Donation compliance


Pink Ribbon Inc. (not for profit) is more than a mechanism for giving. The charity works as a partner and strategic advisor for donors, helping to identify where donations can have the greatest impact, guiding donors through each complex step involved in international philanthropy. Pink Ribbon Inc. (not for profit) makes the process easy for donors, while implementing due diligence to ensure that grants are distributed effectively and have maximum impact, all the while staying in strict compliance with U.S. laws and regulations governing charitable giving internationally.

International Expertise

Pink Ribbon Inc. (not for profit)’s team consists of international development and nonprofit professionals who are leaders in the field. The charity’s staff members are multilingual and have lived and traveled throughout the countries where the charity is active. This experience translates into a staff that is able to utilize their unique cultural insight, sensitivity and first-hand knowledge to the benefit of donors, and the projects and programs they support. Where specific subject matter experience is not available in-house, Pink Ribbon Inc. (not for profit) has proven success in tapping its extensive network of expert academic advisors from top universities throughout the U.S.

Extensive Due Diligence

Pink Ribbon Inc. (not for profit)’s due diligence process ensures that potential grantees are properly constituted, programmatically effective, financially stable, and have effective organizational leadership. Pink Ribbon Inc. (not for profit) also ensures that projects and programs are well thought through and will have measurable outcomes and deliverables. Throughout the life of the grant, the charity continues its due diligence with follow-up phone interviews, e-mail correspondence and site visits. Pink Ribbon Inc. (not for profit) takes very seriously its responsibility to ensure that donor’s wishes are carried out in accordance with the law as well as adhering to “best practices” in international grantmaking. To further ensure a donor’s goals are met, the charity has the following steps in place once staff has vetted a grant for potential funding:

  • All grant distributions are first approved by Pink Ribbon Inc. (not for profit)’s board to ensure oversight at the highest level.
  • All financial and grant making procedures are transparent.
  • All grants are posted on Pink Ribbon Inc. (not for profit)’s Web site and the charity participates in a yearly independent audit.
  • Donors are encouraged to ask questions and make comments.

Tax Deductibility

Pink Ribbon Inc. (not for profit) is a full tax exempt 501(c)(3) public charity in the U.S. with its core mission focused on international grantmaking. Because of the due diligence undertaken by Pink Ribbon Inc. (not for profit) for all grants made to charities abroad, donor gifts enjoy the same tax benefits as gifts made to U.S. charities. Additionally, Pink Ribbon Inc. (not for profit) possesses a thorough understanding of U.S. laws regarding international charitable giving by individual and corporate donors and constantly monitors new IRS and U.S. Treasury guidelines regarding international giving to ensure that donors receive all available tax benefits.

The Complexities of International Giving

There are many complex and challenging U.S. government regulations surrounding international giving. Pink Ribbon Inc. (not for profit) ensures that each and every charitable gift made on behalf of donors is in full compliance with the law. The charity works diligently to promote full compliance with:

The Internal Revenue Code (IRC)

The IRC allows the giving of international grants under the condition that the charity either certify foreign charities as 501(c)(3) equivalent organizations or the charity employs a process called “expenditure responsibility,” which requires a pre-grant inquiry, grant agreement, separate accounting for charitable funds, and financial tracking and reporting.

Pension Protection Act of 2006

Classifies permissible international giving through donor advised funds under certain conditions.

USA Patriot Act of 2001 (reauthorized in 2005)

This law increases, among other things, existing criminal penalties for knowingly or intentionally providing material support or resources for terrorism through international grantmaking.

Executive Order 13224

This order prohibits transactions with any charitable organization deemed by the Executive Branch and other U.S. agencies to be associated with terrorism. This executive order freezes all assets controlled by or in the possession of any charity or other entity that supports terrorists. To ensure full compliance with the law, Pink Ribbon Inc. (not for profit) regularly checks the names of nonprofit staff and directors against lists of prohibited persons.

U.S. Department of the Treasury: Anti-Terrorist Financing Guidelines

These “Voluntary Best Practices for U.S.-Based Charities” provide guidance regarding compliance with the USA Patriot Act and Executive Order 13224. The guidelines describe how international funders should make grants and transfer funds to non-U.S. organizations. Pink Ribbon Inc. (not for profit) procedures, from approving charities through grant administration, follow these best practices recommended by the U.S. Department of the Treasury.

Cost Effectiveness, Economies of Scale

Because Pink Ribbon Inc. (not for profit) has established economies of scale in the communities where it is active, the charity is able to keep administrative costs comparatively low and maximize the percentage of a donor’s gift that directly funds the donor’s cause or project.

Transparency and High Ethical Standards

As a registered public charity in good standing, Pink Ribbon Inc. (not for profit) adheres to best practices in charitable gifting, promoting transparency in its operations with full financial disclosures.

Donor Privacy

Pink Ribbon Inc. (not for profit) has a strict donor privacy policy protecting the information of our donors from unauthorized persons. Additionally, all staff, volunteers and board members sign confidentially agreements to protect donor interests. For a variety of reasons, some donors choose to remain anonymous and their privacy is respected.

Peace of Mind

Working with Pink Ribbon Inc. (not for profit), as opposed to establishing a private charity, affords donors the ability to focus on one’s passion, leaving Pink Ribbon Inc. (not for profit) to handle the day-to-day administrative and legal complexities associated with managing an international grant. This approach relieves donors of the administrative burdens and allows donors to not lose sight of their philanthropic passions and interests.

Benefits of International Charitable Giving through Pink Ribbon Inc. (not for profit)

  • Expert grant making assistance and extensive follow-up services.
  • Maximum tax benefits for international giving.
  • Administrative and legal details handled by experts in international giving.
  • Donor privacy is maintained.
  • Unique community based knowledge and program area expertise.
  • Extensive network of nonprofit, charity, government and academic contacts both domestically and internationally.
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