Tricks of the Trade: Structuring Events and Transactions Around a Nonprofit’s Reception of a Charitable Contribution to Mask Conflicts of Interest and the Capitalization of Nepotism

muunyayo

By: Muunyayo

Note: these four diagrams I made for the purpose of this demonstration are used in a zoomed in presentation further into the blog post.

The Bottom Line:

Upon disbursement of the cash proceeds to an NPO to meet the pledge of a charitable contribution by another business entity, the round-robin begins in terms of the pass through of that very cash within the realm of the Nonprofit(NPO) world and it’s vendors, creditors, donors and beyond. And I am going to show you how charitable contributions made to these tax exempt NPOs generate more than just virtue signaling clout (for donating to “a good cause”) and a tax deduction to be used to offset taxable income for the entity making the donation. The following is a simple diagram of the clockwork-like movement of the cash donation (as you read on, you will be blown away how this – with…

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