President Biden’s budget proposes to limit the loophole in the current tax law that allows a private non-operating foundation to get credit towards its minimum distribution requirement by making a grant to a donor advised fund. The grant would qualify only if the DAF regranted the funds by the end of the following tax year. The proposal is the latest in the current controversy about increasing current use of funds by private foundations and donor advised funds. Biden’s proposal does not comment on other current proposals to limit donors’ tax deductions unless funds granted to a DAF are granted out within 15 years. Under current law, a private foundation has a minimum distribution...