• KevonLooney
    link
    fedilink
    arrow-up
    1
    arrow-down
    1
    ·
    9 months ago

    Charitable trusts have to be donated to charity. You can’t pull the money back out. It’s like giving it away that year.

    Yeah, a ton of things can be a “charity”. You can donate the money to your friends at a church or a clubhouse for your friends and still have it be a “charity”.

    • Changetheview@lemmy.world
      link
      fedilink
      arrow-up
      1
      arrow-down
      1
      ·
      edit-2
      9 months ago

      I think we’re saying the same thing, but it’s definitely not like giving it to charity that year. They are irrevocable trusts so you can’t take the money back from it, but the majority money doesn’t immediately have to go anywhere.

      And even when money does flow out (beyond admin/establishment costs), there are TONS of creative ways to use it for personal benefit.

      See Rolex and Hershey for two of the biggest examples. Or giant charity galas.

      Many ways to use the funds for “non-profit” entertainment. Plenty of ways to get kickbacks from “charitable” donations. Non-profit status is not that high of a hurdle.