Monday, July 6, 2009
The IRS is increasing its scrutiny of Hedge Funds and private equity investors in regards to their funds that are being held in offshore accounts. Surprisingly, a good amount of those funds include money held for tax-exempt foundations and endowments. As of now, the IRS is only looking for more disclosure from the Hedge Funds by enforcing the submission of a specific report which details the funds held offshore. There is no telling how this may affect the investing strategies of non-profits, but it may lead to some interesting transparency on where their investments are held.