Forum Comment Letter to Treasury on Proposed DAF Regulations - Feb. 2024

On November 13th, the U.S. Department of the Treasury (Treasury) released the first in what is expected to be a series of long-awaited regulations interpreting the statute that codifies DAFs, which Congress enacted in the Pension Protection Act of 2006. 

The proposed regulations are related to excise taxes on taxable distributions made by a sponsoring organization from a donor-advised fund (DAF), and on the agreement of certain fund managers to the making of such distributions. The proposed regulations would provide guidance regarding DAFs and taxable distributions and generally would apply to certain organizations, including community foundations and other charitable organizations, that maintain one or more DAFs, and to other persons involved with the DAFs, including donors, donor-advisors, related persons, and certain fund managers.

On February 15, 2024, United Philanthropy Forum submitted a formal comment letter in response to the proposed regulations. The letter was signed by 15 other philanthropy-serving organizations within the Forum network. The letter was officially accepted and posted online by Treasury on February 22, 2024.