> I think there is a limit to the amount of gift in cash or other assets you can make without triggering a federal gift tax of around 40%.
AFAIK, this does not apply when giving to a charity.
> I can’t speak for Acton. Or in any legal capacity, but if it were me, tax deductions to a non profit can be rife with complications because if he ever gets involved with signal as a board member or employee, it might rise questions.
And the loan won't raise similar questions? Why?
> Signal foundation is not a charity.
> A gift invites taxes, iirc. Like..if I gifted you above 15k(and you are not my family or part of a trust/insurance beneficiary etc), you will have to pay taxes on the realized value of the gift.
> Also I don’t know exactly what kind of non profit Signal is...
Well, you CAN donate to your own company and claim it for a tax deduction, I do it all the time.
That being said, this basic point seems like it might explain the whole thing. I can believe that he cannot be the sole (or nearly sole) donor and have the company be a 501(c)(3) rather than a private foundation or similar.
AFAIK, this does not apply when giving to a charity.
> I can’t speak for Acton. Or in any legal capacity, but if it were me, tax deductions to a non profit can be rife with complications because if he ever gets involved with signal as a board member or employee, it might rise questions.
And the loan won't raise similar questions? Why?
> Signal foundation is not a charity.
> A gift invites taxes, iirc. Like..if I gifted you above 15k(and you are not my family or part of a trust/insurance beneficiary etc), you will have to pay taxes on the realized value of the gift.
> Also I don’t know exactly what kind of non profit Signal is...
It's a 501(c)(3) https://signalfoundation.org/