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PDtax, Certified Public Accountant (CPA)
Category: Tax
Satisfied Customers: 4623
Experience:  35 years tax experience, including four years at a Big 4 firm.
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I want to create a scholarship fund in the name of my

Customer Question

I want to create a scholarship fund in the name of my parents to award scholarships to 2 students annually. I want to make the selection of the winners every year based upon their qualifications and desire to study in the cancer research field. Do I have to create a 591c3 to be able yo deduct my annual contribution to these scholarships?
Submitted: 1 year ago.
Category: Tax
Expert:  PDtax replied 1 year ago.

Hi from just answer. I'm PDtax, and will assist.

If you find scholarships through an institution, it is likely you can deduct payments made directly to the institution. Most are qualified to accept tax deductible gifts like yours.

Expert:  PDtax replied 1 year ago.

If you want autonomy over the funds, you will need a foundation or tax exempt entity to accept your money.

Thanks for asking at just answer. Positive feedback is appreciated. I'm PDtax.

Expert:  PDtax replied 1 year ago.

One follow up: your foundation will be a 501(C)(3) entity.