Contributions to charitable organizations.

CFR · 2024-01-01 · US · Title 12

(a) (b) (1) The plan of conversion provides for the proposed contribution; (2) The members approve the proposed contribution; and (3) The IRS either has approved, or approves within two years after formation, the charitable organization as a tax-exempt charitable organization under the Internal Revenue Code. (c) (d) (e) (1) The charitable organization's primary purpose is to serve and make grants in the local community; (2) As long as the charitable organization controls shares, it must vote those shares in the same ratio as all other shares voted on each proposal considered by the shareholders; (3) For at least five years after its organization, one seat on the charitable organization's board of directors (or board of trustees) is reserved for an independent director (or trustee) from the local community. This director may not be the officer, director, or employee, or the affiliate's officer, director, or employee, and should have experience with local community charitable organizations and grant making; and (4) For at least five years after its organization, one seat on the charitable organization's board of directors (or board of trustees) is reserved for a director from the board of directors or the board of directors of an acquiror or (5) The Board may examine the charitable organization at the charitable organization's expense; (6) The charitable organization must comply with all supervisory directives that the Board imposes; (7) The charitable organization must annuall

official document · source cfr-2024 · id 12:§ 239.64