filing activities. IRS operational data 
indicate that electronically prepared and filed returns have fewer arithmetic errors, implying lower post-filing burden.
  Reported time and out-of-pocket cost burdens are national averages and include all associated forms and schedules, across all 
preparation methods and taxpayer activities. As a result, the averages don't necessarily reflect a “typical” case. Most taxpayers 
experience lower-than-average burden, with taxpayer burden varying considerably by taxpayer type.

Fiscal Year 2024 Form 990 Series Taxpayer Compliance Cost Estimates

                              Form 990           Form 990-EZ                                        Form 990-PF          Form 990-T                Form 990-N
Projections of the Number of 
Returns To Be Filed with IRS           351,100                    251,000                                        130,100              233,200                733,100
Estimated Average Total Time 
(Hours)                                107                                                     69                53                        42                                                  5
Estimated Average Total 
Out-of-Pocket Costs                    $2,900                                                  $600              $2,200               $2,200                     $20
Estimated Average Total 
Monetized Burden                       $9,900                     $1,700                                         $4,600               $5,700                    $100

Estimated Total Time (Hours)      37,710,000                  17,400,000                                   6,940,000                  9,790,000             3,660,000
Estimated Total Out-of-Pocket 
Costs                             $1,023,200,000          $152,200,000                                     $282,600,000               $506,400,000     $14,000,000
Estimated Total Monetized 
Burden                            $3,466,900,000          $425,200,000                                     $594,600,000            $1,324,000,000      $71,400,000
Note. Amounts above are for FY2024. Reported time and cost burdens are national averages and do not necessarily reflect a “typical” case. Most taxpayers experience lower-than-average burden, 
with taxpayer burden varying considerably by taxpayer type. Detail may not add due to rounding.

  Comments and suggestions. We welcome your comments about this publication and suggestions for future editions.

Instructions for Form 990-PF (2023)                                                                                                                               39

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You can send us comments through IRS.gov/FormComments. Or you can write to the Internal Revenue Service, Tax Forms and 
Publications, 1111 Constitution Ave. NW, IR-6526, Washington, DC 20224.
Although we can’t respond individually to each comment received, we do appreciate your feedback and will consider your 
comments and suggestions as we revise our tax forms, instructions, and publications. Don’t send the form, tax questions, tax returns, 
or payments to the above address. Instead, see J. When and How To File, earlier.

40                                                                                        Instructions for Form 990-PF (2023)

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                                                         Exclusion Codes
General Exceptions                                17— Rent from personal property leased with       Debt-Financed Income
                                                      real property and incidental (10% or less)
01— Income from an activity that is not               in relation to the combined income from       30—  Income exempt from debt-nanced
    regularly carried on (section 512(a)(1))          the real and personal property (section            (section 514) provisions because at least
02— Income from an activity in which labor is         512(b)(3))                                         85% of the use of the property is for the
    a material income-producing factor and        18— Gain or loss from the sale of investments          organization’s exempt purposes. (Note:
    substantially all (at least 85%) of the work      and other non-inventory property and               This code is only for income from the
    is performed with unpaid labor (section           from certain property acquired from                15% or less non-exempt purpose use.)
    513(a)(1))                                        nancial institutions that are in                  (section 514(b)(1)(A))
03— Section 501(c)(3) organization—Income             conservatorship or receivership (sections     31—  Gross income from mortgaged property
    from an activity carried on primarily for         512(b)(5) and (16)(A))                             used in research activities described in
    the convenience of the organization’s         19— Gain or loss from the lapse or termination         section 512(b)(7), (8), or (9) (section
    members, students, patients, visitors,            of options to buy or sell securities or real       514(b)(1)(C))
    ofcers, or employees (hospital parking           property, and on options and from the         32—  Gross income from mortgaged property
    lot or museum cafeteria, for example)             forfeiture of good-faith deposits for the          used in any activity described in section
    (section 513(a)(2))                               purchase, sale, or lease of investment real        513(a)(1), (2), or (3) (section 514(b)(1)(D))
04— Section 501(c)(4) local association of            estate (section 512(b)(5))                    33—  Income from mortgaged property
    employees organized before May 27,            20— Income from research for the United                (neighborhood land) acquired for exempt
    1969— Income from the sale of                     States; its agencies or instrumentalities;         purpose use within 10 years (section
    work-related clothes or equipment and             or any state or political subdivision              514(b)(3))
    items normally sold through vending               (section 512(b)(7))                           34—  Income from mortgaged property
    machines; food dispensing facilities; or      21— Income from research conducted by a                acquired by bequest or devise (applies to
    snack bars for the convenience of                 college, university, or hospital (section          income received within 10 years from the
    association members at their usual places         512(b)(8))                                         date of acquisition) (section 514(c)(2)(B))
    of employment (section 513(a)(2))                                                               35—  Income from mortgaged property
05— Income from the sale of merchandise,          22— Income from research conducted by an               acquired by gift where the mortgage was
    substantially all of which (at least 85%)         organization whose primary activity is             placed on the property more than 5 years
    was donated to the organization (section          conducting fundamental research, the               previously and the property was held by
    513(a)(3))                                        results of which are freely available to the       the donor for more than 5 years (applies
                                                      general public (section 512(b)(9))
Speciﬁc Exceptions                                23— Income from services provided under                to income received within 10 years from
                                                      license issued by a federal regulatory             the date of gift)    (section 514(c)(2)(B)) 
06— Section 501(c)(3), (4), or (5) organization       agency and conducted by a religious           36—  Income from property received in return
    conducting an agricultural or educational         order or school operated by a religious            for the obligation to pay an annuity
    fair or exposition—Qualied public                order, but only if the trade or business           described in section 514(c)(5)
    entertainment activity income (section            has been carried on by the organization       37—  Income from mortgaged property that
    513(d)(2))                                        since before May 27, 1959 (section                 provides housing to low and moderate
07— Section 501(c)(3), (4), (5), or (6)               512(b)(15))                                        income persons, to the extent the
    organization—Qualied convention and                                                                 mortgage is insured by the Federal
    trade show activity income (section           Foreign Organizations                                  Housing Administration (section 514(c)(6)).
    513(d)(3))                                    24— Foreign organizations only—Income from             (Note: In many cases, this would be
08— Income from hospital services described           a trade or business NOT conducted in the           exempt function income reportable in
    in section 513(e)                                 United States and NOT derived from                 column (e). It would not be so in the case
09— Income from noncommercial bingo games             United States sources (patrons) (section           of a section 501(c)(5) or (6) organization,
    that do not violate state or local law            512(a)(2))                                         for example, that acquired the housing as
    (section 513(f))                              Social Clubs and VEBAs                            38—  anIncomeinvestmentfrom mortgagedor as a charitablereal propertyactivity.)
10— Income from games of chance conducted
    by an organization in North Dakota            25— Section 501(c)(7), (9), or (17)                    owned by: a school described in section
    (section 311 of the Decit Reduction Act          organization—Non-exempt function                   170(b)(1)(A)(ii); a section 509(a)(3) afliated
    of 1984, as amended)                              income set aside for a charitable, etc.,           support organization of such a school; a
                                                      purpose specied in section 170(c)(4)              section 501(c)(25) organization; or by a
11— Section 501(c)(12) organization— Qualied         (section 512(a)(3)(B)(i))                          partnership in which any of the above
    pole rental income (section 513(g)) and/or                                                           organizations owns an interest if the
    member income (described in section           26— Section 501(c)(7), (9), or (17)                    requirements of section 514(c)(9)(B)(vi) are
    501(c)(12)(H))                                    organization—Proceeds from the sale of             met (section 514(c)(9))
12— Income from the distribution of low-cost          exempt function property that was or will     Special Rules
    articles in connection with the solicitation      be timely reinvested in similar property
    of charitable contributions (section 513(h))      (section 512(a)(3)(D))                        39—  Section 501(c)(5) organization—Farm
13— Income from the exchange or rental of         27— Section 501(c)(9) or (17) organization—            income used to nance the operation and
    membership or donor list with an                  Nonfunction income set aside for the               maintenance of a retirement home,
    organization eligible to receive charitable         payment of life, sick, accident, or              hospital, or similar facility operated by the
    contributions by a section 501(c)(3)                other benets (section 512(a)(3)(B)(ii))         organization for its members on property
    organization; by a war veterans’              Veterans’ Organizations                                adjacent to the farm land (section
    organization; or an auxiliary unit or society                                                        1951(b)(8)(B) of Public Law 94-455)
    of, or trust or foundation for, a war         28— Section 501(c)(19) organization—Payments      40—  Annual dues, not exceeding $191 (subject
    veterans’ post or organization (section           for life, sick, accident, or health insurance      to ination), paid to a section 501(c)(5)
    513(h))                                           for members or their dependents that are           agricultural or horticultural organization
                                                      set aside for the payment of such insurance        (section 512(d))
Modiﬁcations and Exclusions                           benets or for a charitable, etc., purpose
14— Dividends, interest, payments with                specied in section 170(c)(4) (section        Trade or Business
    respect to securities loans, annuities,           512(a)(4))                                    41—  Gross income from an unrelated activity
    income from notional principal contracts,     29— Section 501(c)(19) organization— Income            that is regularly carried on but, in light of
    other substantially similar income from           from an insurance set-aside (see code 28           continuous losses sustained over a
    ordinary and routine investments, and             above) that is set aside for payment of            number of tax periods, cannot be
    loan commitment fees, excluded by                 insurance benets or for a charitable, etc.,       regarded as being conducted with the
    section 512(b)(1)                                 purpose specied in section 170(c)(4)              motive to make a prot (not a trade or
15— Royalty income excluded by section                (Regs. 1.512(a)-4(b)(2))                           business)
    512(b)(2)
16— Real property rental income that does not                                                       Other
    depend on the income or prots derived                                                          42—  Receipt of qualied sponsorship
    by the person leasing the property and is                                                            payments described in section 513(i)
    excluded by section 512 (b)(3)                                                                  43—  Exclusion of any gain or loss from the
                                                                                                         qualied sale, exchange, or other
                                                                                                         disposition of any qualifying browneld
                                                                                                         property (section 512(b)(19))

Instructions for Form 990-PF (2023)                                                                                                                                               41

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Index
 
                                          Estimated tax 9
A                                           Penalty 9                                P
Accounting methods      8                 Excise tax based on excess business        Paid preparer  38
                                            holdings   28
Accounting period     7                   Excise tax based on excessive executive    Penalties:
Adjusted net income     15                  compensation    2 29,                     Against responsible person 9
Amended return    8 24,                   Excise tax based on investment income:      Estimated tax  9
Amended returns, state      7               Domestic exempt private foundations  23   Failure to disclose quid pro quo 
Annual return:                              Domestic taxable private foundations and  contributions      17
  Amended   8                                   section 4947(a)(1) nonexempt          Failure to file timely or completely 8
  Copies to state officials 7                   charitable trusts 23                  Failure to make return available for public 
  Extension for filing 8                    Foreign organizations  23                 inspection     12
  Failure to file timely or completely 8  Exempt operating foundation                 Failure to pay timely 9
  How to file 8                             qualification  23                        Photographs of missing children     2
  Purpose of form 2                       Extension for filing 8                     Private foundation  4
  State reporting requirements   7                                                   Private operating foundation 4 15 35, , 
  Termination  13                         F                                          Program services    37
                                                                                     Program-related investment  31 33, 
  When to file 8                          Failure to file timely or completely 8     Public inspection 25
  Which parts to complete   3             Failure to pay tax when due 9               Relief  13
Assets test 35                            Filing extension 8                         Publications:
Attachments   14                          Financial account 26                        Pub. 947, Practice Before the IRS and 
Attorney 39                               Foreign 26                                  Power of Attorney      39
                                            Accounts   26
B                                         Foreign organizations   12 14 23, ,        Q
Bank account   26                         Foundation manager      4
Business meals   19                                                                  Qualifying distributions 16 17 33 34, , , 
                                          G                                           Amounts set aside   33
                                                                                     Qualifying distributions (see the 
C                                         Gifts 19                                    instructions for Part XII for an 
Capital gains and losses:                 Grants 19                                   explanation of qualifying distributions) 
  Basis  23                               Gross investment income    15               for any year.  17
  Gains  22                               Gross profit 18
  Losses  23                              Gross receipts 9                           R
Charitable donation:                                                                 Required electronic filing 8
  Substantiation of 17                    H                                          Rounding  14
Children 2                                How To Get Forms and Publications      39
Contributions  19                                                                    S
Copy of old return  8                     I                                          Schedule B (Form 990, 990–EZ, or 990–
Currency  14                                                                          PF)   16
                                          Income test  35
D                                         Incomplete return:                         Section 4943(g), exception from excise tax 
                                            How to avoid 4                            on excess business holdings        28
Definitions 4                               Penalties 8                              Self-dealing 28
  Disqualified person   4                 Inventory 18                               Signature 38
  Distributable amount   33                                                          Significant disposition 13
                                                                                     Significant involvement  30
  Foundation manager     4                L                                          State reporting requirements 7
  Gross investment income     15
  Net investment income     15            Large organization   9                      Amended returns    7
  Noncharitable exempt organization    37 Liquidation 12                             Substantial contraction  12 13, 
  Nonexempt charitable trust   4                                                     Substantial contributor  25
  Private foundation   4                  M                                          Support test  35
  Private operating foundation  4         Minimum investment return   31
  Program-related investment   31           Short tax year 33                        T
  Qualifying distributions  33                                                       Taxable private foundation  4 9, 
  Significant disposition 13              N                                          Termination  12 14, 
  Substantial contraction   13                                                        Annual return  13
  Taxable private foundation   4          Net investment income    15 20, 
Depreciation  19                            Business meals  19                        Special rules  13
Disqualified person    4                  Noncharitable exempt organization      37  Travel 19
Disregarded entity    2 30,               Nonexempt charitable trust  4 9 26,  , 
Dissolution 12                            Nonoperating private foundation     16 17, W
Distributable amount    33                  Nonoperating private foundation   4      When to file 8
                                                                                      Extension    8
E                                         O                                          Where to file 8
Elections 23 34 35, ,                     Other expenses   19                        Which parts to complete   3
                                                                                     Who must file  2
Endowment test    35

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