Foundation Lawyer in New York County (Manhattan), NY
Establishing a private foundation in New York County (Manhattan) requires careful navigation of the New York Estates, Powers and Trusts Law (EPTL) and IRS regulations to secure tax-exempt status under IRC § 501(c)(3).
What Is a Private Foundation in New York?
In New York, a private foundation is a type of tax-exempt charitable organization, typically funded by a single source like an individual, family, or corporation. It is governed by the New York Estates, Powers and Trusts Law (EPTL) and must operate exclusively for charitable, religious, educational, or scientific purposes as defined under Internal Revenue Code § 501(c)(3). Unlike public charities, foundations generally derive their funding from investments and endowments and make grants to other charitable organizations. A foundation attorney New York is essential for handling the specific state filing requirements with the New York Department of State and the Attorney General’s Charities Bureau, also to federal IRS compliance.
Last verified: April 2026 | New York County Supreme Court | New York State Legislature
Official Legal Resources
For the official statutes, refer to the New York Estates, Powers and Trusts Law (EPTL) on the New York State Senate website. For court procedures, consult the New York County Supreme Court official site.
Key Steps for Establishing a Foundation in Manhattan
The process to establish a foundation in Manhattan involves multiple precise steps. First, you must draft and file a Certificate of Incorporation with the New York Department of State, explicitly stating the charitable purpose. Next, you must apply for an Employer Identification Number (EIN) from the IRS. The most critical step is filing Form 1023 with the IRS to obtain 501(c)(3) tax-exempt status, a detailed application requiring extensive documentation of your charitable programs and financial projections.
- Consult with a foundation lawyer New York to define your charitable mission and structure.
- Draft and file the Certificate of Incorporation with the NY Department of State.
- Apply for an Employer Identification Number (EIN) from the IRS.
- Prepare and submit IRS Form 1023 (Application for Recognition of Exemption).
- Draft corporate bylaws, conflict of interest policy, and initial board resolutions.
- Register with the New York Attorney General’s Charities Bureau (Form CHAR410).
- Open a bank account and establish record-keeping and grant-making procedures.
Compliance and Operational Requirements
In New York County (Manhattan), operating a private foundation requires strict adherence to state and federal rules, including annual filing of IRS Form 990-PF and New York CHAR500, maintaining a minimum distribution of approximately 5% of investment assets, and avoiding prohibited self-dealing transactions.
Private foundations face ongoing compliance obligations. Annually, you must file IRS Form 990-PF and the New York CHAR500 with the Attorney General’s office. Foundations are required to distribute approximately 5% of their net investment assets each year for charitable purposes. Violations of rules against self-dealing, excess business holdings, or jeopardizing investments can result in excise taxes and penalties. A foundation law firm New York can help implement policies and procedures to ensure all activities, from grant-making to investment decisions, remain compliant.
Results may vary. Prior results do not aim for a similar outcome.
Why Choose Our Firm for Your Foundation Matters
Law Offices Of SRIS, P.C. was founded in 1997. Our firm brings a combined 120+ years of legal experience to complex matters. We understand that establishing a foundation is not just a legal transaction but the creation of a legacy. Our approach focuses on building a durable legal structure that fulfills your philanthropic vision while protecting the foundation’s assets and tax status for the long term.
Contact Our Foundation Lawyers
Our New York location serves clients throughout Manhattan, including Midtown, Lower Manhattan, the Upper East and West Sides, Harlem, Greenwich Village, SoHo, Tribeca, Chelsea, and the Financial District. We offer 24/7 phone consultations for your convenience.
Law Offices Of SRIS, P.C.
50 Fountain Plaza, Suite 1400, Office No. 142
Buffalo, NY 14202
Toll-Free: (888) 437-7747 | Local: (838)-292-0003 | Local: (838) 292-0003
By appointment only.
Foundation Lawyer FAQs
What is the difference between a private foundation and a public charity?
Yes, there is a key difference. A private foundation is typically funded by a single source (like a family or corporation) and makes grants, while a public charity receives broad public support and directly conducts charitable activities. The IRS rules and annual reporting requirements (Form 990-PF vs. Form 990) differ significantly for each structure.
How long does it take to get IRS 501(c)(3) approval for a foundation?
It depends on the complexity of the application and IRS processing times. A complete and well-prepared Form 1023 submission can take between 3 to 12 months for the IRS to review and issue a determination letter. Using a foundation lawyer New York to prepare the application can help avoid requests for additional information that cause delays.
What are the annual reporting requirements for a New York foundation?
Two main filings are required annually. Federally, you must file IRS Form 990-PF. In New York, you must file Form CHAR500 with the Attorney General’s Charities Bureau. These reports detail finances, grants, governance, and compliance with operational rules like the minimum distribution requirement.
Can a foundation lawyer help if I’m accused of self-dealing?
Yes. A foundation attorney New York can represent you before the IRS and the New York Attorney General’s office. They can help negotiate correction of the transaction, argue for abatement of excise taxes, and develop policies to prevent future violations, which is critical for protecting the foundation’s status and your role as a manager.
What happens to a foundation’s assets if it dissolves?
The assets must be distributed for charitable purposes. New York law and IRS rules require that the foundation’s governing documents include a provision directing that upon dissolution, all remaining assets be transferred to another 501(c)(3) organization. A foundation law firm New York ensures this critical clause is properly drafted to avoid legal challenges.
Related Information: For broader guidance, see our New York Estate Lawyer hub. We also assist clients in nearby areas like Albany County. For other legal needs in Manhattan, consider our Business Lawyer services.
Last verified: April 2026. Laws change — contact Law Offices Of SRIS, P.C. at (888) 437-7747 for current guidance.