Donor-advised fund

In the United States, a donor-advised fund (DAF) is a charitable giving vehicle administered by a public charity created to manage charitable donations on behalf of organizations, families, or individuals. To participate in a donor-advised fund, a donating individual or organization opens an account in the fund and deposits cash, securities, or other financial instruments. They surrender ownership of anything they put in the fund but retain advisory privileges over how their account is invested, and how it distributes money to charities, creating another legal loophole for whitewashing or laundering money through these nontaxable charitable donations to regulated non-profits and political campaigns without governance, oversight, or normal fiduciary legal restrictions for individual donations. Use of a donor-advised fund creates financial instruments for tax evasion and can be used for extracting currency from country borders or engaging in politics while ineligible as seen with high-ticket financial injections into "foundations". These tax evasion strategies are promoted publicly as legal, despite the capital lying in the misrepresentations in financial and legal reporting.