Do donor-advised funds allow donors to make charitable contributions anonymously?
Donor-advised funds allow donors to charities to be anonymous. A donor transfers cash or assets to another foundation, recognizing a tax deduction at that date. The funds are legally no longer under the donor's control. The donor then makes "recommendations" for grants to final recipients then or at any point in the future. Documents and tax filings list the name of the fund, which may reveal nothing about the original donors. Fidelity Charitable, one of the largest specialized managers, says that most donors choose not to give anonymously.
The funds offer convenience and tax advantages for people who may want to recognize tax savings but prefer to defer or plan their giving over time. In 2018, there were 728,000 accounts, up 55% in a year, averaging $166,653 in size.