Oklahoma § 60-174.1 - Private foundations - Governing instrument deemed to

§ 60-174.1. Private foundations - Governing instrument deemed to

contain certain provisions - Amendment without judicial proceedings.

A. Notwithstanding any provision of Oklahoma law or in the

governing instrument to the contrary, except as provided in

subsection C hereof, the governing instrument of each trust which is

a private foundation as described in Section 509 of the Federal

Internal Revenue Code of 1954, including each nonexempt charitable

trust described in Section 4947(a)(1) of the Code which is treated

as a private foundation, and the governing instrument of each

nonexempt split-interest trust as described in Section 4947(a)(2) of

the Code, but only to the extent that Section 508(e) of the Code is

applicable to such nonexempt split-interest trust under Section

4947(a)(2) of the Code, shall be deemed to contain the following

provisions: "The trust shall make distributions at such time and in

such manner as not to subject the trust to tax under Section 4942 of

the Federal Internal Revenue Code; the trust shall not engage in any

act of self-dealing which would subject it to tax under Section 4941

of the Code; the trust shall not retain any excess business holdings

which would subject it to tax under Section 4943 of the Code; the

trust shall not make any investments which would subject it to tax

under Section 4944 of the Code; and the trust shall not make any

taxable expenditures which would subject it to tax under Section

4945 of the Code." With respect to any such trust created prior to

January 1, 1970, this subsection A shall apply only for its taxable

years beginning on or after January 1, 1972.

B. The trustee of any trust described in subsection A hereof,

with the consent of the trustor, if then living and competent to

give consent, may, without judicial proceedings, amend the governing

instrument to expressly include the provisions required by Section

508(e) of the Code by executing a written amendment to the trust and

Oklahoma Statutes - Title 60. Property

filing a duplicate original of such amendment with the Secretary of

State of the State of Oklahoma.

C. The trustee of any trust described in subsection A hereof,

with the consent of the trustor, if then living and competent to

give consent, may, without judicial proceedings, amend such trust to

expressly exclude the application of subsection A by executing a

written amendment to the trust and filing a duplicate original of

such amendment with the Secretary of State of the State of Oklahoma,

and, upon the filing of such amendment, subsection A shall not apply

to such trust.

D. All references in this section to the "Code" are to the

Federal Internal Revenue Code of 1954, and all references in this

section to specific sections of this Code include corresponding

provisions of any subsequent federal tax laws.

Laws 1971, c. 303, § 1, emerg. eff. June 17, 1971.