How are community foundations different from private foundations?
A community foundation is a publicly supported, nonprofit, tax-exempt organization that maintains a diverse grantmaking program in a specific community or region. In its general charitable purpose, a community foundation is much like a private foundation; its funds, however, are derived from many unrelated donors rather than a single source, as is usually the case with private foundations. Further, community foundations are classified under the tax code as public charities, subjecting them to different tax policies and regulations than private foundations.
A community foundation is a publicly supported, nonprofit, tax-exempt organization that maintains a diverse grantmaking program in a specific community or region. In its general charitable purpose, a community foundation is much like a private foundation; however its funds are derived from many unrelated donors rather than a single source, as is usually the case with private foundations. Further, community foundations are classified under the tax code as public charities, subjecting them to different tax policies and regulations than private foundations.
