Brian M. Sweet, Counsel

People engage in philanthropy for various reasons: to shape their communities, to advance societal wellbeing, and to avail themselves of tax benefits. Federal tax law provides incentives to encourage individual giving to tax-exempt organizations such as museums, environmental organizations, universities, and hospitals. Donors can make tax-efficient gifts during their lifetime (in their own name or using a tax-exempt vehicle such as a donor-advised fund or private foundation) and as part of their estate planning. However, individual giving is only one approach to advance charitable causes. This update describes two ways in which private foundations can use investment capital for social impact.

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